Aurobindo Q2 net nearly doubles; shares rise

Aurobindo Q2 net nearly doubles; shares rise

Mumbai: Drugmaker Aurobindo Pharma’s quarterly net profit nearly doubled, substantially surpassing street estimates, on robust formulation sales and forex gains, sending its shares to a 52-week high.

The Hyderabad-based drugmaker on Wednesday reported a consolidated net profit of 198 crore for the September quarter on net sales of 1,113 crore.

A Reuters’ poll of 23 brokerages had forecast a consolidated quartely net profit of 114 crore on net sales of 964 crore for Aurobindo.

Aurobindo Pharma’s board approved a five-for-one stock split, it said in a statement.

“The recent commercialisation of the large formulations units in special economic zone near Hyderabad and New Jersey (US) will further strengthen the operations of the company going forward," Ramprasad Reddy, chairman, Aurobindo Pharma, said in a statement.

The firm’s formulations business rose 38.3% in July- September to 616 crore, it said, while exports grew 33.2%to 743 crore.

Aurobindo, on a consolidated basis, reported foreign exchange gains worth 76.19 crore in September quarter versus a loss of 3.56 crore a year ago.

At 3:26 p.m., shares of Aurobindo Pharma, after hitting a 52-week-high of 1,311.95, eased to 1,269.9, up 1.7%, in a firm Mumbai market.