INSUBCONTINENT EXCLUSIVE:
Pharma majors Cipla and Dr Reddy’s Laboratories are slated to announce their financial results for the quarter ended March 2018 on Tuesday
Both these companies are expected to report double-digit rise in bottomline figures for the quarter.
Centrum Broking expects net profit of
Dr Reddy’s Laboratories (DRL) to grow by 27 per cent year-on-year (YoY) to Rs 429 crore from Rs 338 crore in the same quarter last year on
good sales growth and margin improvement
It sees 14 per cent YoY revenue growth to Rs 4116 crore in Q4FY18.
“Dr Reddy’s global generic business (76 per cent of revenues) is
expected to grow by 5 per cent YoY and grow by 2 per cent QoQ to Rs 3,060 crore due to strong growth in India
We expect DRL’s ebidta margin to grow by 520 basis points YoY to 21.5 per cent in Q4FY18 from 16.3 per cent in Q4FY17,” Centrum Broking
said in a report.
CIPLAOther drug major, Cipla is likely to report profit in the fourth quarter against loss of Rs 62 crore last
year.
ICICIdirect.com sees revenues growing by around 8 per cent YoY mainly due to 12 per cent growth in domestic formulations
The brokerage house projects a profit of Rs 298 crore in March quarter.
Axis Capital is expecting profit of Rs 340 crore from Cipla for the
It further expects that ebitda, sales and ebitda margin may increase by 23 per cent, 7 per cent and 215 basis points, respectively, in
Q4FY18.
“Higher India and US sales along with operational efficiencies to aid margin expansion,” Axis Capital said in a report.
On the
other hand, South Africa sales are expected to grow 20 per cent YoY due to favorable currency movement and improvement in constant currency
growth, according to ICICIdirect.com.
