Zenlabs Ethica Reports Q1 Profit Dip, Adopts New Insider Trading Policies
Zenlabs Ethica Limited reported a 20.33% decrease in net profit for Q1, falling to ₹3.33 crore from ₹4.18 crore year-over-year. Revenue from operations declined by 7.16% to ₹1,147.72 crore. The company's Board approved new insider trading policies to enhance corporate governance, including codes for fair disclosure of unpublished price sensitive information and regulating insider trading.
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Zenlabs Ethica Limited, a pharmaceutical trading company, has reported a decline in net profit for the quarter ended June 30, while also implementing new insider trading policies to enhance corporate governance.
Financial Performance
The company reported a net profit of ₹3.33 crore for the first quarter, down from ₹4.18 crore in the same period last year. This represents a year-on-year decrease of 20.33% in net profit.
Revenue from operations also saw a decline, falling to ₹1,147.72 crore from ₹1,236.26 crore in the corresponding quarter of the previous year, marking a decrease of 7.16%.
The company's total income for the quarter stood at ₹1,148.15 crore, compared to ₹1,236.54 crore in the same period last year.
Key Financial Metrics
| Particulars | Q1 (₹ in crore) | Q1 Previous Year (₹ in crore) | YoY Change (%) |
|---|---|---|---|
| Revenue from Operations | 1,147.72 | 1,236.26 | -7.16 |
| Total Income | 1,148.15 | 1,236.54 | -7.15 |
| Net Profit | 3.33 | 4.18 | -20.33 |
| Basic EPS (₹) | 0.05 | 0.06 | -16.67 |
The basic and diluted earnings per share (EPS) for the quarter stood at ₹0.05, compared to ₹0.06 in the previous year.
New Insider Trading Policies
In a significant move towards strengthening its corporate governance framework, Zenlabs Ethica's Board of Directors has approved new insider trading policies. These include:
- Code of Practices and Procedures for fair disclosure of unpublished price sensitive information (UPSI)
- Code of internal procedures and conduct for regulating, monitoring, and reporting of trading by insiders
The new policies establish:
- Trading window closures
- Structured digital databases for information sharing
- Compliance frameworks for regulating insider trading
These measures aim to ensure fair disclosure of UPSI and regulate trading by insiders, aligning with the Securities and Exchange Board of India (SEBI) regulations.
Company Overview
Zenlabs Ethica Limited operates as a single-segment entity engaged in pharmaceutical formulation trading. The company has a paid-up equity share capital of ₹651 crore.
Despite the challenging quarter, Zenlabs Ethica continues to focus on its core business while strengthening its corporate governance practices. The implementation of new insider trading policies demonstrates the company's commitment to transparency and regulatory compliance in its operations.
Historical Stock Returns for Zenlabs Ethica
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +0.79% | -3.03% | +2.86% | +2.89% | -30.95% | +21.67% |
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