Shasun Chemicals and Drugs, a leading pharma company focused on manufacture of APIs and intermediates to global pharma majors, has posted 44.84 per cent rise in net profit at Rs 6.17 crore for the first quarter ended June 2006 as compared to Rs 4.26 crore in the corresponding period of last year.

Revenues during the quarter grew 28.7 per cent at Rs 99.46 crore compared to Rs 77.26 crore in the last period. During the quarter, the company witnessed significant improvement in revenues from CRAMS. Gross profit during the quarter grew by 20.65 per cent at Rs 14.90 crore as compared to Rs 12.35 crore.

Meanwhile, consolidated revenues stood at Rs 152.90 crore while the consolidated net profit stood at Rs 7.47 crore. The quantum jump in the consolidated revenue (95 per cent) is due to its first ever acquisition of the pharmaceutical custom synthesis business of the Rhodia Group through its UK subsidiary Shasun Pharma Solutions Ltd. Revenues from CRAMS on consolidated basis jumped to 39 per cent to Rs 58 crore from Rs 3 crore in Q1FY06.

Significantly, the dependency on matured products (such as Ibuprofen, Ranitidine and Nizatidine) has declined from 93 per cent to 55 per cent of the consolidated revenue on a y-o-y basis, while the revenues from these new API’s products have grown by Rs 15 crore.

“Combined with our existing capabilities in India and the acquired business in the UK, we are uniquely positioned among the Indian pharma companies in its impeccable IPR record, cost competitiveness and global presence, to serve the pharmaceutical industry throughout the drug life-cycle. This will not only enable us to retain and grow business with current customers of the two businesses, but also attract a wider set of Innovator and Emerging Pharma companies,” said N Govindarajan, chief executive officer and director commenting on the business outlook of the company.
 
The maiden acquisition of business and assets of UK-based Rhodia Pharma through the wholly-owned subsidiary Shasun Pharma Solutions Ltd (SPSL), Shasun has now become a multi national company. SPSL has two manufacturing plants in Dudley and Annan, both located in UK and has 12 commercial products under its belt and 14 molecules under phase II and phase III waiting for commercial approval and launch by its partners. The acquisition would also help Shasun develop a global presence in APIs, custom synthesis and contract manufacturing as the transaction includes all of Rhodia's development and custom manufacturing services catering to innovator and emerging pharmaceutical clients in US, Europe and Asia.