Ranbaxy's 2006 net profit soars 97%

Ranbaxy Laboratories says that its fourth-quarter 2006 profit more than doubled, due to strong sales in the USA. The Indian generics giant said that it will begin due diligence next month on a possible purchase of Merck KGaA's generics unit which the German firm was considering selling (Marketletter January 15).

In 2006, Ranbaxy saw consolidated sales of $1.34 billion, up 17% on the year-ago period, while profit soared 97% to $115.0 million. Earnings before interest, depreciation, tax and amortization sky-rocketed 175% to $208.0 million, while earnings before tax and extraordinary items reached $150.0 million, up a massive 322%.

The firm said that its efforts on controlling operating costs sales sales, general and administration expenses drop (29% to sales versus 33% in the corresponding period).