Glenmark Pharma registers biggest intraday fall in 7 years post Q4 results

Shares of Glenmark Pharmaceuticals plunged as much as 15.96 per cent in trade on Friday and registered their biggest intraday fall in seven years. The scrip plunged after the company reported lower than expected financial results for the quarter ended March 31, 2017.

Glenmark Pharmaceuticals on Thursday reported 23.5 per cent rise in consolidated net profit to Rs 183.76 crore for the fourth quarter ended March 31, 2016-17, mainly on account of robust sales in the US. In comparison, it had posted a net profit of Rs 148.79 crore for the January-March period of 2015-16, Glenmark said in a filing to BSE.

According to ICICI Securities, Glenmark Pharmaceuticals' Q4 FY17 results were below estimates on all fronts.

The scrip was trading 13.26 per cent down at Rs 785 around 9.33 am (IST). Shares of the company opened at Rs 813.95 and touched an intraday high and low of Rs 835 and Rs 760, respectively, in trade so far. Benchmark BSE Sensex was trading 10 points down at 30,240 at around the same time.

The company's revenue from operations rose to Rs 2,457.18 crore for the quarter under review as against Rs 2,306.67 crore for the same period a year ago.

For the entire 2016-17 fiscal, the company's net profit stood at Rs 1,108.75 crore as against Rs 743.04 crore for the previous financial year.

Consolidated revenue from operations of the company also rose to Rs 9,185.68 crore for the financial year ended March 2017. It was Rs 7,649.58 crore in 2015-16.

Glenmark Pharma however had a decrease of revenue for the fourth quarter from Europe, Latin American and Caribbean countries and from Africa, Asia and CIS region as against a year ago.

In a separate filing the company said its board has recommended dividend of Rs 2 per share (face value of Re 1 each) on its equity share capital for the financial year 2016 -2017.