(Reuters) - Cipla Ltd, India’s second largest drugmaker by market capitalisation, posted its second straight rise in quarterly profit, slightly above analysts’ estimate, boosted by strong domestic sales.
Revenue from India, its biggest market, rose 12 percent to 16.46 billion rupees ($253.45 million) in the quarter. Domestic revenue accounted for 40 percent of total revenue, which rose 9 percent to 40.82 billion rupees. bit.ly/2AmueVf
“The domestic business witnessed significant ramp-up in line with strong offtake,” said Umang Vohra, global chief executive of Cipla.
However, revenue from North America fell 7 percent to 6.18 billion rupees. Sales have been hit by increased regulatory scrutiny over pricing of generic drugs.
Profit rose 19 percent to 4.23 billion rupees in the quarter ended Sept. 30, the company said. That compares with an average expectation of 4.2 billion rupees in profit, drawn from 18 analysts polled by Thomson Reuters I/B/E/S.
Cipla’s stock was down 5.6 percent as of 0859 GMT in a broader Indian market that was 0.96 percent lower.
($1 = 64.9425 Indian rupees)
Reporting by Jessica Kuruthukulangara in Bengaluru; Editing by Sunil Nair