Views on Aurobindo Pharma 3QFY2014 results - Angel Broking

Views of Ms. Sarabjit Kour Nangra (VP-Research-Pharma, Angel Broking) on Aurobindo Pharma 3QFY2014 results:

"Aurobindo Pharma, posted good set of numbers much ahead of expectations. For the quarter, the company posted sales of Rs. 2136cr, V/s expected Rs. 1790cr, registering a growth of 37.6% yoy. The grow was mainly driven by the US formulations, which grew by 81.4% yoy, along with the ARV and EU formulation sales, which posted a yoy growth of 25.4% and 36.6% yoy respectively. API sales on the other hand grew by 12.8% yoy. The increased contribution from the formulations, which was at 65.8% V/s 56.6% during the last corresponding period, aided the gross margins to expand by 8.3% yoy. This along with operating leverage aided the OPM to expand by 14.4% yoy to end the period at 29.9% V/s 15.5% during the last corresponding period. This lead the reported net profit come in at Rs. 418cr V/s Rs. 92cr in 3QFY2014 and the adjusted net profit to come in at Rs. 416cr V/s Rs.137cr during the last corresponding period. We would be revisiting our numbers and rating on the stock."

Source : Equity Bulls

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