The Silicon Review ^Asia

Cipla is known as the fourth largest drug maker in the country. But now the net profit of the firm has remained muted at Rs 447.2 crore. This happened in the first quarter that was calculated till June 30. The decline happened due to bad sales in South Africa and India. These two countries are the main source of income for the company, which is almost 50%.

The company has now decided to re-model its trade generic business in India. The new move will be happening in the first quarter but the firm feels it will take another quarter to stabilize things. Cipla has done the realignment of the distribution of its trade generic business. The Q2’s end will see new empanel stockists that will aid the company to compensate for the loss of its business. By the Q3, the company has hopes that it will go on track concerning its existing run rate of sales before remodeling.

The leaders of the firm believe that it will see a soft landing for its generic business. It is also expected to have a growth rate soon after Q3 and Q2. Let’s see how things work out for Cipla.