Wockhardt falls owing to weak results

Pharmaceutical and Biotechnology major, Wockhardt on Aug 13 has declared its Q1FY17 results. In this quarter, company has failed to impress. Infact it has disheartened many of its investors. In Q1FY17, net profit of the company stands at Rs 15.89 crores which has fallen by 83 per cent as compared to Q1FY16.Revenue stands at Rs 1090.83, which has too fallen by 4 per cent. EBITDA in Q1, has remained fragile at Rs 48.86 crores.Company in Q1FY17 has reported a forex loss of Rs 9.9 crore against forex gain of Rs 15 crore in the year-ago period. Tax credit for the quarter stands at Rs 9.4 crore against tax expenses of Rs 31 crore in the same period last year.

Company’s UK business has displayed a strong performance and has grown by 26 per cent in Q1FY17 as compared to corresponding quarter of the previous fiscal. Company has resorted to 3 new filings and has received 1 new approval in the UK market. India business has grown by 10 per cent in Q1FY17, on account of continued new product launches and focused strategies on various therapies.

On the other hand, shares on Aug 16, have opened at 804, and are down by 2.37 per cent. 52-week High/Low stands at Rs 1748/706. In the last 5 days, shares have taken a nosedive falling by 14 per cent.Company has 7 hospitals across India. Wockhardt's market presence covers formulations, bio pharmaceuticals, nutrition products, vaccines and active pharmaceutical ingredients (APIs).