Lupin posts Rs 123 crore net loss in Q2

Lupin said it has agreed to pay Rs 450.06 crore as settlement in connection with the lawsuit in the US and, accordingly, a provision of Rs 379.18 crore has been made during the quarter.

Mumbai: Drug maker Lupin on Wednesday reported a consolidated net loss of Rs 123.44 crore for the second quarter ended September 30, impacted by provisioning for one-time payment to settle a lawsuit in the US and loss in divestment of injectables business in Japan. The Mumbai-based company had posted a net profit of Rs 288.45 crore in the July-September period of 2018-19.

Total revenue from operations stood at Rs 4,359.65 crore for the second quarter as against Rs 3,951.06 crore in the year-ago period, Lupin Ltd said in a regulatory filing.

The firm said it has agreed to pay Rs 450.06 crore as settlement in connection with the lawsuit in the US and, accordingly, a provision of Rs 379.18 crore has been made during the quarter.

Besides, the divestment of Kyowa CritiCare Co (KCC) was completed during the period with the resultant loss on divestment pegged at Rs 167.3 crore, it added.

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"The reported performance for the quarter was bolstered by the NCE licensing income but impacted by one-off items, adjusted for which, the operational performance was as expected," Lupin Ltd Managing Director Nilesh Gupta said.

The US business has now stabilised and will grow based on ramp up of our in-line products and levothyroxine and the launch of injectables portfolio, he added.

"Markets like India continue to deliver solid growth. The next financial year is now looking very strong with important growth drivers like India, the in-line generic business in the US coupled with important launches like generic Albuterol in US and Fostair and Etanercept in Europe," Gupta said.

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