Shares of Laurus Labs were trading in the red and 3% lower on 13 December after the company’s wholly-owned subsidiary received 5 observations from the US Food and Drug Administration (USFDA).

In its regulatory filing, the company said, “Laurus Synthesis Private Limited (LSPL), a wholly owned subsidiary of the company underwent USFDA inspection for the manufacturing facility in Parawada, Anakapalli, near Visakhapatnam, Andhra Pradesh.”

The inspection at Laurus Synthesis Private Limited’s manufacturing facility in Parawada was conducted between 4 December and 12 December.

After the inspection, the US regulator issued a Form 483 with five observations.

The company said that they will address the observations within the stipulated timelines.

In its quarterly report for July-September, the company reported an 84.1% year-on-year decline in its consolidated net profit to Rs 37.12 crore for the quarter under review.

The shares of the company hit a 52-week high of Rs 417.85 on 9 August 2023 and a 52-week low of Rs 279.65 on 28 April 2023.

At 11:44 am, the shares of Laurus Labs were trading 2.64% lower at Rs 378 on NSE.