The company posted disappointing numbers for Q2FY15. Its consolidated net profit for the quarter fell 17% (YoY) at Rs.574 crore though net sales rose 7% at Rs.3588 crore. EBITDA margin fell from 28.3%  to 24.3% and this was mainly on account of 10% rise in selling and admin costs, a 37% jump in R&D expenses –  R&D expenses at Rs.411 crore has risen from 9% of revenue to 11.5%. Interest outgo for the quarter also rose 44% at Rs.42 crore - The increase is on account of net reduction in forex benefit of Rs.12 crore and net Incremental interest benefit of Rs.25 crore. Tax outgo at Rs.120 crore was up 51%.

Revenue for the quarter was driven mainly by India and RoW, which is primarily Venezuela and North America. Revenues from North America rose 8%, emerging markets grew 14% (In this Russia fell 11%) and India alone as a territory showed a 14% growth.  Pharmaceutical Services and Active Ingredients (PSAI) segment reported a 6% rise in revenue and EBIT grew 8%. During the quarter the company launched nine new generic products, filed 10 new product registrations and 28 DMFs globally.  On 18^th Oct, it entered into an asset purchase agreement with Novartis Consumer Health Inc to acquire title and rights to Habltrol franchise (an over-the-counter nicotine replacement therapy transdermal patch) and to market product in the US territory.