India's Ranbaxy Q3 net profit jumps

Ranbaxy Laboratories Limited (RLL), India's largest pharmaceutical company, said on Thursday its consolidated net profit stood at 3.13 billion rupees ($67 million) for the third quarter ended September 30, 2010, as compared to 1.16 billion rupees ($24 million) in the same period a year earlier.

The company's consolidated sales grew 13 percent to 18.87 billion rupees over Q3’09 at 17.20 billion rupees.

Earnings before interest, tax, depreciation and amortization (EBITDA) was at 1.39 billion rupees, a margin of 7 percent to sales.

“This has also been aided by the favorable forex movement. As we move forward, our focus will be on bettering operational performance, maximizing synergies with Daiichi Sankyo and on seeking a speedy resolution to the challenges in the USA,” said Arun Sawhney, Managing Director of Ranbaxy.

The Company’s net margin improved during the Quarter in comparison to the corresponding quarter in the previous year. This was largely, on account of continuing sales of Valacyclovir, post exclusivity and good growth in most key markets. Valacyclovir was a First-to-File (FTF) product in the USA, said the company in a statement.

Continuing to leverage the hybrid business model being pursued by Ranbaxy and Daiichi Sankyo Co. Ltd., Japan (DS), the companies planned for Ranbaxy to market Tavanic (Levofloxacin), in Romania and South Africa. Levofloxacin is a synthetic antibacterial agent originally discovered by DS.

Globally, the company made 37 filings and received 47 approvals for dosage forms during the quarter.

Emerging markets sales grew 5 percent to $238 million, which contributed 59 percent to global sales. Sales in developed markets grew 36 percent to $145 million.

India sales grew 18 percent to 4.93 billion rupees over the corresponding previous quarter.

Shares of the company are currently trading down by 0.19 percent at 602.90 rupees in the Bombay Stock Exchange.