Sun Pharma Q1 net up three fold at rs 2,033.71 crore

MUMBAI: Sun Pharma posted a nearly three-fold jump in its net profit for the first quarter ended June at Rs 2,033.71 crore. The company had recorded net profit of Rs 555.90 crore in the year-ago quarter.

The country’s largest pharmaceuticals company’s net sales rose 22.7% year-on-year to Rs 8,006.70 crore for the quarter against Rs 6,526.85 crore a year earlier.

“The result – sales and net profit – have beat market expectations,” said Surajit Pal, senior analyst with brokerage Prabhudas Lilladher. The company stock was, however, trading slightly lower at Rs 798.10 at around 3.40 pm on Friday against Thursday’s close of Rs 808.90.

Analysts said the company mainly benefited from the exclusivity opportunity for anti-cancer drug imatinib in the US.

Pal cautioned that future earnings will be watched closely as upsides from imatinib will shrink drastically while Sun’s US subsidiary Taro may also face difficulties in taking further price increases on its products.