Tax expenses hurt Lupin's profit in FY12, but sales up 22% on growth in core markets
This article was originally published in Scrip
Executive Summary
Lupin has reported a 22% increase in net sales to Rs69.59 billion ($1.29 billion) for the year ended March 2012 backed by strong growth across its key geographies of the US, Japan and India, but tax expenses took the sheen off profits during the year. Net profits increased marginally to Rs8.67 billion as compared with Rs8.62 billion, largely due to a 168.3% increase in tax outflows to Rs3.08 billion on account of an increase in effective tax rates and tax on inventories shipped to overseas subsidiaries for new launches. Profits in the last quarter declined by 31% to Rs1.56 billion on account of tax expenses.