The Hindu Business Line : Europe acquisitions buoy Wockhardt’s performance

Mumbai, Feb. 20 Benefits from acquisitions in Europe helped buoy drugmaker Wockhardt’s performance for the year 2007. The company’s consolidated performance saw a 22 per cent growth in its net profit to Rs 106 crore for the three months ended December 31, 2007 compared with Rs 87 crore in the corresponding period ended December 31, 2006.

Total income increased to Rs 765 crore (Rs 534 crore) for the quarter under review.

For the year ended December 31, 2007, the company posted a consolidated net profit of Rs 385 crore compared with Rs 241 crore in the previous year. Total income increased to Rs 2,664 crore (Rs 1,748 crore). More than 50 per cent of the company’s total revenues came from its international operations.

The Wockhardt Chairman, Mr Habil Khorakiwala, said in a statement: “The value creation in the new acquisitions of Pinewood and Negma in Europe contributed to the growth in profits.”

Standalone profit down

However, Wockhardt’s standalone net profit for the three months under review was down 30 per cent, at Rs 33 crore for the quarter ended December 31, 2007, against Rs 48 crore for the quarter ended December 31, 2006. Total income to Rs 297 crore (Rs 256 crore).

The company’s net profit remained flat at Rs 213.9 crore for the year ended December 31, 2007, against Rs 213.5 crore in the previous year. Total income increased to Rs 1,247 crore (Rs 1,156 crore).

To pay 50% final

Wockhardt’s board has also recommended an additional dividend of Rs 2.50 per equity share, or 50 per cent for the year 2007. The total dividend for the financial year under review is Rs 11.25 per equity share or 225 per cent, the company said. An interim dividend of Rs 8.75 per equity share or 175 per cent was paid in November 2007.

The Wockhardt stock was down 1.35 per cent at Rs 340.70 on the BSE today.