Strides Arcolab has registered lower standalone net sales and EBDITA during the second quarter ended June 2013. Its standalone net sales declined by 7.3 per cent to Rs.150.83 crore from Rs.162.65 crore in the corresponding period of last year. Its EBDITA also moved down by 24.1 per cent to Rs.39.69 crore from Rs.52.32 crore. Its other operating income declined by over 58 per cent to Rs.15.60 crore from Rs.37.19 crore. The company has opted out of reporting consolidated results as the company sold Agila business to Mylan Inc. during February 2013.
With lower provision for foreign exchange loss of Rs.12.43 crore as against Rs.45.92 crore, it reported a net profit of Rs.2.16 crore as compared to net loss of Rs.19.90 crore in the similar quarter of last year.
The company is setting up biotech facility at Bio-Xcell ecosystem, Malaysia and the ground breaking scheduled in fourth quarter. The product commercialization is expected from early 2015. It filed 46 products with US FDA and there are 18 pending approvals. The company expects 2-3 key product approvals in the second half of 2013.
Arun Kumar, vice chairman and Group CEO, said, “We are pleased with our performance which is in line with our guided EBITDA and revenues. With recent product approvals, we expect to deliver a strong second half in our pharmaceutical business.”
For the first half ended June 2013, Strides' standalone net sales increased by 10.3 per cent to Rs.312.17 crore from Rs.283.07 crore in the similar period of last year. Its EBDITA moved up by 6.5 per cent to Rs.88.48 crore from Rs.83.05 crore. The company provided lower amount of Rs.11.59 crore for forex loss as against Rs.77.05 in the same period of last year. Due to lower forex loss, it achieved net profit of Rs.33.73 crore as against a net loss of Rs.48.06 crore in the last period. Profit before exceptional items increased by 46 per cent to Rs.42.03 crore from Rs.28.78 crore as its interest cost declined significantly to Rs.28.40 crore from Rs.45.40 crore in the previous half year.
Under the restructuring programme, Strides Specialties (Holdings) Ltd, Mauritius has been transferred from Agila Specialities Pvt Ltd, India to Strides Pharmaceuticals Ltd, Cyprus during the second quarter of 2013. Inbiopro Solutions Pvt Ltd, India has been transferred from Agila Specialities Pvt Ltd, India to the company. Further, Agila Marketing e Distribicao de Productos Hospitalaries Limiteda, has been transferred from Strides Pharmaceuticals Ltd to Agila Specialties Americas, Cyprus. The Singapore based Agila specialities Global Pte Ltd has acquired balance 49 per cent stake in Agila Australasia Pty Ltd from JNZ Tango Pty Ltd, Australia, making Agila Australasia Pty Ltd a wholly owned subsidiary of the group.
The company incorporated two new subsidiaries namely, Strides Pharma Inc., USA and Strides Actives Pvt Ltd, India. Similarly, Strides Pharma Ltd, Cyprus has divested its stake in Scentia Pharmaceuticals Pty Ltd, Australia to Amneal Pharma Australia Pty Ltd, Australia.