HDFC Securities: Sun Pharma’s Specialty Recovery Is Encouraging
The Sun Pharmaceutical Industries Ltd. headquarters stand in Mumbai, India (Photographer Kanishka Sonthalia/Bloomberg)

HDFC Securities: Sun Pharma’s Specialty Recovery Is Encouraging

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

HDFC Securities Report

Recovery in specialty business (108 million U.S. dollar, up 38% QoQ) along with improved gross margin and lower other expenses helped Sun Pharmaceutical Industries Ltd. deliver a 14%/26% beat on Ebitda/net income.

Management commentary was optimistic on Ilumya and steady on U.S. generics.

However, they hinted at normalization of specialty spends from Q4 onwards.

We maintain that scale up of specialty business will be the most critical catalyst for the stock.

Click on the attachment to read the full report:

HDFC Securities Sun Pharma Q2FY21 Results Review.pdf

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