The shares of the pharmaceutical company jumped 6 percent after it received an Establishment Inspection Report (EIR) from the US FDA regarding a closure of the inspection.
With a market capitalization of Rs. 28,315 crores, the shares of Gland Pharma Ltd started Friday’s trading session on a higher note at Rs. 1,714 compared to its previous close at Rs. 1,707. The share hit a high of Rs. 1817.70 making a gain of around 6 percent and currently trading at Rs. 1,764 apiece.
Such a bullish movement was observed after the company in an exchange filing mentioned that it received the Establishment Inspection Report (EIR) from the US Food and Drug Administration (US FDA) for the closure of inspection at its Pashamylaram facility at Hyderabad.
The inspection was conducted between August 23 and 26. This was a pre-market inspection covering the US FDA’s quality system for the current and good manufacturing practice regulations for medical devices by the US FDA.
Looking at the Financial statement, the company’s revenue increased by 14 percent from Rs. 1,373 crores in the June quarter to Rs. 1,208 crores in the September quarter. Furthermore, the net profit marginally improved by 0.15 percent from Rs. 194.1 crores to Rs. 194.8 crores during the same period.
Coming onto the important financial ratios, the return on equity decreased from 18.61 percent in FY 21-22 to 10.34 percent during FY22-23. In addition, the return on capital employed declined from 24.85 percent to 14.04 percent in the same time horizon. The company’s debt-to-equity ratio is zero which means that the business hasn’t relied on borrowing to finance operations.
According to the latest shareholding pattern, Promoters of the company have 56.86 stakes in the company, the Public or Retail Investors have 14.78 percentholdings, DIIs have a considerable stake of 22.45 percent shares and the remaining 4.8 percent stakes are with FIIs.
Headquartered in Hyderabad, Gland Pharma Ltd is one of the subsidiary companies of Shanghai Fosun Pharma and was incorporated in 1978. The company has expertise in sterile injectables, oncology, and ophthalmic segments, and focuses on complex injectables.
Written By Vaibhav Patil
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