Wanbury, a Rs.400 crore loss making pharma company, has posted small net profit of Rs.1.28 crore during the first quarter ended June 2014 as against a net loss of Rs.6.72 crore in the similar period of last year mainly due to lower interest burden. Its net sales also improved marginally to Rs.115.12 crore from Rs.103.11 crore. The interest cost declined to Rs.9.26 crore from Rs.14.82 crore in the last period. The company achieved positive EPS of Rs.0.71 as compared negative Rs.3.87. Currently Wanbury scrip of Rs.10 each is moving in the range of Rs.28-30 on BSE.

Wanbury has equity investment of Rs.39.08 crore in two wholly owned subsidiaries and other company, and has amount recoverable of Rs.189.87 crore from them and Cantabria Pharma SL, (CP) Spain, a step down subsidiary. Wanbury Holding BV is a special purpose vehicle for investment in CP and CP has filed for voluntary insolvency in the commercial Court of Madrid on November 4, 2013 and consequently official liquidator has been appointed. Further, Wanbury has to pay Rs.36.06 crore to Exim Bank to acquire 4,511 preference share of Euro 1,000 each and Rs.26.74 crore to State Bank of India, London in terms of guarantee and loan agreement to CP. Both the above mentioned dues being part of the CDR scheme.

Wanbury has incurred losses during the last three financial years and networth of the Group is negative for the year ended March 2013. The company has initiated various measures, including restructuring of debts/business and infusion of funds etc. It has extended its financial year to September 2014 and will comprise of eighteen months.