Lupin down in the red

Lupin is down in the red today. The stock has been losing for the last 2 days and has fallen -4.59% in the period. The stock touched an intraday low of Rs.736.10, down 6%.

The stock is down after it stated having received three observations from the US FDA for its Aurangabad facility.

The FDA carried out inspection at the plant from May 6 to May 15.

Though the nature of the observation is not known, it is worried the market that four of Lupin’s manufacturing facilities were as such under the FDA scanner and this continuous grappling with the FDA is delaying product launches.

The company also announced its Q4FY19 earnings with net profit coming in at Rs.289 crore v/s loss of Rs.783 crore. This was on a 9% (YoY) rise in revenue at Rs.4406 crore.