Mumbai: Drug maker Glenmark Pharmaceuticals Ltd’s consolidated net profit rose 23.5% in the quarter ended March on the back of sales of Zetia generic in the US, for which the company had a 180-day marketing exclusivity.
On 12 December, 2016, Glenmark launched its generic version of Merck’s blockbuster cholesterol drug Zetia along with partner Endo International plc.
Net profit for the March quarter stood at Rs183.76 crore, compared with Rs148.80 crore a year ago. Net sales were up 10.2% at Rs2,424.41 crore.
“Our quarter performance was mainly driven by our US formulations business. In addition, our India business also managed to record growth despite various challenging factors in the market,” Glenn Saldanha, chairman and managing director of the company, said.
Glenmark’s earnings were way below analysts’ expectations. A Bloomberg poll of 19 analysts estimated the company’s net profit at Rs580.7 crore, while sales were expected at Rs2,923.2 crore.
Sales in the US, the company’s biggest market, surged 53.4% on year to Rs1,000.45 crore during the reporting quarter, while sales in India were up 6.9% at Rs576.93 crore.
Apart from these two countries, Glenmark’s business witnessed a setback in all key markets. Sales in Europe and Latin America fell 15.1% and 44.5%, respectively.
Sales of active pharmaceutical ingredients declined 10.4% to Rs199.72 crore.
In the fourth quarter, Glenmark filed nine abbreviated new drug applications (ANDAs) with the US Food and Drug Administration (FDA), and plans to file three more in June quarter, the company said in a press release.