Pfizer in News

Pfizer Q2 up two fold ar Rs. 35.89 cr
Mumbai
The Economic Times, The Pioneer, The Hindu Business Line, The Tribune, The Financial Express, Business Standard

PFIZER: RIGHT DOSE
Niraj Bhatt & Amriteshwar Mathur, Mumbai
Business Standard

Pfizer has seen its operating profit (including service income) improve by 34.7 percent y-o-y to Rs 42.64 crore for the quarter ended May 2006, on a 21.1 percent growth in operating income to Rs 172.88 crore.

Operating profit margin also grew by 236 basis points y-o-y to 24.66 percent in the May 2006 quarter. The improved performance in the last quarter has been aided by a better performance in its key pharmaceuticals division. The stock gained 1.1 percent to Rs 769 on Wednesday.

In its pharmaceuticals division, sales rose 26.74 percent y-o-y to Rs 152.36 crore in the last quarter. The company, which generates an overwhelming proportion of its sales from India, has been one of the key beneficiaries of a revival in domestic sales in the past eight months.

Growth momentum for the division has been largely provided by Gelusil (medication for sour stomach and acid indigestion), thanks to its sales showing signs of stabilising in the domestic market, say analysts.

A small stimulus to sales was also provided by recent products launched by the company such as Viagra and Lyrica (medication for management of neuropathic pain).

A higher sales turnover helped the company offset higher costs in the last quarter. For instance, the purchase of finished goods rose 29.9 percent y-o-y to Rs 26.34 crore in the last quarter.

Analysts highlight that the rise was owing to an enhanced proportion of finished products purchased from its parents global operations.

Pfizer has completed the sale of its Hyderabad property in the May 2006 quarter for Rs 12.21 crore and it helped the quarterly net profit grow 132 percent y-o-y to Rs 35.89 crore.