Nov 5 (Reuters) – India’s Glenmark Pharmaceuticals posted a 56.8% drop in second-quarter profit on Thursday, weighed down by lower revenue from its North American business.
The company reported a consolidated net profit of 2.64 billion rupees ($27.93 million) for the quarter ended September 30, compared with 6.10 billion rupees a year ago.
• Total revenue for the quarter declined about 30% to 42.47 billion rupees
• Glenmark’s North America revenue fell to $126.6 million, from $516.7 million a year earlier. Excluding deferred out-licensing income recognition for oncology treatment ISB 2001, the region’s core business grew about 31%, it said
• Consolidated profit before exceptional items and tax fell to 6.22 billion rupees, from 23.53 billion rupees a year ago
• The company and its US unit agreed to a $15.28 million settlement with US health insurer Humana. Along with legal costs, one-time regulatory and other costs, it made up exceptional items of 2.84 billion rupees for the quarter
• Cost of materials consumed rose 16%, though total expenses fell about 7%
($1 = 94.5075 Indian rupees)
(Reporting by Saikeerthi and Anushka Rajvedi in Bengaluru; Editing by Abinaya V and Shilpi Majumdar)
