Glenmark Pharma trades higher despite pharma firm reports loss in December quarter

Glenmark Pharma Share Price: Glenmark Pharma is trading higher on BSE on Thursday (February 15, 2024) despite reporting loss and missing Zee Business research estimates in its December quarter results reported a day ago.

The stock was trading up by 0.38 per cent, or Rs 3.00, at Rs 799.30 at 10:48 am on Thursday.

The Glenmark Pharma stock that closed at Rs 796.30 on Wednesday before the company announced its third quarter results started the trading session on Thursday at Rs 766.65. It reached the

day's high of Rs 847.30, a 6.40 per cent rise from Wednesday's closing price. 

Glenmark Pharma Q3 Results

The large-cap pharma company slid to a consolidated loss of Rs 470 crore in the December quarter against a profit of Rs. 168 crore Year-on-Year (YoY).

Zee Business research estimate for the same was Rs. 281 crore. The exceptional loss related to its Indian business was Rs 767 crore.

The company's revenue from operations in the December quarter declined by 19 per cent to Rs 2507 crore from Rs 3100 crore YoY against analyst estimates of Rs 3452 crore.

Glenmark Pharma's EBITDA for the December quarter slipped to -Rs 209 crore from Rs 474 crore in the corresponding period last fiscal. The analysts estimated the same to be Rs 602 crore.

Gross margins for the third quarter slipped to 59 per cent against 66 per cent in the same quarter last year.

The loss in the December quarter was because the company implemented changes in its overall distribution model for its India business.

These changes were made through the co-solidation of stock points and rationalisation of channel inventories.