The Hyderabad-based contract research and custom synthesis unit and active pharmaceutical ingredient (API) manufacturer, has reported 46 per cent rise in net profit at Rs 15.15 crore for the quarter ended June 30, 2003. The profit for the corresponding period during 2001-02 was Rs 10.38 crore, according to a company press release.

Despite significant rise in profit, the company’s turnover for the quarter remained flat, which was Rs 66.93 crore, virtually the same as Rs 66.94 crore during the corresponding period last year. The income from operations was Rs 61.57 crore, while it was Rs 61.95 crore in the previous year.

After making provisions for finance charges, depreciation and tax, the company could net a profit of Rs 15.15 crore for the quarter. On an equity base of Rs 12.82 crore, the earnings per share work out to Rs 11.82.

According to the company statement, the rise in profitability was due to a favourable product mix during the quarter. The company was in the process of stabilising operations at its recently commissioned plant at Visakhapatnam and envisages benefits to accrue from this unit during the later part of the year.

Painting a bright future of the company, the press release said Divi’s had received Certificate of Suitability (CoS) from the Council of Europe, European Directorate for the Quality of Medicines, Strasbourg Cadex, France, for the manufacture of Nabumetone and Diltiazem HCl at its Unit 1 plant at Chottuppal, about 55 km from Hyderabad.