X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2017 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
Cipla net vaults 44%; sales up 35% - Views on News from Equitymaster
 
 
  • PRINT
  • E-MAIL
  • FEEDBACK
  • A  A  A
  • Oct 24, 2000

    Cipla net vaults 44%; sales up 35%

    Cipla has reported impressive results for the second quarter ended September 2000. While the net sales has increased by 35% the net profit has jumped 44%. The jump in turnover is particularly impressive when seen in the light of the fact that the domestic market has grown by only 12%.

    (Rs m) 2QFQ00 2QFY01 Change
    Sales 1,997 2,697 35.0%
    Other Income 71 100 41.2%
    Expenditure 1,549 2,063 33.2%
    Operating Profit (EBDIT) 448 634 41.4%
    Operating Profit Margin (%) 22.4% 23.5%  
    Interest 4 2 -52.6%
    Depreciation 38 45 20.0%
    Profit before Tax 478 687 43.8%
    Other Adjustments      
    Tax 120 170 41.7%
    Profit after Tax/(Loss) 358 517 44.6%
    Net profit margin (%) 17.9% 19.2%  
    Earnings per share* 23.85 34.47  
    (annualised)      

    The domestic turnover has increased by 30% on the back of new product launches in asthma and cardiovascular which are outside the purview of the Drug Price Control Order (DPCO). Moreover, exports have grown by almost 50% quarter on quarter. Infact, exports account for almost 23% of sales. These do not however consist of the exports of the anti–ulcer bulk drug omeprazole which are expected to occur in the third quarter.

    The other income has been powered by fees for technology transfer. These account for 30% of the other income and are expected to be recur in the future.

    The stock quotes at a price of Rs 806, which implies an earning multiple of 23 times FY01 annualised earnings. These numbers are much better than our expectations. We had expected an EPS of Rs 27 for FY01 whereas the company’s annualised earnings per share works out to Rs 34. The company’s domestic sales growth of 30% has obviously provided the kicker for the higher margins and profits. We would prefer to check out the third quarter’s results before upgrading our estimates.

     

     

    Equitymaster requests your view! Post a comment on "Cipla net vaults 44%; sales up 35%". Click here!

      
     

    More Views on News

    Cipla: Operating Margins Improve (Quarterly Results Update - Detailed)

    Mar 8, 2017

    Cipla has announced its results for the December quarter (1QFY17) results. The company has reported a decline of 6.4% YoY in sales while profits were down by 43.7% YoY.

    Cipla: Weak Quarter, Positive Triggers Ahead (Quarterly Results Update - Detailed)

    Sep 19, 2016

    Cipla has announced its results for the June quarter (1QFY17) results. The company has reported a decline of 6.4% YoY in sales while profits were down by 43.7% YoY.

    Sun Pharma: Bottomline Slips into the Red Amidst Challenging Environment (Quarterly Results Update - Detailed)

    Aug 14, 2017

    A challenging environment and one-time expense pushes Sun Pharma into a loss in the first quarter.

    Lupin: Bigger Challenges or Bigger Margin of Safety? (Quarterly Results Update - Detailed)

    Aug 14, 2017

    GST impact coupled with price erosion in US leads to lower profits for the quarter.

    Dr Reddy's: US Pressure Continues to Haunt (Quarterly Results Update - Detailed)

    Aug 8, 2017

    Profits plunge due to higher raw material costs.

    More Views on News

    Most Popular

    A 'Backdoor' to Multibaggers: It's Like Investing in Asian Paints Ten Years Ago(The 5 Minute Wrapup)

    Aug 10, 2017

    Don't miss these proxy bets on growing companies or in a few years you will be looking back with regret.

    The Most Profitable Investment in the History of the World(Vivek Kaul's Diary)

    Aug 8, 2017

    'Yes, it looks like a bubble. And, yes, it's like buying a lottery ticket. But there's something happening that has never happened before. It's an evolutionary leap in money itself.'

    Should You Invest In Bharat-22 ETF? Know Here...(Outside View)

    Aug 8, 2017

    Bharat-22 is one of the most diverse ETFs offered so far by the Government. Know here if you should invest...

    Signs of Life in the India VIX(Daily Profit Hunter)

    Aug 12, 2017

    The India VIX is up 36% in the last week. Fear has gone up but is still low by historical standards.

    Bitcoin Continues Stellar Rise(Chart Of The Day)

    Aug 10, 2017

    Bitcoin hits an all-time high, is there more upside left?

    More
    Copyright © Equitymaster Agora Research Private Limited. All rights reserved.
    Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

    LEGAL DISCLAIMER: Equitymaster Agora Research Private Limited (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA or Canada, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.

    SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

    Equitymaster Agora Research Private Limited. 103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
    Telephone: +91-22-61434055. Fax: +91-22-22028550. Email: info@equitymaster.com. Website: www.equitymaster.com. CIN:U74999MH2007PTC175407
     

    Become A Smarter Investor In
    Just 5 Minutes

    Multibagger Stocks Guide 2017
    Get our special report, Multibagger Stocks Guide (2017 Edition) Now!
    We will never sell or rent your email id.
    Please read our Terms

    CIPLA SHARE PRICE


    Aug 21, 2017 12:19 PM

    TRACK CIPLA

    CIPLA 5-YR ANALYSIS

    Detailed Financial Information With Charts

    COMPARE CIPLA WITH

    MARKET STATS