Pharma major Dr. Reddy’s Laboratories posted an eight per cent growth in consolidated net profit for fourth quarter ended March 31, 2015 at Rs.519 crore against Rs.482 crore in the year ago period. Consolidated revenues rose 11 per cent to Rs.3,870 crore (Rs.3,481 crore).
The company registered good growth in the generics markets of North America, Europe and India, with 15, 32 and 16 per cent rise in revenues respectively.
In the full fiscal, consolidated net profit grew three per cent to Rs.2,218 crore (Rs.2,151 crore), while consolidated revenues rose 12 per cent to touch Rs.14,819 crore (Rs.13,217 crore). Senior leadership led by chairman Satish Reddy, briefing presspersons here, said the target this fiscal was double digit growth.
Co-chairman and CEO GV Prasad and Saumen Chakraborty, president and CFO, said capital expenditure in 2015-16 would be in range of Rs.1,000-1,200 crore.
Dr. Reddy’s board has recommended a dividend of Rs.20 per equity share (face value of Rs.5 each) for 2014-15. —
Vijaya Bank’s Q4 profit dips
Vijaya Bank witnessed a 29 per cent decline in its net profit at Rs.96.80 crore in the fourth quarter ended march 31, 2015, compared to the same period last year. Total income was marginally higher by 12.5 per cent at Rs.3,406.12 crore compared to the same period last year.
Commenting on the result, Vijaya Bank CMD Kishore Kumar Sansi said: “The profitability affected majorly due to the staff wage settlement to the tune of Rs.208 crore and restructuring of four major stressed assets in power and infrastructure space of Rs.421 crore.”
For the full fiscal year, the net profit was up by 5.6 per cent to Rs.439.41 crore from Rs.415.91 crore in the previous fiscal.
Total income increased to Rs.13,153 crore registering a growth of 15.2 per cent compared to the same period last year.
AL’s annual net profit zooms
Ashok Leyland has posted a net profit of Rs.230 crore in the fourth quarter ended March 31, 2015, when compared with Rs.363 crore, which was buoyed by an exceptional income of Rs.376 crore.
However, its profit before tax stood at Rs.296 crore as against a loss of Rs.16 crore. Revenues stood at Rs.4,506 crore against Rs.3,077 crore, a rise of 46 per cent.
“Our EBITDA was up four times during the quarter and we achieved an operating margin of over 10 per cent during the quarter,” said Vinod K Dasari, Managing Director.
For the year ended March 31, 2015, the net profit zoomed to Rs.335 crore from Rs.29 crore in the previous year, on the back of strong operating performance. Its EBITDA has risen significantly to Rs.1,027 crore from Rs.117 crore.
“A combination of factors boosted our performance in 2014-15. Volume growth had an impact. Average price realisation was higher by 1-2 per cent. Cost cutting measures and better product mix (that is, company sold more higher tonnage vehicles),” Mr. Dasari said.
Referring to an exceptional item, that is, diminution in the value of investments in its LCV (light commercial vehicle) joint venture (JV) with Nissan, Mr. Gopal Mahadevan, Chief Financial Officer, said AL’s investments in the JV was reduced by Rs.224 crore as a strategic decision. It was also learnt that the AL-Nissan LCV JV would stick to goods vehicles only and moved out of LCV passenger business. Thus, the company stopped producing Stile, 7-seater vehicle, 3-4 months ago.
“Poor customer response” was cited as the reason for the decision.
Mr.Dasari also said the company was looking at establishing bus assembly facilities in Middle East and Africa either on its own or with a partner.
Each facility may entail an investment of Rs.20-25 crore.
