GlaxoSmithKline Pharmaceuticals Limited today declared its financial results for the quarter ended 30th September 2019. Revenue for the quarter came in at Rs.873 crores with a growth of 8%. Profit After Tax (including exceptional items) at Rs.503 crores recorded a growth of 399%.
Exceptional items recognised in the quarter includes divestment of the company's land at Thane for a net consideration of Rs.552 crores, pursuant to receipt of all statutory and regulatory approvals from the concerned authorities. Exceptional items also include the financial impact of product recall detailed below:
GSK has been contacted by regulatory authorities regarding the detection of NOMA in ranitidine products. Based on the information received and correspondence with regulatory authorities, GSK made the decision to suspend the release, distribution and supply of all dose forms of ranitidine hydrochloride products to all markets, including India, as a precautionary action pending the outcome of ongoing tests and investigations. GSK manufactures Ranitidine Hydrochloride IP Tablets 150 mg and 300 mg (Zinetac) for supply to the Indian market.
Further to additional information received and as a precautionary action, GSK made the decision to initiate a voluntary pharmacy/retail level recall of the Zinetac products above from the Indian market. GSK is continuing with investigations into the potential source of the NOMA. These investigations include continued engagement with our API suppliers. Patient safety remains our utmost priority and we are taking this issue very seriously.
Commenting on the results, A. Vaidheesh, Managing Director, GlaxoSmithKline Pharmaceuticals Limited said, "Our global Innovation, Performance & Trust (IPT) strategy underpinned by our culture, has guided investment of our resources in focus therapies which is showing encouraging results with our promoted brands recording +20% growth this quarter. We continue to see the annualizing effect of discontinued tailend brands. Adjusting for this our underlying sales growth is 16% supported by strong volume growth of 11%.
We continue to drive improved operational efficiencies reflecting in our EBITOA margin improving by 2 percentage points, to 22%. We have also seen some early success on the launch of Nucala (Mepolizumab) which is a humanised monoclonal antibody and indicated as an add-on treatment for severe refractory eosinophilic asthma in adult patients.
GSK's consistent commitment to being gender inclusive has been recognised externally. We have been identified among India's Best Workplaces for Women 2019, by the Great Place to Work® Institute and have also, once again, featured as 100 Best Companies for Women in India by Working Mother & Avtar. Both these recognitions are based on feedback from our women colleagues, their engagement and perceptions and also from assessment of our existing policies and processes as benchmarked against the best in the industry."
Shares of GLAXOSMITHKLINE PHARMACEUTICALS LTD. was last trading in BSE at Rs.1469.15 as compared to the previous close of Rs. 1440.15. The total number of shares traded during the day was 17683 in over 1841 trades.
The stock hit an intraday high of Rs. 1505.9 and intraday low of 1430. The net turnover during the day was Rs. 25826734.