Financial Performance

For the quarter ended September'08, the net sales rose by 62% to Rs 92.70 crore. The operating profit margin fell by 300 bps to 12.7%, and resulting operating profit growth was restricted to 31% at Rs 11.76 crore. Other income slipped by 24% to Rs 1.49 crore, interest outgo increased by 39% and deprecation up by 22% to Rs 1.84 crore. Resultantly, PBT before forex gain or (loss) reported a growth of 12% to Rs 7.10 crore. Company recorded forex gain of Rs 0.77 crore compared to forex loss of Rs 0.24 crore in the quarter ended September'07. Profit before Tax stood at Rs 7.87 crore, an increase of 29% over corresponding pervious period. As the effective tax rate spurted by 1530 bps to 16.5%, the bottom line grew by only 9% to Rs 6.57 crore.

Other Highlights

• Consolidated net sales for 18 months ended September 30, 2008 was at Rs 618.50 crore and Profit after tax stood at Rs 31.5 crore.
• Total income for 18 months ended September'08 is Rs 630 crore, of which the revenue from Cantabria Pharma is Rs 230 crore, and the break up of remaining Rs 400 crore is as follows, domestic API: Rs 245 crore, Formulation business : Rs 144 crore and other income: Rs 11 crore.
• 3 new brands launched in Cantabria Pharma- Spain, likely to attain First position in branded generics.
• Cantabria Pharma revenues for the 18 months ended September'08 is Rs 230 crore and EBIDTA margins is 18%.
• Quadrupled CRAMS business over previous year.
• Company continues to be global market leader in Metformin.
• Wanbury started back word integration for the Metformin which will save Rs 9 crore per annum.
• Company filed 4 DMFs in the quarter under review.
• Company opened an office in China for procurement of raw materials.
• The Company has moved up 38 ranks from 86^th Rank to 48^th Rank as per ORG IMS.
• Four brands of the company are among the "top 3 brands" in their respective segments- viz. CPink, Folinine, Rabiplus, Adtrol.
• Wanbury is the fastest growing Indian Pharmaceutical company in the top 150 companies as per ORGIMS.
• Successful new brand launches in Value added branded generics-Cdense and Nitrofur-SR.
• As on 30^th September, 2008, the liability on account of outstanding euro denominated FCCB issued by the company has been restated at an exchange rate of Rs 67.79 and amounts to Rs 93.01 crore. The FCCB issue terms stipulate conversion of the bonds at the pre determined exchange rate of Rs 57.22 at which rate the liability amounts to Rs 78.51 crore.
• Present order book of the CRAMS business is around Rs 60 crore and expected to touch USD 100 million in the 3 years.
• Till now 27 DMFs are filed, out of which 14 products were launched.
• Cpink formulation sales for the 18 months stood at Rs 27 crore for the 18^th months ended September'08.
• The sales of Rabi plus formulation is expected to be Rs 24 crore for the
• Debt on books as on 30^th September 2008 is Rs 273 crore.
• Capex for FY'09 is Rs 30 crore.
• Expects to launch 18 products in Spain region thorough its subsidiary Cantabria Pharma in the next 24 to 30 months.
• Expects to launch 20 new products in domestic market in the next 15 to 18 months.
• Company has bagged an order of Rs 40 crore for CRAMS business from Pfizer.
• Expects domestic formulation business to grow 40% in FY'09.