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November 15, 2014
CIPLA
Consolidated Financial Results
Particulars
Current Price:
`608.85
Net Sales/ Income from operations
Other operating income
Total Income from operations
OPM (%)
STOCK DATA
BSE Code
NSE Symbol
Reuters
Bloomberg
Operating Profit
Other Income
500087
PBIDT
CIPLA
CIPL.BO
Interest
CIPLA.IN
PBDT
VALUE PARAMETERS
Price (`)
52 W H/L(`)
Mkt. Cap.(`Cr)
671.95/366.70
48884.57
6
49.01
181
2767.29
2532.48
9
20.20
22.40
558.44
566.85
-1
23.30
74.06
-69
581.74
640.91
-9
46.88
46.09
2
534.86
594.82
-10
91.43
33
-18
0.00
0.00
PBT
412.82
503.39
-18
Tax
100.70
135.76
-26
PAT
312.12
367.63
-15
-5.02
-8.34
-40
Share of profit/loss from associates
Minority Interest
Net Profit
Latest Bookvalue (cons.) -Unit Curr.
2483.47
137.48
503.39
9880.8
42.95
2629.81
Var. (%)
122.04
Latest Reserve (cons.)
Latest P/E Ratio -cons
Sep 13
412.82
160.58
14.18
Qtr Ending
Sep 14
Depreciation
Latest Equity(Subscribed)
Latest EPS (cons.) -Unit Curr.
Qtr Ending
PBT before EO
EO
608.85
In Cr.
EPS(`)
8.42
1.23
585
298.68
358.06
-17
3.72
4.46
125.06
% of Holding
Company's September quarter results came in below market expectations. The
Company Consolidated sales grew by 9% YoY in Q2'FY15 to `2767.29 crore. The growth in sales
was primarily led by the robust growth from domestic market (21%) despite the muted growth
from International formulation business during the quarter. Also, Operating Profit Margins fell
by 220 bps YoY to 20.2% and accordingly Operating profit declined by 1% YoY to `558.44 crore.
After sharp fall in other income (-69%), higher interest cost (2%), sharp rise in depreciation
(33%) despite lower effective tax rate (down by 260 bps YoY to 24.4%) PAT fell by 15% YoY to
`312.12 crore.
30/09/2014

Sales grew by 9% YoY, driven by strong growth from domestic market: The
Foreign
27.14
Institutions
12.11
Sales grew by 9% YoY to `2767.29 crore, which includes other operating income `137.48
crore (up by sharp 181%) for the quarter ended September 2014. The growth in sales was
primarily driven by the strong growth from domestic market (up by 21% YoY to `1251
crore) during the quarter and this was largely on account of growth in Pediatrics,
Respiratory, Spectracare and Urology therapies. However, the Sales from Exports of
formulations grew by muted at `1243 crore during the quarter. Also, APIs sales were down
by sharp 34% YoY to `136 crore for the same period.
Latest P/BV - cons
4.87
Dividend Yield -%
0.33
Face Value
2
SHARE HOLDING PATTERN (%)
Description as on
Non Promoter Corp. Hold.
4.02
Promoters
36.8
Public & Others
19.94

Margins fall: The Operating profit margins fell by 220 bps YoY to 20.2% on the back of
higher staff cost (up by 220 bps YoY) coupled with increase in consumption cost (up by 110
bps YoY) despite the fall in other expenses (down by 50 bps YoY) as percentage to sales
and net of stock adjustments. Eventually, Operating profit declined by 1% YoY to `558.44
crore. After the sharp 69% fall in other income to `23.30 crore, EBIDTA was down by 9%
YoY to `581.74 crore.
1
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PAT fell by 15% YoY: After the marginal 2% increase in interest cost to `46.88 crore and
after the sharp 33% YoY to `122.04 crore, PBT fell by 18% YoY to `412.82 crore. Thanks to
the lower effective tax rate (down by 260 bps YoY to 24.4%), PAT fell by 15% YoY to
`312.12 crore. After accounting to share of loss from associates `5.02 crore (down by
40%) and minority interest Rs 8.42 crore (up by sharp 585%), net profit down by 17% YoY
to `298.68 crore.

Retained the Guidance and expects to grow at mid-teens for the FY'15: It
maintained the earlier growth guidance and expects mid-teens growth for the FY'15. It
expects growth momentum will come back in the Q3 and Q4. Further, it expects the
margins to be similar to the last year. The R&D spend is higher at 5% of sales during the
quarter. The R&D pipeline - > 80% of top projects on track for launch and >250
formulation development projects underway. Also, The Formulations filings are on track –
The year to date filings is 18 for Europe and North America markets and 800 filings for
International (ROW) filings year to date.
SMC Research also available on Reuters
®
Corporate Office:
11/6B, Shanti Chamber,
Pusa Road, New Delhi - 110005
Tel: +91-11-30111000
www.smcindiaonline.com
E-mail: [email protected]
Mumbai Office:
Dheeraj Sagar, 1st Floor,
Opp. Goregaon sports club, link road
Malad (West), Mumbai - 400064
Tel: 91-22-67341600, Fax: 91-22-28805606
Kolkata Office:
18, Rabindra Sarani,
"Poddar Court", Gate No. 4,
4th Floor, Kolkata - 700001
Tel: 91-33-39847000, Fax: 91-33-39847004
SMC Global Securities Limited is proposing, subject to receipt of requisite approvals, market conditions and other considerations, a further public offering of its equity shares and has filed the Draft Red Herring
Prospectus with the Securities and Exchange Board of India (“SEBI”) and the Stock Exchanges. The Draft Red Herring Prospectus is available on the website of SEBI at www.sebi.gov.in and on the websites of the
Book Running Lead Manager i.e., ICICI Securities Limited at www.icicisecurities.com and the Co- Book Running Lead Manager i.e., Elara Capital (India) Private Limited at www.elaracapital.com . Investors should
note that investment in equity shares involves a high degree of risk and for details relating to the same, please see the section titled “Risk Factors” of the aforementioned offer document.
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