Shares of the country’s leading drug maker – Sun Pharma – surged as much as 11 per cent to hit fresh 52-week high of Rs 780.10 on the BSE after the company returned to profit in quarter ended June 2021. The Mumbai-based company reported net profit of Rs 1,444.1 crore compared with a loss of Rs 1,655.6 crore in the corresponding period a year ago. Its revenue from operations advanced 28 per cent to Rs 9,718.74 crore versus Rs 7,585.25 crore in the same period last year.
Sun Pharma’s earnings before interest, tax, depreciation and amortisation (EBITDA) or operating profit advanced 59 per cent annually to Rs 2,771.8 crore resulting in operating profit margin of 28.7 per cent.
During the quarter, Sun Pharma repaid debt of about $185 million and over the last five quarters, the company has repaid debt of about $765 million, Sun Pharma said in a press release.
“We witnessed a strong Q1, driven by a combination of robust core business growth, low base and some sale of Covid products. We are enthused by the all-round growth across all our businesses compared to Q4 last year. Our India business continues to do well while our global specialty revenues have grown over Q4. We are happy with Ilumya’s performance which has grown both YoY and sequentially. We continue to focus on growing our overall business and simultaneously strengthening our global specialty portfolio. The recent in-licensing of Winlevi for US and Canada is a step forward in this direction,” Dilip Shanghvi, Managing Director of the company said in a statement.
Sun Pharma’s sales in US rose 35 per cent annually to $380 million, accounting for 29 per cent of total consolidated sales and its sales in India rose 39 per cent to Rs 3,308 crore, accounting for 34 per cent of total sales, , Sun Pharma said.
Its consolidated research and development (R&D) investment in first quarter of current financial year was Rs 592.6 crore as against Rs 420.6 crore in the June quarter last year.
Sun Pharma shares ended 10 per cent higher at Rs 774, outperforming the Sensex which ended on a flat note.