Hikal Ltd., the preferred long-term outsourcing partner for leading global life sciences companies, has suffered minor setback during the fourth quarter ended March 2008 and its net profit declined by 12.7 per cent to Rs 11.7 crore from Rs 13.4 crore in the corresponding period of last year. Its net sales increased by 26.7 per cent to Rs 83.9 crore from Rs 66.2 crore.

Though the fourth quarter performance was not up to the mark, its net profit for the full year ended March 2008 went up sharply by 47.3 per cent to Rs 49.8 crore from Rs 33.8 crore. The net sales for the full year increased by 28.7 per cent to rs 300.7 crore from RS 233.7 crore. The pharmaceutical sales increased sharply by 55.8 per cent to Rs 151 crore as compared to Rs 96.9 crore in the previous year. Pharmaceutical sales contributed around 50.2 per cent to its total sales as against 41.5 per cent in the last year.

Commenting on the results, Jai Hiremath, vice chairman and managing director, said, "Sales in pharmaceuticals have surpassed the crop protection business for the first time. In spite of appreciation of Rupee, the profit after tax posted healthy growth. The efforts on restructuring of Marsing & Co. A/S is on track and on consolidated basis the turnover was at Rs 461 crore as compared to Rs 428 crore last year and PAT was at Rs 48.9 crore as compared to Rs 26 crore in the previous year. "

"We have signed several long term contracts with leading global pharmaceutical and crop protection companies. We have started commercial production for some of our customers and capacities are being further enhanced for the new contracts," he added.

The API and pharmaceutical intermediates manufacturing facilities are situated in Jigani (Bangalore) and Panoli (Gujarat) respectively.