New Delhi: Shares of Cipla slumped over 7 percent even as the company reported a consolidated net profit of Rs 434.95 crore for the second quarter ended September.
The stock dropped 7.18 percent to end at Rs 608.35 on BSE. During the day, it tumbled 8.23 per cent to Rs 601.40.
On NSE, shares of the company plunged 7.21 percent to close at Rs 607.55.
The company’s market valuation fell by Rs 3,785.51 crore to Rs 48,953.49 crore.
In terms of equity volume, 6.99 lakh shares of the company were traded on BSE and over 73 lakh shares changed hands on NSE during the day.
“Continuous negative observations by USFDA on high-quality Indian pharma companies are leading to a downgrade for the sector,” said Vinod Nair, Head of Research, Geojit Financial Services Ltd.
The company had posted a net profit of Rs 369.64 crore for the corresponding period of the previous fiscal, Cipla said in a BSE filing.
Consolidated total income of the company stood at Rs 4,195.74 crore for the quarter under consideration. It was Rs 3,778.25 crore for the same period a year ago.
The company said revenue from operations for the quarter and half year ended September 30, 2017, are not comparable with corresponding previous periods.
Meanwhile, heavy selling was also seen at other pharma counters, with Marksans Pharma tumbling 6.36 percent, Wockhardt falling 4.15 percent, Natco Pharma (3.49 percent) and Sun Pharma (2.50 percent) on BSE.
Led by losses in these stocks, the BSE healthcare index fell by 3.51 per cent to end at 14,037.53.