India's Gland Pharma posts quarterly profit fall, hit by sluggish U.S. sales
May 19 (Reuters) - India's Gland Pharma (GLAD.NS), opens new tab, which make injectable versions of generic drugs, reported a 3.1% fall in fourth-quarter profit on Tuesday, weighed down by weaker sales in the U.S., a key region for the company.
The company reported a consolidated net profit of 1.87 billion rupees ($21.9 million) for the quarter ended March 31, compared with 1.92 billion rupees in the year-ago quarter.
Revenue from operations slipped 7.3% to 14.25 billion rupees. Sales from U.S. business, which accounts for 54% of the total, fell 10%.
For further results highlights, click (Full Story)
KEY CONTEXT
Production setbacks at Cenexi's facilities in Paris and Belgium for the past two quarters have been weighing on the company's earnings.
Most of India's generic drugmakers derive a significant share of revenue from the United States, where lower drug prices due to stiff competition have been weighing on earnings.
Rivals Sun Pharma (SUN.NS), opens new tab and Cipla (CIPL.NS), opens new tab and Dr Reddy's (REDY.NS), opens new tab beat fourth-quarter profit estimates.
PEER COMPARISON
* Mean of analysts' ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
** Ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT
JANUARY TO MARCH STOCK PERFORMANCE
-- All data from LSEG
-- $1 = 85.5650 Indian rupees
($1 = Indian rupees)
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