Dishman Pharmaceuticals and Chemicals, a Rs. 1,375 crore pharma giant from Ahmedabad, has suffered a setback during the second quarter ended September 2014 and its consolidated net profit declined by 21.1 per cent to Rs. 23.36 crore from Rs. 42.28 crore in the corresponding period of last year. Its EBDITA also declined by 10.1 per cent to Rs. 88.8 crore from Rs. 98.82 crore.With lower net profit, its EPS declined to Rs. 4.13 from Rs. 5.24 in the last period.
Its consolidated net sales in 11.2 per cent to Rs. 392.32 crore from Rs. 352.92 crore. The sales from CRAMS activities improved by 19.3 per cent to Rs. 281.17 crore from Rs. 235.67 crore. Its sales of bulk drugs, intermediates, quats, speciality chemicals and traded goods declined to Rs. 111.15 crore from Rs.117.04 crore.
The company's China based wholly owned subsidiary Dishman Pharmaceuticals & Chemicals (Shanghai) Co incurred net cash loss during the current quarter as well as during the previous year and its net worth has been significantly eroded as at the end of September 2014. The company has an investments aggregating to Rs. 65 crore and has unsecured loans to the subsidiary amounting to Rs. 52.09 crore. Despite huge loss, Dishman has not made any provision in respect of the aforesaid investment and loan.
The first half ended September 2014, Dishman's consolidated net sales increased by 14.4 per cent to Rs. 753.88 crore from Rs. 659.16 crore in the same period of last year. However, its net profit declined sharply 20.1 per cent to Rs. 57.17 crore from Rs. 71.53 crore. Its sales from CRAMS improved to Rs. 520.60 crore from Rs. 449.88 crore.