THE ZANDU PHARMACEUTICAL WORKS LTD.          
  Regd. Office : 70, Gokhale Road South, Dadar, Mumbai - 400 025.        
               
  UNAUDITED FINANCIAL RESULTS (PROVISIONAL) FOR THE QUARTER ENDED 31ST DECEMBER, 2003      
          (Figures in Lakhs)
               
    Quarter Quarter Nine Months Nine Months Financial year  
    ended ended ended ended ended  
    31st Dec, 2003 31st Dec, 2002 31st Dec, 2003 31st Dec, 2002 31st March, 2003  
    (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Audited)  
    (Reviewed)   (Reviewed)      
               
  Net Sales 4067.11 3637.95 10043.71 8999.07 11297.41  
  Other Income 71.14 53.83 225.46 146.96 265.53  
  Total Income 4138.25 3691.78 10269.17 9146.03 11562.94  
  Total Expenditure            
  a) (Increase) /decrease in (190.69) 182.05 33.91 287.52 200.57  
  stock in trade.            
  b) Consumption of materials. 1498.88 996.07 3071.86 2494.68 3093.92  
  c) Excise Duty 529.48 393.82 1153.32 961.63 1244.05  
  d) Staff Cost 285.66 265.53 864.00 803.61 1045.09  
  e) Advertisement and Sales Promotion 638.16 728.16 1578.15 1562.91 1921.04  
  f) Other expenditure 712.72 703.41 1943.80 1905.25 2575.55  
  g) Interest 17.98 31.59 52.26 109.26 136.15  
  h) Depreciation 81.61 86.08 238.60 267.71 370.72  
               
  Profit before Tax 564.45 305.07 1333.27 753.46 975.85  
               
  Provision for Taxation 165.00 90.00 390.00 190.00 235.79  
 

(Including Deferred Tax of Rs 13.55 lacs)

            
  Profit after Tax 399.45 215.07 943.27 563.46 740.06  
               
  Paid-up equity share capital 403.20 403.20 403.20 403.20 403.20  
  (Face value Rs.100/-)            
               
  Reserves excluding revaluation reserves (as per balance sheet) of previous accounting year         3748.37   
               
  Basic and Diluted EPS for the period (Rs) 99.07 53.34 233.95 139.75 184.01  
               
  Note :            
  1. The above results were reviewed by the Audit Committee and were thereafter taken on record by the Board of Directors in their meeting held on 22nd Jan, 2004 subsequent to the limited review by the statutory auditors as required under clause 41 of the listing agreement.
               
  2. The Company is in pharmaceutical business and considering the organisation structure of the company and its internal financial reporting,the company has only one reportable segment as per Accounting Standard on Segment Reporting (AS- 17)
               
  3. Provision for Current and Deferred Taxation of Rs 390 lakhs for the nine months ended 31st December, 2003 has been made on estimated basis. The actual liability of the Company will be determined on the basis of taxable income of the Company for the year 1st April, 2003 to 31st March, 2004  
               
  4. In view of seasonality of products financial performance is not indicative of full year's results      
               
  5. There were no complaints from investors outstanding at the beginning of the quarter. The Company has received 2 complaints from the investors during the quarter and all the complaints were disposed off during the quarter. There were no complaints lying unresolved at the end of the quarter.
               
  6. Previous period figures have been regrouped wherever necessary.        
          For The Zandu Pharmaceutical Works Ltd.
               
               
               
  Place : Mumbai       (Jaisinh Vithaldas)  
  Date : 22nd January, 2004       Chairman