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EquityWireEarnings Review: Sun Pharma Jan-Mar consol PAT falls 19% YoY, misses view
Earnings Review

Sun Pharma Jan-Mar consol PAT falls 19% YoY, misses view

This story was originally published at 18:30 IST on 22 May 2025
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Informist, Thursday, May 22, 2025

 

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--Sun Pharma FY25 consol revenue INR 525.78 bln vs INR 484.97 bln year ago
--Sun Pharma FY25 consol net profit INR 109.29 bln vs INR 95.76 bln year ago
--Sun Pharma FY25 global specialty sales $1.22 bln, up 17.1% on year
--Sun Pharma FY25 Rest of World formulation sales $847 mln, up 4.5% on year
--Sun Pharma FY25 emerging mkt formulation sales $1.11 bln, up 7% on year
--Sun Pharma FY25 India formulation sales INR 169.23 bln, up 13.7% on year
--Sun Pharma FY25 US formulation sales $1.92 bln, up 3.6% on year
--Sun Pharma FY25 API external sales INR 21.29 bln, up 11% on year
--Sun Pharma to pay INR 5.50 per share final dividend; record date Jul 7
--Sun Pharma Jan-Mar API external sales INR 5.33 bln, up 28.2% on year
--Sun Pharma Jan-Mar India formulations sales were 32.9% of total sales
--Sun Pharma Jan-Mar consol R&D investments INR 8.17 bln
--Sun Pharma Jan-Mar Rest of World formulation sales $200 mln, up 2% on year
--Sun Pharma Jan-Mar emerging mkt formulation sales $261 mln, up 6.3% on year
--Sun Pharma Jan-Mar global specialty sales were 19.9% of total sales
--Sun Pharma Jan-Mar global specialty sales $295 mln, up 8.6% on year
--Sun Pharma Jan-Mar India formulation sales INR 42.13 bln, up 13.6% on year
--Sun Pharma Jan-Mar US formulation sales $464 mln, down 2.5% on year
--Sun Pharma FY25 consol EBITDA margin 29%
--Sun Pharma FY25 consol EBITDA INR 152.72 bln, up 17.3% on year
--Sun Pharma Jan-Mar consol EBITDA margin 28.7%
--Sun Pharma Jan-Mar consol EBITDA INR 37.16 bln, up 22.4% on year
--Sun Pharma Jan-Mar one-time cost of INR 3.62 bln
--Sun Pharma Jan-Mar consol revenue INR 129.59 bln vs INR 119.83 bln yr ago
--Sun Pharma Jan-Mar consol net profit INR 21.50 bln vs INR 26.55 bln yr ago
--Analysts saw Sun Pharma Jan-Mar consol net profit INR 28.89 bln
--Sun Pharma Jan-Mar consol net profit INR 21.50 bln

 

By Narayana Krishna

 

HYDERABAD - Sun Pharmaceutical Industries Ltd. on Thursday reported a consolidated net profit of INR 21.50 billion for the March quarter, down 19% on year. The company's revenue from the operations for the quarter rose by 8.14% to INR 129.59 billion.

 

Sun Pharma missed Street's expectations on both top line and bottom line. Analysts projected Sun Pharma March quarter net profit at INR 28.9 billion on revenue of INR 132.8 billion. Sun Pharma reported a fall for the first time in its net profit after six consecutive quarters of a double-digit growth.

 

The company reported a one-time exceptional cost of INR 3.62 billion, related to tax, legal expenses, and impairment charges due to business restructuring in Japan, which had an impact on March quarter earnings. Fall in US formulations sales also impacted the latest quarter earnings.

 

Sun Pharma reported a 2.5% on year fall in US formulation sales for the March quarter to $464 mln, the company said in a press release. US formulations account for 31.4% of the company's total sales. The company's global specialty products sales, which account for nearly 20% of the total sales, are up by 8.6% on year to $295 million.

 

In India formulation, which accounts 32.9% of the total sales, the company reported a 13.6% on year rise in sales to INR 42.13 billion, Sun Pharma said. The emerging markets sales rose 6.3% on year to $261 million, while the rest of the world markets' formulation sales rose 2% on year to $200 million. Sun Pharma's active pharmaceutical ingredient sales for external clients during the March quarter were up by 28.2% on year at INR 5.33 billion.

 

Sun Pharma reported its earnings before interest, tax, depreciation and amortisation margins at 28.7% for March quarter, an improvement of 290 basis points on year, while its EBITDA was up by 22.4% on year at INR 37.16 billion. For 2024-25 (Apr-Mar), the company's EBITDA rose 17.3% on year to INR 152.72 billion, while EBITDA margin for the full year was at 29%.

 

The spending on research and development for the quarter stood at INR 8.17 billion, 6.4% of the total sales. Sun Pharma said its R&D spending is focused on both specialty and generic businesses and the company continues to invest in building the pipeline for various markets. Sun Pharma's specialty R&D pipeline includes 8 novel entities in clinical trials stage, the company said.

 

For FY25, Sun Pharma reported a consolidated net profit of INR 109.29 billion, up 14%, while its revenue rose a little above 8% to INR 525.78 billion. The full year growth was mainly led by robust performance in global specialty sales. For FY25, the company reported a 17.1% on-year growth in its global specialty sales to $1.22 billion.

 

In FY25, the US formulation sales rose by 3.6% on year to $1.92 billion, while India sales were up 13.7% on year at INR 169.23 billion. The company's full year sales in emerging markets were up 7% on year at $1.11 billion, while rest of the world sales rose 4.5% on year to $847 million. The active pharmaceutical ingredient sales for the year rose 11% on year to INR 21.29 billion.

 

The company board Thursday approved a final dividend of INR 5.50 rupees per share.

 

On Thursday, shares of Sun Pharmaceutical Industries ended at INR 1,718.70 on the National Stock Exchange, down nearly 0.8% from its previous close.  End

 

US$1 = INR 86.00

 

Edited by Akul Nishant Akhoury

 

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