Lupin

The company posted a healthy set of numbers for Q2FY14. Net sales rose 17% (YoY) at Rs.2631 crore. Its cost of raw material fell 5.5%. EBITDA was up by a healthy 42% at Rs.741 crore. The good news was also that its interest outgo came down by a very healthy 51% and this helped push the PBT up by 53% at Rs.675 crore. But at this advantage of lower interest was obliterated by a 79% jump in tax outgo, this includes includes taxes of Rs. 51 crore on dividend received from subsidiaries.. The company ended the quarter with a net profit at Rs.406 crore, up 40%.

The overall impact of foreign exchange on net profit is Rs.4 crore, of which 71 crore forex gain is reflected in other income, while a corresponding forex loss is captured across various other P&L line item. US and Europe formulation sales (including IP) grew by 31%, contributing 42% to overall company sales. US brands business contributed 10% of total US sales, whereas the generics business contributed 90% in Q2. Indian formulations business contributed 25% to the total revenues. Lupin’s Japan Sales (Kyowa + I’rom) clocked in at Rs. 309crore. Japan now contributes 12% to Lupin’s consolidated. API net sales grew by 20% and contributed 11% to Lupin’s consolidated revenues.