What Caused Amrutanjan Health Care's Q4 Net Profit to Drop Over 21%?
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Synopsis
Amrutanjan Health Care Limited faces a challenging fourth quarter with a significant drop in net profit despite rising revenues. This article delves into the financial figures, upcoming dividends, leadership changes, and market performance that shape the company's current landscape.
Key Takeaways
- Net profit decreased by 21.16% in Q4 FY25.
- Revenue from operations increased by 10.31% to Rs 135.41 crore.
- Total expenses surged by 18.05%, reaching Rs 119.37 crore.
- A final dividend of Rs 2.60 per equity share has been proposed.
- Leadership change with the appointment of Gagan Preet Singh as Company Secretary.
New Delhi, May 15 (NationPress) The Chennai-based pharmaceutical firm, Amrutanjan Health Care Limited, announced a significant drop in its net profit for the fourth quarter ending March 2025 (Q4 FY25), with a decline of approximately 21.16% to Rs 15.17 crore, down from Rs 19.24 crore in the preceding quarter (Q3 FY25).
The company's operational revenue for Q4 was Rs 135.41 crore, reflecting a 10.31% increase from Rs 122.75 crore in Q3, based on its stock exchange announcement.
Conversely, total expenditures surged by 18.05%, reaching Rs 119.37 crore in Q4, a significant rise from Rs 101.12 crore recorded in the previous quarter.
This notable increase in costs has evidently impacted the firm's profitability.
Year-over-year (YoY), Amrutanjan Health Care's consolidated net profit exhibited a positive trend, increasing by approximately 11.14% from Rs 13.65 crore reported in the March 2024 quarter (Q4 FY24).
The Board of Directors has proposed a final dividend of Rs 2.60 per equity share for the fiscal year 2024-25 (FY25).
This proposal pertains to 2,89,10,630 shares of Re. 1 each, fully paid.
“If ratified at the forthcoming Annual General Meeting, the dividend will be disbursed to eligible shareholders within 30 days of the meeting,” the company stated in its stock exchange report.
In a significant leadership transition, the company announced the retirement of M Srinivasan from his position as Company Secretary and Compliance Officer, effective May 31.
The firm also shared the appointment of Gagan Preet Singh as his successor starting June 1, confirming that Singh is not barred from holding office by any regulatory authority.
In stock market performance, Amrutanjan Health Care's shares closed nearly unchanged on Thursday, finishing at Rs 715 on the National Stock Exchange (NSE), down slightly by Rs 0.40 or 0.06%.
Established in 1893, Amrutanjan Health Care is renowned for its Ayurvedic pain relief offerings and has diversified into various sectors including women’s hygiene, cough and cold remedies, and packaged fruit juice.
Point of View
It's vital to recognize the ongoing challenges faced by Amrutanjan Health Care. The dual impact of rising costs and leadership changes presents a complex scenario for stakeholders. The company’s ability to navigate these hurdles will be crucial for its future growth and market position.
NationPress
26/07/2025
Frequently Asked Questions
What caused the decline in Amrutanjan's net profit?
The decline in net profit was primarily due to a significant increase in total expenses, which surged by 18.05%.
What was the revenue for Amrutanjan in Q4 FY25?
Amrutanjan's revenue from operations in Q4 FY25 stood at Rs 135.41 crore.
What dividend has been proposed for FY25?
The Board of Directors has recommended a final dividend of Rs 2.60 per equity share for the financial year 2024-25.
When will the dividend be distributed?
If approved, the dividend will be distributed to eligible shareholders within 30 days of the upcoming Annual General Meeting.
Who is the new Company Secretary?
Gagan Preet Singh has been appointed as the new Company Secretary, succeeding M Srinivasan who retires on May 31.
