Claris Lifesciences, Ahmedabad based Rs.725 crore plus pharma major, has received major setback during the fourth quarter ended March 2016 and its consolidated net profit declined sharply by 65.8 per cent to Rs.3.57 crore from Rs.10.44 crore in the similar quarter of last year. Its EBDITA declined by 5.9 per cent to Rs.35.12 crore from Rs.37.33 crore. Consolidated net sales improved by 7.8 per cent to Rs.166.77 crore from Rs.154.73 crore. EPS worked out to Rs.0.65 as against Rs.1.91 in the last period. The board of directors has recommended equity dividend of 20 per cent for 2015-16.

Its US sales increased to Rs.326 crore during the fourth quarter ended March 2016 from Rs.135 crore, a strong growth of 141 per cent. However, its sales in emerging markets declined to Rs.179 crore from Rs.196 crore and that in other regulated market remained stagnant at Rs.116 crore. US sales accounts for 52 per cent of speciality injectable sales. Regional issues in a few important emerging markets resulted into a de-growth.

Claris' consolidated net sales, on an annualised basis, improved by 18.4 per cent to Rs.738.86 crore from Rs.780.11 crore (annualised Rs.624.09 crore) for 15 months period ended March 2015. It incurred a net loss of Rs.58.04 crore as against net profit of Rs.149.48 crore in the previous year. The company has shown extraordinary expenditure of Rs.37.83 crore incurred relating to legal, professional, traveling and consultancy, etc. Further, share in loss from Claris Otsuka Pvt Ltd amounted to Rs.92.12 crore which put pressure on profitability.