Sun Pharmaceutical Industries Ltd. share price target

Q3 revenues grew 8.4% YoY to | 8837 crore (I-direct estimate: | 8636 crore). US formulations grew 10.8% YoY to | 2761 crore. Indian formulations grew 9.4% YoY to | 2753 crore. Emerging markets business grew 8.4% YoY to | 1507 crore. RoW markets business grew 15.6% YoY to | 1276 crore. API segment de-grew 9.4% YoY to | 485 crore. EBITDA margins expanded 465 bps YoY to 27.2% (I-direct estimate: 23.0%) due to lower other expenditure and better gross margins. Delta vis--vis I-direct estimates was mainly due to significantly lower other expenditure. EBITDA grew 30.7% YoY to | 2406...

Sun Pharma (SUNP) reported a healthy ex-Taro EBITDA beat of 5% in Q3FY21.

Taro's revenue was sequentially flattish while gross profit and gross margin were lower QoQ indicating continual price erosion, unfavorable product mix and impact from COVID. We expect sales growth to be muted and quarterly revenue to remain stable in the range of US$140-150m. Key event for Taro in the near-term would be utilization of US$1.55bn cash and cash equivalent for...

Sun Pharmaceuticals is the largest Indian Pharma company.

Sun Pharma is India's top drug maker and world's fifth largest specialty generic pharmaceutical company. The company develops, manufactures, and markets branded and generic formulations and active pharmaceutical...

Sun Pharma records Q2 net profit of Rs 1813 cr, above estimates Total Income has reported 5.29% to Rs 8553.13 crore in Q2 September 2020 as against Rs 8123.35 crore in Q2 September 2019. Consolidated profit before tax (PBT) soared 33.75% to Rs 1,917.18 crore in Q2 September 2020 as against Rs 1,433.38 crore in Q2 September 2019. Current tax expense for the quarter fell 3.36% to Rs 257.08 crore as against Rs 266.03 crore in Q2 September 2019. Consolidated profit after tax (PAT) after minority interes has soared 70%...

Q2 performance was strong with revenue and earnings beating estimates. Management expects domestic formulations business to improve further led by new launches and a gradual improvement in the acute therapies, while the chronic segment is likely to grow strongly. Pick up in the specialty business and sturdy new product pipeline would enable US business growth....

Sun Pharma (SUNP) reported a healthy Q2 beat: 6% on sales, 32% on EBITDA.

Q2 revenues grew 5.3% YoY to | 8553 crore (I-direct estimate: | 8069 crore). US formulations grew 4.3% YoY to | 2492 crore amid currency tailwinds and specialty traction. India business remained flattish (up 0.7%) YoY at | 2531 crore whereas Emerging Markets business grew 10.4% YoY to | 1559 crore. RoW markets business grew 16.3% YoY to | 1322 crore. EBITDA margins expanded 361 bps YoY to 25.6% (I-direct estimate of 22.5%) mainly due to a better product mix (higher specialty sales) and lower other expenditure. Delta vis--vis I-direct estimates was mainly due to lower staff costs and...

Given the structural headwinds in the US faced by Indian generic companies, Sun's investments to build a branded specialty business is a key differentiator. However, Specialty pharma is a vastly different business model compared to traditional generics requiring significantly...