Lupin Second-Quarter Net Profit Rises 24% To INR2.67 Billion

BANGALORE -(Dow Jones)- Lupin Ltd. (500257.BY) Wednesday said its second-quarter net profit rose 24% from a year earlier, as the Indian generic drug maker benefited from its strong performance in the local, U.S. and Japan markets and some licensing income.

Consolidated net profit for the quarter through September rose to INR2.67 billion from INR2.15 billion, just ahead of the INR2.64 billion average of forecasts in a Dow Jones Newswires poll of 10 analysts.

Consolidated sales also grew 24% to INR17.42 billion from INR14.09 billion, higher than the poll estimate of INR16.72 billion.

The results include $20 million upfront payment received from U.S.-based Medicis Pharmaceutical Corp. (MRX) as part of a pact to jointly develop novel drugs.

Sales of finished drugs in the strictly regulated U.S. and European Union markets rose 16% to INR5.98 billion in the past quarter.

Lupin's U.S. performance was helped by a higher number of regulatory approvals in the quarter for drugs like higher-strength generic blood-pressure drug Lotrel and a generic version of contraceptive pill NOR-QD.

The company sells both generic drugs and branded products in the U.S., with a business model aimed at maintaining profitability in a market where the generic business comes under pricing pressure.

Its U.S. performance was supported by strong sales in India and Japan.

Lupin's medicine sales in India rose 22% to INR5.12 billion, while in Japan they grew 14% to INR1.78 billion.

Separately, Lupin said K.V. Kamath has resigned as a director of the company as of Wednesday.