Ranbaxy Q2 global sales up 7 per cent at $317 million; net vaults 20 per cent

Mumbai: Ranbaxy Laboratories has reported a seven per cent rise in its Q2 (April-June'06) global sales, at Rs1,446.4 crore ($317million), against Rs1,347.9 crore ($309 million) in the corresponding period of the previous year. Profit before finance costs, depreciation, tax and amortisation was up 56 per cent at Rs264.8 crore ($58 million) against Rs169.9 crore ($39 million) in the previous year period.

This represents an EBIDTA of 18.3 per cent in the current quarter against 12.6 per cent in the corresponding period of the previous year. Profit before tax and extra-ordinary items rose 23 per cent at Rs155.9 crore ($34 million) against the previous year's Rs126.3 crore ($29 crore). Profit after tax and minority interest was 20 per cent higher at Rs121.1 crore ($26 million) against Rs101.3 crore ($23 million) in the corresponding previous period.

For the half year ended June 2006, the company's sales rose nine per cent to Rs2,721.7 crore ($604 million) from Rs2,486.2 crore ($569 million) in the same period last year. Profit before finance cost, depreciation, tax and amortisation was up 36 per cent at Rs407.1 crore ($90 million) against Rs299.0 crore ($68 million) in the previous year period.

EBIDTA rose to 15 per cent in H1 '06 from 12 per cent in the corresponding period of the previous year. Profit before tax and extra-ordinary items was up 15 per cent at Rs241.2 crore ($54 million) against Rs210.5 crore ($48 million) in the previous year period. Profit after tax and minority interest was up 12 per cent at Rs192.5 crore ($43 million) against Rs172.1 crore ($39 million).

Ranbaxy's drug development and research expenses were lower by seven per cent and 27 per cent at Rs 411.7 crore and Rs 81.9 crore, respectively compared to the previous corresponding period.

The company's US sales recorded an eight per cent rise at $89 million for the quarter, boosted by the launch of Simvastatin tablets 80 mg with 180 day exclusivity. The product has garnered more than 50 per cent share of the generics market, Ranbaxy said. First half sales were up nine per cent at $176 million.

The BRICS markets record a growth of 11 per cent for the quarter at $112 million while half-yearly sales rose 19 per cent to $201 million, led mainly by the performances in India and the CIS markets.

Ranbaxy recently acquired Mundogen S.A., the generic business of GlaxoSmithKline (GSK) in Spain, to further strengthen the company's presence in this fast growing generics market.

The acquisition of the leading Romanian pharmaceutical company, Terapia S.A., also received the Romanian Competition Council's approval, following which Romania became the company's third largest market after India and the US. The integration process is progressing well, the company said.

Ranbaxy, meanwhile, plans to start Phase IIb clinical trials of its advanced anti-malaria drug RBx 11160, being developed under a collaborative research programme with Medicines for Malaria Venture (MMV). The trials are being planned in India, Thailand and Africa.