PBIT of Pharmaceutical segment for Dec'16 quarter stood at Rs 16.88 crore, down by 15% YoY and that of Crop Protection products business stood at Rs 20.56 crore, up by 37% YoY.

Overall, OPM stood at 19.5% resulting in an OP of Rs 48.89 crore, up by 6% YoY basis.

Other income stood at Rs 0.47 crore up down by 41%. Interest costs, other than forex fluctuations were up by 6% YoY to Rs 13.24 crore. However, there is an unrealized notional foreign exchange loss on working capital to the tune of Rs 1.32 crore during the quarter, as compared to foreign exchange loss of Rs 1.6 crore for Dec'15 quarter. Thus interest a cost including forex fluctuations was up by 3% YoY to Rs 14.44 crore, thus PBDT was higher by 7% to Rs 34.92 crore. Depreciation was more or less flat at Rs 17.07 crore. After paying total tax of Rs 4.65 crore including deferred tax, up by 41% YoY, PAT for Dec'16 quarter stood at Rs 13.20 crore, up by 6% YoY.

Commenting on the results, Jai Hiremath, Chairman & Managing Director, Hikal Ltd. said, "The steady growth we have seen in the last few quarters has continued in this quarter. Year to date, our Crop Protection business recorded a promising 17% growth in sales whereas our Pharmaceutical sales were up by 7% during the same period. Our margins have also improved on higher sales due to increased offtake by our customers. Looking at our future business prospects in both divisions, we expect revenues and profitability to further improve in the fourth quarter. The Board of Directors have declared an interim dividend of 30% based on the improved profitability of the company. We are also happy to report "Zero" 483 observations by the US FDA post their recent inspection of our API and Intermediates manufacturing facility at Jigani, Bengaluru.. As part of our continued efforts to strengthen the balance sheet, we have divested our property in Bengaluru which was lying vacant and the sale proceeds have been transferred to reserves, thereby further improving the cash flow and financial metrics of the company" 

Performance for the 9 months ended Dec'16

Net sales for 9 months ended Dec'16 of Hikal stood at Rs 704.36 crore, up by about 11% YoY. Pharmaceutical segment sales was up by 7% to Rs 428.82 crore and that of Crop protection segment was up by 17% to Rs 275.54 crore.

PBIT of Pharmaceutical segment for 9 months ended Dec'16 stood at Rs 56.40 crore, down by 1% YoY and that of Crop Protection products business stood at Rs 49.75 crore, up by 65% YoY.

Overall, OPM stood at 19.9% resulting in an OP of Rs 140.40 crore, up by 16% YoY basis.

Other income stood at Rs 2.25 crore up by 49%. Interest costs, other than forex fluctuations were up by 6% YoY to Rs 37.89 crore. However, there is an unrealized notional foreign exchange loss on working capital to the tune of Rs 1.74 crore for the 9 months ended Dec'16, as compared to foreign exchange loss of Rs 13.37 crore for 9 months ended Dec'15. Thus interest costs including forex fluctuations was lower by 19% YoY to Rs 39.63 crore, thus PBDT was higher by 39% to Rs 103.02 crore. Depreciation was up by 4% to Rs 52.01 crore. After paying total tax of Rs 11.64 crore including deferred tax, up by 134% YoY, PAT for 9 months ended Dec'16 stood at Rs 39.37 crore, up by 106% YoY.