Banks on new product pipeline, revenue falls to Rs 1,753 crore
Orchid Chemicals & Pharmaceuticals (Orchid Pharma) has reported a net loss of Rs 191 crore during the year ended March 31, 2015 as compared to net loss of Rs 530 crore a year ago.
Revenue in 2014-15 stood at Rs 1,753 crore as compared to Rs 1,946 crore registered during the corresponding year ended March 31, 2013 (18 months). The company extended its financial and accounting year by six months to March 31, 2015.
K Raghavendra Rao, managing director, Orchid Chemicals & Pharmaceuticals Ltd said that the approval of the CDR package has helped the company.
"The allocation of part of the sales proceeds for working capital requirements, reduced interest rates on the loans with a moratorium of two years for repayment of the principal and interest has improved the level of operations," he said.
"With the new product pipeline, we are confident of better performance of going forward," Rao added.
The company's CDR package was finalised in December 2013 and approved in March 2014. The company also entered into a Business Transfer Agreement (BTA) with Hospira for the sale and transfer of its Penicillin and Penem API business, the Aurangabad API facility and the Chennai R&D Centre.
Of the total inflow of Rs 1,207 crore (Rs 1,134 crore from sale proceeds and Rs 73 crore from promoter contribution), the company will retire Rs 681 crore to the banks and after payment of tax of Rs 47 crore, the balance of Rs 479 crore will be utilised for working capital and growth needs.