RPG Life Q2 net profit jumps 4-fold to Rs 10.25 crore

Drug firm RPG Life Sciences, on Friday, reported a four fold jump in net profit to Rs 10.25 crore for the second quarter ended September 30, mainly on account of sale of the biotech business. The company had posted a net profit of Rs 2.56 crore for the corresponding period of the last fiscal, RPG Life Sciences said in a filing to BSE.

Standalone total income from operations also rose to Rs 78.60 crore for the quarter under review as against Rs 68.41 crore in the same period a year ago. The profit after tax includes an exceptional profit of Rs 7.38 crore on account of sale of the biotech business which was concluded at the end of the first quarter, RPG Life Sciences said. "It reflects the many strategic changes that we have undertaken over the last 18 months," RPG Life Sciences MD CT Renganathan said.

The sale of biotech business and the acquisition of 7 brands from Sun Pharmaceutical Industries are steps towards strengthening the business, he added. "We remain focused on growing our domestic and international formulations business," Renganathan said. The asset purchase agreement for 7 brands from Sun Pharmaceuticals was concluded today and the commercialisation of these brands will start from this quarter, RPG Life Sciences said. Shares of RPG Life Sciences on Friday closed at Rs 505.15 per scrip on BSE, down 0.15 % from its previous close.