Sterling Biotech announced all-round performance during the year ended December 2005 with net profit growth of 43.1 per cent. Its net profit touched to Rs 112. 08 crore as against Rs 78.30 crore in the previous year. The company's net sales increased by 23.6 per cent to Rs 481.83 crore from Rs 389.91 crore. The earning per share for the Re 1 face value worked out to Rs 5.05 as compared to Rs 4.62 in the last year. The Board of Directors recommended equity dividend of 50 per cent on a face value of Re 1 each aggregating of Rs 11.06 crore.

The other income declined to Rs 3.18 crore from Rs 6.15 crore. Sterling's raw material cost for the year 2005 went up to Rs 171.06 crore from Rs 143.10 crore and the staff cost increased to Rs 13.82 crore from Rs 10.13 crore. The company has successfully reduced its interest burden by 17.3 per cent to Rs 36.38 crore from Rs 44 crore in the last year. The profit before interest, depreciation, taxation and extra-ordinary items moved up by 18.2 per cent to Rs 227.37 crore from Rs 192.32 crore. The extra-ordinary items of Rs 3.52 crore represents FCCB issue expenses to be written off over a period of 5 years.

Sterling had entered into an MoU with torrent Gujarat Biotech Ltd to purchase the manufacturing facility at Masar, District Baroda, Gujarat at an asset sale, for a consideration of Rs 55 crore in an all cash deal during October 2005.