The shares of Indian multinational pharmaceuticals company Torrent Pharmaceuticals Ltd fell by 15% at Rs 2686.86 per equity share on Thursday’s intraday trade. The trade opened at Rs 2940.05 per share marking today’s high.
On Tuesday, Torrent Pharmaceuticals Ltd reported a 16 per cent year-on-year decline in its consolidated net profit for the October-December quarter at Rs 249 crore and US business reported a decline of 20% in revenue. Furthermore, the company’s total revenue rose 6 per cent to Rs 2,108 crore during the quarter, while earnings before interest, tax, depreciation and amortization (EBITDA) fell 5 per cent to Rs 585 crore.
Torrent Pharma’s India revenue increased by 15 per cent to Rs 1,072 crore. Whereas, revenue in Brazil increased by 5% to Rs 183 crore. However, the company’s US revenue declined by 20% to Rs 235 crore and revenue in Germany also dropped by 10% to Rs 237 crore.
“Due to the prolonged delays in reinspection of our US facilities on account of the pandemic, coupled with higher than anticipated pricing pressure, our US business has been adversely affected during this quarter. We remain hopeful of our prospects in the US market as soon as the facilities are reinspected,” said Torrent Pharma Chairman Samir Mehta.
“We have initiated cost optimization measures which should help us get back on track with respect to margins in the upcoming quarters,” Mehta further added.
Torrent Pharmaceuticals Limited is ranked 8th in the Indian Pharmaceuticals Market and is amongst the Top 5 in the therapeutic segments of Cardiovascular (CV), Central Nervous System (CNS), and Vitamins Minerals Nutritional’s (VMN).