Orchid Chem Jan-March net falls on forex losses

MUMBAI, May 29 (Reuters) - Drug maker Orchid Chemicals & Pharmaceuticals Ltd (ORCD.BO: Quote, Profile, Research) said on Thursday quarterly net profit fell by a third, hit by notional foreign exchange-related losses, dampening the stock price.

However, Managing Director Raghavendra Rao left his earlier forecast for 2008/09 nearly unchanged.

Net profit for the quarter ended March stood at 158.5 million rupees, including an exceptional loss of 77.8 million rupees.

In the same period last year, its net profit of 242.7 million rupees was boosted by 88.9 million rupees in notional foreign exchange gains.

Quarterly revenue rose 56 percent to 3.79 billion rupees.

Orchid shares extended losses on the results and closed 2.6 percent lower at 244.45 rupees in a weak Mumbai market.

In January, Rao had forecast operating profit margin of 26 percent on 30 percent revenue growth for 2008/09.

"We have chosen products which don't have a lot of competition and this should help us maintain our margins," Rao told Reuters over telephone.

The company plans to launch eight products in the United States and the same number in Europe this fiscal, he added.