IOL Chemicals and Pharmaceuticals’ latest financial results show almost 100% growth in operating profit

IOL Chemicals and Pharmaceuticals Limited (IOLCP), one of the largest producers of APIs, Ibuprofen and specialty chemicals in India, has announced its financial results for the quarter ended September 30, 2010. The figures clearly show a growth of almost 100% YoY in IOLCP’s profit from operations before taking interests into account, both for the quarter and half-year ended September 30, 2010. The profit from operations before taking interests into account has risen to over Rs.10 crore during the quarter owing to more than 30% increase in the revenue from the sales in the Drugs segment. The Profits before tax and interest in both the Chemicals and Drugs segments have also seen an increase of almost 60% and 200% respectively!

Mr. RK Thukral, Executive Director, IOL Chemicals & Pharmaceuticals said, “We are extremely encouraged by the sustained progress being made by our company pursuant to the completion of comprehensive expansion plans earlier this year. We are making progress on many fronts and with IOLCP getting the approvals for exporting Ibuprofen to European Union countries, we are sure to end the current financial year on a high note and achieving our aim for total sales of Rs.450 crore during the current financial year a fair possibility.”
There have been many good developments for IOLCP during the past few months. The company has recently obtained a Certificate of Suitability for its manufacturing facilities for Ibuprofen from European Directorate for the Quality of Medicines and HealthCare. These certificates are recognised by the European Union and by many other countries including Canada, Australia, New Zealand, Tunisia and Morocco. This development will enable IOLCP to export its most popular product Ibuprofen to all these countries and further boost its sales and revenue figures in the coming quarters.
The shares of IOLCP have also been listed on NSE and trading commenced earlier this month. IOLCP also has completed financial closure of its multi-purpose PPIs plant (anti-ulcerant drugs) and other pharmaceutical intermediate products planned with a CAPEX of Rs.130 Crore. IOLCP has invested Rs.15.04 Crore in this plant till 30 September, 2010.
IOLCP The company has also raised USD 5 million on 28 May 2010 and further raised additional funds of USD 2 million on 27 August 2010 through FCCB by exercising green shoe option out of USD 10 million, aggregating USD 7 million.

“The company owes much of this growth to its sustained efforts to improve upon productivity, cut down on costs, eliminate wastage and become more self-reliant in terms of procurement of raw materials and power generation. We are confident that we will be able to achieve even better numbers in the current financial year and will soon be amongst the frontrunners in the Indian chemicals and pharmaceuticals industries,” added Mr. Thukral.

During the last financial year, IOLCP commenced the manufacturing operations at its new plant of Isobutyl Benzene (IBB) having annual capacity of 6600 MT to ensure ready availability of the basic raw material for its successful pharmaceutical product, the anti-inflammatory/analgesic drug, Ibuprofen. This facility for manufacturing of Iso Butyl Benezene is the second largest in India in terms of manufacturing capacity.

The production capacity of Ibuprofen, which has been the stronghold of IOLCP’S pharmaceutical operations, also saw an enhancement during the last financial year. Ibuprofen is used to reduce fever and treat pain or inflammation caused by many ailments such as headache, toothache, back pain, arthritis, menstrual cramps, or minor injuries.

IOLCP also commenced operations of Mono Chloro Acetic Acid(MCA) with a capacity of 7200 TPA and Acetyl Chloride with a capacity of 5200 TPA, other major raw materials for the manufacture of Ibuprofen using Acetic Acid and Acetic Anhydride as a raw material.

IOLCP also commissioned a new power cogeneration plant with additional capacity of 13MW in addition to the existing cogeneration plant of 4MW. As of today, IOLCP has its own captive power generation capability of 17MW, which makes it extremely self-reliant in terms of its energy needs making its operations and profitability more sustainable.

About IOL Chemicals and Pharmaceuticals Limited
Established in 1986, IOLCP, a NSE & BSE listed company, is one of the largest manufacturers of APIs and specialty chemicals with presence in over 52 countries across the world. IOLCP manufactures and supplies APIs and speciality chemicals for use in various pharmaceutical, Textile, Packaging, Lamination, Pesticides, and Food processing applications. Its product portfolio includes APIs, Ibuprofen, specialty chemicals such as ethyl acetate, acetic anhydride, Iso Butyl Benzene, Mono Chloro Acetic Acid and Acetyl Chloride and bulk chemicals such as Glacial Acetic acid. IOLCP is currently in a phase of expansion with an investment outlay of Rs. 256 crore which would include capacity expansion for its various product lines, forward and backward integration and increase in cogeneration of power. IOLCP's overseas customers are spread out across several countries including Argentina, Brazil, China, Denmark, Germany, Singapore, Hong Kong, Kenya, Malaysia, Peru, Egypt and many others. The company has strong business relationships with a number of prestigious clients such as Ranbaxy Labs, Aurbindo Pharma, Dr Reddy, DS Group, CIPLA, Uflex Industries, ITC Limited, ICI Paints, Asian Paints, Pidilite, Rallis India, Hindustan Polymide, Gujarat Super Phosphate, Avon Organics Ltd. etc.

IOL Chemicals and Pharmaceuticals Limited
85, Industrial Area- A
Ludhiana - 141 003, Punjab (India)
Website: www.iolcp.com

Media Contact: Rish Mon
Phone: +91 9971722917
Website: www.creativizt.com

This release was published on openPR.