Neutral Alembic Pharma; Target Of Rs 1070: Motilal Oswal moneycontrol.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from moneycontrol.com Daily Mail and Mail on Sunday newspapers.
Shares of Dr Reddy’s Laboratories dipped 4 per cent to Rs 4,400 on the BSE in an otherwise strong market on Monday, thus falling 10 per cent in the past two trading days after reporting a consolidated net profit of Rs 20 crore in the December 2020 quarter (Q3FY21) against a loss of Rs 569.7 crore in the year-ago period. The drug maker s stock was trading lower for the fourth straight day, falling 13 per cent during that period. It hit an over four-month low and trading at its lowest level since September 15, 2019.
The company said the profits were impacted due to trigger based impairment charge taken on a few acquired products, including gNuvaring. Not accounting for impairment cost, the company s net profit in the quarter would have been at Rs 882 crore, it said.
Shares of Alembic Pharmaceuticals dipped 3 per cent to Rs 998 on the BSE in early morning trade on Wednesday, down 7 per cent in past two days, after the company reported a mixed bag of December quarter (Q3FY21) results. The company’s consolidated revenues grew 8.7 per cent year-on-year (YoY) to Rs 1,314 crore on the back of strong growth in domestic, ROW formulations and API segment. However, US sales growth remained muted, down 0.6 per cent YoY at Rs 512 crore due to competition in Sartans. The consolidated net profit jumped 25 per cent YoY to Rs 293 crore. EBITDA (earnings before interest, taxes, depreciation, and amortization) margins expanded 89 basis points (bps) YoY to 27.8 per cent due to better gross margins and lower R&D cost.