India's top drug maker by sales, Ranbaxy Laboratories has reported a loss of Rs464-crore in the second quarter of the financial year primarily due to huge losses incurred in the foreign exchange market.
The company lost Rs 651 crore during the quarter to foreign currency fluctuations. The profitability took a hit due to mark-to-market (MTM) requirements for long dated derivative transactions and foreign currency denominated loans.
It had made a profit of Rs 307 crore in the same period previous year. The consolidated revenue of the firm increased 7.8 per cent to Rs 2,028 crore in the quarter.
Meanwhile, after a settlement in 2008, Ranbaxy will soon launch the low-cost version of Pfizer's Lipitor with exclusive rights for six months in the US on November 30. The launch is expected to generate about $550 million for the company over a six-month period.
However, there are serious concerns over the company's ability to launch the drugs on time. It has been holding discussions with the American authorities form the last two years. There are some reports suggesting the Indian firm would tie up with Israeli firm, Teva to launch the drug in the US.
"A lot of our plans (for the launch of generic version of Lipitor) are ready. The reality will be out soon. Our estimate is it will not (lessen the exclusivity period)" said Ranbaxy CEO and MD Arun Sawhney.
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