Ranbaxy chief steps down,quarterly profit falls

Arun Sawhney,now president of the company8217;s global pharmaceuticals business,will take his place as managing director.

Ranbaxy reported an April-to-June net profit of USD 72 million compared with a profit of USD 139 million a year earlier.

The fall was due to large foreign currency gains in the June 2009 quarter,which were not replicated this year,said Bino Pathiparampil,an analyst at Mumbai8217;s IIFL Capital.

But the drop in profit was less than expected,reflecting bumper US sales of Ranbaxy8217;s generic version of Valtrex,a blockbuster herpes drug made by GlaxoSmithKline.

A poll of 21 analysts by Thomson Reuters had forecast net profit of USD 28 million.

8220;If we remove the US,overall it8217;s continuing to be dull in terms of growth and profitability,8221; Pathiparampil said.

The stock closed down 0.5 per cent,at USD 9.5 a share,on the Bombay Stock Exchange in an otherwise flat market.