Hikal reports net profit of Rs 5 crore for Q1

Life sciences outsourcing company Hikal reported a net profit of Rs 5 crore for the quarter ended 30thJune, 2012, 66% lower as compared to Rs 15cr for the corresponding quarter last year. The company reported a 16% hike in net sales from Rs 133cr to Rs 165 crore. Jai Hiremath, Chairman & Managing Director, Hikal Ltd. said, "We have had a good start to this financial year. Our revenues are up by 16 % to Rs. 165 crore.

Our crop protection business has grown significantly by 45% this quarter on the back of increased demand from our customers. Our EBITDA for this quarter has increased considerably by 31 %. However, due to the significant depreciation of the Rupee versus the US dollar, our net profit has decreased on account of the forward contracts and hedges booked in the prior year. The effect of these hedges will decrease substantially during the second half of the year. The forecast from our customers for the remaining year is encouraging and we expect to sustain our growth."

The results for the quarter include Acoris Research which was merged with the company as of 31 stMarch, 2012.