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Merck India: Restructuring drives growth

Dec 30, 2003

Merck India is a 51% subsidiary of Merck KgaA, Germany. The company derives almost 60% of its revenues from its pharmaceutical business and the balance from chemicals. The company’s pharmaceutical business comprises mainly of vitamins, cardio-vascular drugs, and cough and cold preparation. The chemical business on the other hand, comprises of analytics, reagents, scientific laboratory products and pigments.

Novartis: Margins improve, sales lacklustre

May 2, 2002

Novartis India has ended FY02 on an encouraging note. While sales represent a 7% rise, net profit has grown at a faster pace thanks to a rise in operating margins, lower interest cost and positive impact from the closure of the loss making Ciba Vision operations. A sustained rise in margins for all the four quarters of the current year was ensured on the back of better price realisations, control over input costs and re-launch of its key brands.

E.Merck: Healthy performance

Apr 5, 2002

E.Merck (India), the subsidiary of the German multinational Merck, reported encouraging numbers for the year ended Dec' 01 (FY02). A topline growth of 8% reported by the company is comparatively better than the performance of other MNC pharma peers. Both sales and operating margins improved on the back of upward price revision and relaunch of its vitamin brand Neurobion in June 2000.

Novartis: Margins on upward spiral

Jan 28, 2002

Novartis India has declared encouraging results for 3QFY02. Net profits have leapfrogged by more than 100% on a back of sharp spurt in operating margins. However, the growth in topline has slowed down considerably with just 2% growth in the concerned quarter. Subsequent to completion of the demerger of its agribusiness and amalgamation of Ciba CKD Biochem, the company has recast prior period results. The results are thus comparable on a year to year basis.

Novartis India: An update

Nov 9, 2001

Novartis India has gone through a major restructuring exercise in the last one year. The company has hived off/ discontinued its loss making businesses and vertically integrated its operations. The results of the same are now becoming apparent.

E.Merck: Shifting focus

Sep 18, 2001

E.Merck (India), subsidiary of the German multinational Merck, reported a healthy topline performance for 2QFY02. While the company managed to log double digit topline growth operating margins were under pressure. The growth in sales is primarily due to an upward price revision in its vitamin brand Neurobion in June 2000.

Novartis: Operating margins disappoints

Jul 27, 2001

Novartis India has posted a net profit of Rs 92 m for 1QFY02 as against Rs 186 m in the corresponding quarter last year. However, the figures for the year are not comparable as the company demerged its agrochemical business, which resulted in this sharp decline in turnover and profits. The company also decided to exit the lens and lens care business of CibaVision with effect from December 2000 due to unviability of the same.

Novartis FY01 net at Rs 526 m

Jun 29, 2001

Novartis India has posted a net profit of Rs 526 m for FY01 as against Rs 1,034 m for FY00. However, the figures for the year are not comparable as the company demerged its agrochemical business, which resulted in this sharp decline in turnover and profits. Again, in the current year, the management also decided to exit the lens and lens care business of CibaVision with effect from December 2000. This is based on the ground that the business did not reach a critical mass within a reasonable peri

A strong dose from E. Merck

Oct 19, 2000

E. Merck has reported impressive results for the third quarter ended September 2000 with a net profit growth of 62.75% to Rs 118.36 m (from a level of Rs 72.72 m in the second quarter). This is on the back of a 16.48% rise in the net sales to Rs 744.30 m. Interest expenditure has gone down almost 76% to Rs 3.73 m.

E. Merck: The vitamin king consolidates

Sep 30, 2000

E. Merck is the market leader in vitamins and derives over 60% of its turnover from this segment. Three of its vitamin brands Evion, Neurobion and Polybion contribute almost 45% of the company’s turnover. All three however are under price control and are likely to remain that way for some time to come.

E Merck: Impressive results from the vitamin king

Jul 21, 2000

E Merck has reported an impressive growth of 79% in net profits at Rs 113.61 million for the quarter ended June 30, 2000 over the same period in the last fiscal. This, despite the fact that the sales have grown by 9.85% only. A part of the reason for this growth is that the company had written off VRS expenditure paid to the workers when it closed its Taloja plant. Besides, E Merck repaid a part of its borrowings last year, which has also contributed to the surge in the bottomline.

German Remedies: Impressive results, attractive valuation

May 27, 2000

German Remedies (GRL) has outpaced the domestic formulation growth of 9.8% and reported a 19% growth in net profit on the back of an 11.7% growth in the topline.

Burroughs Wellcome: Results reflective of continuing domestic slowdown

Apr 26, 2000

Burroughs Wellcome has a relatively older product range vis–a-Glaxo. Quite a few products such as Septran, Actified, Banocide have actually shown a degrowth last year ranging from 6 to 10%. The trend seems to be continuing in the first quarter of the current year as evidenced by the 2.7% growth in the topline.

Impressive results from E Merck

Apr 25, 2000

A 10% increase in sales has lead to tripling of profits at the net level.

Caught in a Catch - 22 Situation

Apr 3, 2000

Globally among pharmaceutical companies new generation biotechnology and novel drug delivery systems seem to be the flavour of the season. The same seems to be happening in the Indian pharmaceutical sector too. This is due to slowdown in the domestic pharmaceutical market and higher emphasis being given to technology and research related companies. The pharmaceutical multinationals in India have strong backing from their parent companies who are very

Dr. Reddy’s, American Remedies merger through

Mar 7, 2000

The legal merger between Dr Reddy’s Laboratories (DRL) and American Remedies (ARL) is through. The merger ratio has been fixed at 1:12 i.e. 1 share of DRL for every 12 shares of ARL.

E Merck's net declines 32%

Feb 19, 2000

E Merck has declared impressive results if one takes into account the fact that the company's net profit has been depressed due to extraordinary provisions on account of inter alia Voluntary Retirement Scheme (VRS) payments. Excluding these provisions which add up to Rs.165 million the company's net profit has ctually grown by 28%. Topline growth has been subdued to 7% though in line with the industry growth.

Morepen Laboratories posts 43% jump in net

Jan 31, 2000

Morepen Laboratories has posted a 30% rise in topline and a 43% growth in profits for the quarter ended 31st December 1999. The company has benefited from a sharp rise in turnover. However interest costs and operating costs jumped significantly during the quarter.

Decent results from Novartis

Jan 29, 2000

Novartis has reported decent results for the third quarter with an 18% jump in the topline and a 46.8% jump in the net profit

Impressive results from German Remedies

Jan 28, 2000

A 14% jump in topline for German Remedies when the domestic formulations are growing by 7–8% is very creditable. More creditable is the improvement in operating margins and a near 40% growth in the bottomline despite a 60% jump in the depreciation provision and a 70% reduction in the other income.

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