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ICICI Direct: Sun Pharma’s Significant Beat On All Fronts In Q2

Sun Pharma’s ebitda margin expanded 361 bps year-on-year to 25.6% in Q2 due to a better product mix and lower other expenditure.

The Sun Pharmaceutical Industries Ltd. logo sits on a sign on pharmaceutical and medical supply storage racks. (Photographer: Jasper Juinen/Bloomberg)
The Sun Pharmaceutical Industries Ltd. logo sits on a sign on pharmaceutical and medical supply storage racks. (Photographer: Jasper Juinen/Bloomberg)

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ICICI Direct Report

Sun Pharmaceutical Industries Ltd.’s Q2 revenues grew 5.3% YoY to Rs 8553 crore (our estimate Rs 8069 crore).

U.S. formulations grew 4.3% YoY to Rs 2492 crore amid currency tailwinds and specialty traction.

India business remained flattish (up 0.7%) YoY at Rs 2531 crore whereas Emerging Markets business grew 10.4% YoY to Rs 1559 crore.

Rest of World markets business grew 16.3% YoY to Rs 1322 crore.

Ebitda margins expanded 361 basis points YoY to 25.6% (our estimate of 22.5%) mainly due to a better product mix (higher specialty sales) and lower other expenditure.

Click on the attachment to read the full report:

ICICI Direct Sun Pharma Q2FY21 Result Update.pdf

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