J B Chemicals and Pharmaceuticals has turned the corner during third quarter ended December 2014 and earned a net profit of Rs.24.17 crore as against net loss of Rs.6.47 crore in the corresponding period of last year. During the last period, it revised the purchase price in respect of sale of Russia-CIS OTC business undertaking by Rs.64.50 which impacted its bottom line in December 2013 quarter. However, its EBDITA declined by 20.8 per cent to Rs.50.51 crore from Rs.63.76 crore. The net sales increased by 9.6 per cent to Rs.256.81 crore from Rs.234.22 crore. The figures are not strictly comparable as its subsidiary commenced sales and distribution in Russia & CIS countries during first quarter of last year.
The domestic formulations business improved by 11 per cent to Rs.94.96 crore. The prescription products sales improved by 13 per cent to Rs.87.10 crore. However, sales of contrast media products declined slightly to Rs.7.86 crore. Its formulation exports moved up by 9 per cent to Rs.129.45 crore, of which it exported worth Rs.87.12 crore to RoW. The export for Russia-CIS markets went up by 17 per cent to Rs.21.71 crore. APIs sales were marginally lower at Rs.25.84 crore.
The current political situation in Russia and Ukraine and depreciation of Ruble against US Dollar has impacted the business. These are potential markets of the company's products and the company is currently watching situation in these markets.
The company's sales for the nine months ended December 2014 increased by 10.9 per cent to Rs.788 crore from Rs.711 crore in the same period of last year. Its net profit went up smartly by 87 per cent to Rs.87.85 crore from Rs.46.99 crore mainly due to revision of purchase price in respect of sale of Russia-CIS OTC business undertaking. EBDITA was only higher by 1.2 per cent to Rs.163 crore from Rs.161 crore.