GlaxoSmithKline's Q1 numbers not in-line

The nutritional food processing company, GlaxoSmithKline Consumer Healthcare has reported a negative top and bottom line growth in Q1FY17 except for YoY net profits that saw a marginal growth. Company numbers keep on fluctuating every quarter. The stock has tumbled 2.7 per cent at Rs 6181 levels amid uninspiring results.

However, the company is poised to surpass the 10 billion USD market cap, faster than its peers; and the company is expecting a cyclical upturn in FY2016-19 post a poor growth posted in FY16.

Company’s QoQ revenues have dropped 4.8 per cent to Rs 1002.61 crores as against Rs 1052.83 earlier. EBITDA too has dropped 13.1 per cent to Rs 203.52 crores. Company’s net profits stand at Rs160.61 crores as against Rs 180.68 crores, a decrease of 11.1 per cent.

Considering YoY numbers, Company has posted 1.6 per cent drop in its revenues from Rs 1019.26 crores posted during the corresponding quarter of the last year. EBITDA was in line with the Q1FY16, while net profits have seen a growth of 2.9 per cent.

GlaxoSmithKline Consumer Healthcare is a subsidiary of GlaxoSmithKline plc of UK. GlaxoSmithKline Consumer Healthcare’s core business is manufacturing of health drinks under the brand Horlicks. It exports products to countries like Bangladesh, Myanmar, Sri Lanka, Middle East, Fiji, Mauritius, Nepal, Bhutan and many more.