Company Watch

Strides Arcolab's global revenue grows 44 percent

Our News Bureau - Mumbai

Strides Arcolab has recorded consolidated global revenue for the year ended Dec 31, 2005 of Rs 5326 million registering an annualised increase of 44 percent. The EBIDTA recorded a 36 percent annualised growth and profit after tax and minority interest recorded a 38 percent annualised growth over last year.

Sales from global operations grew by 111 percent over the same quarter last year. Indian operations registered revenue growth of 55 percent in the quarter while EBIDTA grew by 75 percent. The company's business in the rest of the world was driven by its strong presence in the AIDS, TB and malaria segments.

Business in regulated markets continues to grow faster than other segments. Sales were recorded at Rs 1735 million an 82 percent growth over the previous year. The company commenced ANDA submissions in the US market and successfully converted significant business of other regulated markets of Europe, Australia and South Africa. Commenting on the results, Mr Arun Kumar, Vice-Chairman and Group CEO of Strides Arcolab said, "The current year reflects the contribution of significant growth from all our major businesses and regions. The contribution from regulated markets has significantly gone up to 33 percent of revenues in the current year. With the new filings from state-of-the-art R&D center, we are strongly positioned for future growth in revenue and profits in the coming years."

The company expects European market to add to the regulated markets growth in the coming years by cross-filing its US product pipeline. Strides entered Europe in the last quarter of 2005 through acquisition of Belta Pharma, an Italian pharmaceutical company specialised in manufacturing semi-solids. The company's acquisition plan of a sterile facility in Poland is expected close in early 2006, after receiving government approvals in Poland.