This article is from SRN News
HYDERABAD/BENGALURU (Reuters) -Cipla, one of India’s largest drugmaker by sales, reported a bigger-than-expected third-quarter profit on Tuesday, helped by strong demand, especially in the key North American market.
The company’s consolidated net profit increased nearly 49% to 15.71 billion rupees ($181.6 million) in the October-December quarter, beating analysts’ estimate of 12.12 billion rupees, as per data compiled by LSEG.
Total revenue climbed 7.1% to 70.73 billion rupees, surpassing analysts’ expectations of 69.51 billion rupees.
Cipla’s sales are usually lifted by demand for tumour drug Lanerotide, which is its second-biggest revenue generator. However, the company had warned in October that certain supply chain issues related to the drug would last until the fourth quarter.
Last week, rival Dr Reddy’s reported a lower-than-expected quarterly profit due to weak U.S. sales.
Indian generic drugmakers have been struggling with slowing U.S. sales, delayed approvals for new drug applications and lower pricing amid stiff competition, according to analysts.
($1 = 86.5325 Indian rupees)
(Reporting by Rishika Sadam in Hyderabad and Kashish Tandon in Bengaluru; Editing by Eileen Soreng and Mrigank Dhaniwala)
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