Views on Aurobindo Pharma Ltd 4QFY2016 Results: Angel Broking

Views of Ms. Sarabjit Kour Nangra (VP- Research Pharma, Angel Broking) on Aurobindo Pharma Ltd 4QFY2016 Results:

"For 4QFY2016, the company posted results below expectations on the net profit, while sales and OPM were mostly in line with the expectations. On the sales front, the sales came in at INR 3474cr, posting a growth of 18.5%. The sales growth during the quarter was aided by the formulation sales (80% of the sales), which posted a growth of 19.6%, while API, which constituted around 20% of sales posted a growth of 14.5%. On the operating front the margins came in at 23.5%, mainly in line with expectations. On the net profit front, the company posted reported profit of INR 563cr, a growth of 39.4%. Apart from the sales growth and OPM expansion, the higher other income during the quarter, aided the net profit growth. The other operating income during the quarter came in at INR 72cr V/s INR 18cr during the last corresponding period. We maintain our BUY rating on the stock."

Shares of AUROBINDO PHARMA LTD. was last trading in BSE at Rs.789.5 as compared to the previous close of Rs. 789.25. The total number of shares traded during the day was 80414 in over 2897 trades.

The stock hit an intraday high of Rs. 795.8 and intraday low of 778. The net turnover during the day was Rs. 63139312.

Source : Equity Bulls

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