Hikal Ltd., the preferred long-term outsourcing partner for leading global life sciences companies, today announced its financial results for the second quarter ended 30th September 2007. The company posted net profit of Rs.14.5crore, witnessing 84% growth as compared to the corresponding quarter of the previous year.

Consolidating the half yearly performance of Hikal Ltd., the pharmaceutical business has recorded net sales of Rs.61.2crore as compared to Rs.39.6crore in the last year and the crop protection business has contributed Rs.73.1crore as compared to Rs.72.2crore in the last year

Commenting on the results, Jai Hiremath, Vice Chairman & Managing Director, Hikal Ltd., said, "The results in this quarter have registered an impressive growth of 84%. Considering the fact that Rupee has depreciated by 10-12%, a 30% increase in the turnover is indicative of the volume growth the company has witnessed in this quarter. We have been able to maintain the margins due to better product mix and higher sales volume."

He further mentioned that "Our emphasis on the pharma business is paying off, we have been expanding capacities to cater to the increasing demand owing to the new contracts signed. While the crop protection business has shown steady growth, the pharma business has had a significant contribution to the overall turnover."

Our effort on the restructuring of Marsing & Co. Ltd. A/S is paying off
results. The losses for the quarter have come down by 66% and we expect the
company to start generating cash profit by the end of the year.

Quarter ended 30th September 2007

* Net sales up by 30% to Rs.78.1crore
* PAT for the quarter increases by 84% to Rs.14.5crore
* EBIDTA up by 48%. to Rs.23.6crore
* Pharma sales up by 65%