Companies

Orchid Chem reports net loss of Rs 54-cr

Our Bureau Chennai | Updated on August 14, 2012 Published on August 14, 2012

Interest on borrowings drag on bottomline

Orchid Chemicals & Pharmaceuticals Ltd has reported a net loss of Rs 54 crore in the first quarter ended June 30. This is compared with a net profit of Rs 17 crore for the same period last year. Revenue dropped to Rs 407 crore (Rs 449 crore) registered during the corresponding first quarter of last fiscal.

The CMD, K. Raghavendra Rao, said the company saw a slump in sales and profitability in the first quarter because of higher input costs coupled with lower price realisations in key products.

The additional interest burden on account of the external commercial borrowing for the foreign currency convertible bond redemption contributed to a higher outflow, adding to the negative bottomline.

“Our immediate focus is on consolidating our operations, optimising the product mix in key high-value markets, leveraging the robust non-antibiotic product pipeline and de-leveraging our debt position. We foresee a flat year on the whole with pressure on profitability as we progress on this consolidation journey,” Rao said in a press release.

The Chennai-based pharmaceutical company witnessed a stead increase in its regulatory filings with focus on key, high-value products. These filings are expected to start yielding revenues in future.

Filings

The cumulative filings of Abbreviated New Drug Applications (ANDA) in the US market stood at 43, which includes 8 Para-IV FTF (first-to-file) applications.

The company has already settled with the innovators for 4 FTF products and these products will be launched as per the agreed terms. The break-up of the total ANDAs filed are 13 in the Cephalosporin product segment and 30 in the NPNC product space.

The cumulative count of marketing authorisations filed in the EU market rose to 28. Of these, 13 filings pertain to cephalosporin products and 15 to the NPNC product space, the release said.

On the BSE, the company’s share price closed at Rs 106.95, down by Rs 0.10 or 0.09 per cent over the previous day’s closing price.

Published on August 14, 2012
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