Consolidated Results for year 31.03.2010

Editors Synopsis

1. Net sales up by 3% at 267 crores for the quarter ended March 2010
2. Net sales at Rs 1149 crores for year ended 2009-10
3. Net profit for the quarter Rs. 0.42 crores against loss of Rs. 1.47 crores for corresponding quarter last year
4. Net Profit at Rs. 40 crores for year 2009-10
5. Pen G business continues to drag profits down due to unfair dumping by Chinese companies
6. Total formulations regulatory export sales for the year grew by 42% to Rs. 102 crores vis-à-vis Rs. 72 crores over previous year.
7. Dividend of Rs. 0.50 per equity share i.e. 25%. (PY -
   Rs. 0.40/- per share i.e. 20%)

Vadodara, May 5, 2010: Alembic Limited reported net sales for the year ended March 31,
2010 at Rs 1149 crores (up by 1%) compared to Rs 1134 crores
in previous year, while net profit for year ended March 31, 2010
was Rs. 39.54 crores against Rs 10.82 crores posted in last fiscal.

Sales for the fourth quarter stood at Rs 267 crores, as compared to Rs 259 crores in the corresponding quarter previous year. The Company reported a net profit of Rs 0.42 crores for the quarter ended March 31, 2010, as against net loss of Rs 1.47 crores posted in the same period of last fiscal.

International Business:

Total Export sales for the year de-grew by 2% to Rs. 445.09 crores vis-à-vis Rs. 455.36 crores over previous year.

The Company’s efforts in last few quarters to get into regulated markets  have  given  good  results.  Total  sales  to  Regulated markets  of formulations  increased  by  42%  to  Rs.  102  crores against Rs. 72 crores for last year.

The penicillin prices again continue to be subdued at around 7.5$ / BU for quarter and has become a major drag on the company’s profits.  Company’s  efforts  for  Government  intervention  on implementing Anti Dumping Duty on Penicillin imports in country has not yielded results.

Domestic Formulation Business:

Domestic formulations sales grew by 6% during the year and posted sales of Rs. 584.90 crores against Rs. 554.19 crores in previous year.

Company recorded secondary sales growth of 25% in March 2010
MAT against Industry growth of 18%. The market share grew to 1.91% against 1.81% (as per ORG IMS – March 2010). Azithral recorded Rs. 102 crores of sales. This is first ever Alembic brand to reach Rs. 100 Crore mark in ORG IMS. It is 16th brand in Industry to cross Rs. 100 Crore sales.

With  this  background  Company  is  confident  of  posting  much better  results  both  in  terms  of  sales  and  profitability  in  non Penicillin business.

Summary of total revenue for the full year is as under:

(Rs. In lacs)

Summary of total revenue for the quarter is as under:

(Rs. In lacs)

The profit break-up for the year is as under:

(Rs. In lacs)

The profit break-up for the quarter is as under:

(Rs. In lacs)

Earnings per Share (EPS) for the year ended March 31, 2010 worked out to Rs. 2.93 as compared to Rs. 0.78 for last fiscal.

The Board has recommended dividend of Rs. 0.50 per equity share i.e.
25%  for  the  year  ended  March  31,  2010,  against  dividend  of  Rs. 0.40/- per equity share i.e. 20%  for last year.

About Alembic Limited

Established in 1907, Alembic Ltd. is a leading pharmaceutical company in India. The company  is  vertically integrated  with  the  ability  to develop, manufacture and market pharmaceutical products, pharmaceutical substances and Intermediates. Alembic is the market
leader in Macrolides segment of anti-infective drugs in India.

Alembic’s manufacturing facilities are located in Vadodara and Baddi in Himachal Pradesh. The plant at Vadodara has the largest fermentation capacity in India. The Panelav facility houses the API and formulation manufacturing (both US FDA approved) plants. The plant at Baddi, Himachal  Pradesh  manufactures  formulations  for  the  domestic  and non-regulated  export  market.  The company has a state of the art Research Centre at Vadodara.

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