BENGALURU (Reuters) – India’s MedPlus Health Services reported a surge in first-quarter profit on Friday, driven by growth in the organised retail pharmaceutical sector.
MedPlus, which sells medicines online and in retail stores, said consolidated net profit rose 3.8 times to 143.6 million rupees ($1.7 million) for the quarter ended June 30.
Growth in the retail pharmaceutical sector has improved and is expected to sustain, according to analysts, as an improvement in medical infrastructure has resulted in better access to these platforms.
Analysts also pointed to the launch of new drugs and medical devices for the profit jump. Mankind Pharma, which makes condoms and pain-relieving medicine, and generic drug-maker Dr Reddy’s both attributed their revenue growths in the June quarter to new launches.
Medplus’ revenue from operations rose almost 16% to 14.89 billion rupees, led by a 15.3% jump in its retail business, which accounts for nearly all of the company’s total revenue.
The company did not specify the sales break-up of over-the-counter and prescription medicines.
MedPlus competes with Reliance-owned Netmeds and Apollo Pharmacies, both unlisted, among other retail pharmacies in the Indian over-the-counter drugs market.
($1 = 83.7200 Indian rupees)
(Reporting by Kashish Tandon in Bengaluru; Editing by Janane Venkatraman)
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