The Hindu Business Line : Ranbaxy reports Rs 352-cr loss in Q3 on US ban, weak rupee

New Delhi, Oct. 31 Hit by the ban imposed by US authorities and a weakening rupee, Ranbaxy Laboratories has reported a Rs 352-crore loss, on a standalone basis, during the third quarter ended September 30.

The company had reported a profit of Rs 168 crore during the same quarter last year, according to information given by Ranbaxy to the BSE. The company’s revenues on a standalone basis increased from Rs 1,038.1 crore to Rs 1,132.8 crore.

On a consolidated basis, Ranbaxy has reported a loss of Rs 4.9 crore for the third quarter compared to a profit of Rs 161 crore in the same period last year. Consolidated sales increased 14 per cent from Rs 1,652 crore to Rs 1,888.4 crore.

Ranbaxy’s profit was hit by a one-time write down of the value of its foreign-currency convertible bonds as the Indian currency had its biggest quarterly decline in 16 years. Sales in the US, which accounts for nearly 25 per cent of the company’s annual revenues, slumped as the US drug regulator blocked the import of more than 30 generic medicines made by Ranbaxy in India because of deficiencies in manufacturing processes.

Ranbaxy posted a $73-million translation loss due to the weakening rupee and wrote down the value of its inventories by $59 million after the US import ban.

Mr Malvinder Singh, CEO and MD, Ranbaxy, said that the company planned to acquire a manufacturing unit to supply drugs to the US.