Sun Pharma profit declines

NEW DELHI: Sun Pharma on Tuesday reported 60% dip in consolidated net profit to Rs 479 crore for the quarter ended June 30, pulled down by impairment charges and expense of Rs 685 crore on account of integration and optimisation post Ranbaxy merger. Sun Pharma, headed by Dilip Shanghvi, had posted net profit of Rs 1,205 crore, after taxes and minority interest, for the April-June period of 2014-15.
Total income of the company increased to Rs 6,768 crore during the first quarter of 2015-16 as against Rs 6,341 crore for the year ago period.
Sun Pharmaceutical MD Dilip Shanghvi said: “Our performance for the quarter has been impacted by certain one-time and exceptional charges, which will drive synergies and overall profitability improvement in the long-term.”
The company had a one-time item as well as exceptional charges of Rs 685 crore. “These exceptional charges relate to impairment of fixed assets and goodwill and other related costs and have arisen on account of integration and optimisation measures,” the company said.
Sun Pharma had completed the $4 billion merger deal with Ranbaxy Laboratories in March this year.
Shanghvi said, “we continue to invest significantly in R&D and in building critical talent for enhancing our speciality and complex generics pipeline” agencies