Corporate Finance

Exhibit 7.5(b)

Pharmaceutical firms—common size income statement

(Percentage of sales)

Glaxo

Ranbaxy

Cipla

Sun

DRL

2001

2000

2001

2000

2001

2000

2001

2000

2001

2000

IncomeSales

100

100

100

100

100

100

100

100

100

100

Other income

3.187969

2.1009898

1.091654

4.308203

1.417037

2.280674

2.351309

2.46326

0.900892

0.98779

Change in stocks

–0.89734

3.3356352

1.209751

1.011145

6.074343

4.44479

7.313372

0.680528

2.874178

–0.05071

Non-recurring income

8.147428

2.0926193

3.704597

0.15273

0.585376

0.211102

0.228441

0.373664

0.144264

0.093303

ExpenditureRaw materials etc.

46.93736

52.014146

53.75433

56.48448

50.51149

50.56466

47.17304

44.67268

35.2397

33.53414

Indirect t

axes

8.477464

9.3215728

4.000474

5.287087

8.270215

8.731577

11.62438

10.11607

7.467415

11.56343

Excise duty

7.765657

8.7869086

3.755392

5.031025

7.947545

8.708265

8.638329

7.611055

7.198055

11.18007

Repairs & maintenance

1.052547

1.2241823

0.617574

0.629571

2.119488

1.915456

1.207473

1.108467

3.032565

3.030303

Selling & dist.

7.915511

6.92

44774 14.53309

11.46283

8.531492

6.681431

7.610345

8.443971 10.71587

14.52882

Non-recurring exp.

9.956382

0

5.496366

0.249006

1.975286

0

0.024476

0

0.237077

0.13184

EBDIT

11.67435

13.771528

10.92712

15.44188

18.26443

24.44375

27.47654

23.89571

26.37605

19.52051

Less: Dep

2.288844

1.7169942

2.080873

2.52887

1.115783

1.727666

2.628702

2.872411

4.289577

2.651008

Less: Int.

0.935697

1.2712

662

2.009338

3.19927

0.189176

0.354858

1.248266

2.173096

4.376337

3.316295

PBT

8.449812

10.783267

6.836912

9.713744

16.95947

22.36123

23.59958

18.8502

17.71014

13.5532

Less: Tax

4.066578

3.402599

1.092501

0.609913

4.176155

5.128604

1.541976

1.386106

3.135467

1.318405

PAT

4.383234

7.3806684

5.744412

9.103831

12.78332

17.23263

22.0576

17.46409

14.57467

12.2348