Granules India is set to launch four new dosages in the US in this quarter, said Krishna Prasad Chigurupati, CMD of the company
“The revenue growth rate in FY19 would be similar to that of FY18 and the growth will be on back of utilisation of new capacities,” said Chigurupati.
Granules India has reported 55% fall in its Q4 consolidated net profit at Rs 20.4 crore on the back of weak operational performance.
Expenses rose sharply in the quarter. The year on year (Y-o-Y) revenues were up 39% to Rs 504 crore, but EBITDA was down 43.6% to Rs 43.63 crore.
Chigurupati said the dip in the margins was due to higher raw material cost because of higher oil prices and shortages. Some plants had to operate at lesser capacity.
Meanwhile, the costs went up because of ramp-up in capacities and they are not being utilised fully, he said adding that the company hopes to get good returns from these investments in future.
Over the year, the trend of raw material prices would be positive because the Chinese have stabilised on environmental controls, he said. Moreover, the price of key raw material that had gone up 100% has also softened now.