Glenmark Q1 net triples to Rs 57 cr

MUMBAI: Glenmark Pharmaceuticals’ net profit more than tripled to Rs 57.2 crore during the first quarter ended June 2007 on the back of overseas acquisitions and growth in US business. Consolidated net sales rose 92% to Rs 351.4 crore during the quarter.

As the company rapidly scaled up its product portfolio in the US, revenues rose 258% to Rs 82.6 crore during the review quarter compared with Rs 23 crore in the year-ago period. Glenmark’s US subsidiary received six new product approvals during the quarter and made seven new product filings. With these filings, Glenmark now has over 35 abbreviated new drug applications, pending approval in the US.

The Mumbai-based pharma company kicked off its operations in Europe with the acquisition of Czech Republic’s Medicamenta this year. The Czech company posted revenues of Rs 9.3 crore during the quarter.

Glenmark’s Latin American business including the domestic company’s Brazilian and Argentinean subsidiaries — Glenmark Farmacjutica and Servycal — almost tripled this quarter to Rs 55.3 crore on the back of new product launches. Glenmark recorded revenues of Rs 128 crore in the domestic formulation market, representing a 49% rise over the corresponding quarter of the previous year.

Earlier this month, Glenmark acquired two new biological drugs in early stages of development from Canadian company Chromos Molecular Systems for an undisclosed amount.

The two drugs, CHR-1103 and CHR-1201, are part of a validated class of drugs known as SAMI’s (selective adhesion molecule inhibitors) that includes drugs like Eli Lilly’s ReoPro, Genentech’s Raptiva or Biogen’s Tysabri.

CHR-1103 is targeted at multiple sclerosis while CHR-1201 is an anti-thrombolic humanised monoclonal body, which Glenmark will develop to treat acute stroke. Glenmark plans to initiate phase I of clinical trials to test its sclerosis drug safety by 2008 while clinical development of its acute stroke treatment is expected to start only by March 2009.