Sun Pharma Reports Robust Q2 Results with 8.86% Revenue Growth and Improved Profitability

Sun Pharmaceutical Industries Ltd , one of India's leading pharmaceutical companies, has announced its financial results for the second quarter, showcasing strong growth in revenue and profitability.

Key Financial Highlights

Metric	Q2 FY2026	Q2 FY2025	YoY Change
Revenue	₹14,478.00	₹13,300.00	+8.86%
Net Profit	₹3,118.00	₹3,040.00	+2.57%
EBITDA	₹4,527.00	₹3,940.00	+14.90%
EBITDA Margin	31.27%	29.60%	+167 bps

Revenue Growth

Sun Pharma reported a consolidated revenue of ₹14,478.00 crore for Q2, marking a significant increase of 8.86% compared to ₹13,300.00 crore in the same quarter of the previous year. This growth demonstrates the company's strong market position and effective business strategies.

Profitability Improvement

The company's net profit for the quarter stood at ₹3,118.00 crore, up by 2.57% from ₹3,040.00 crore in Q2 of the previous year. This increase in profitability reflects Sun Pharma's ability to manage costs effectively while driving revenue growth.

EBITDA Performance

Sun Pharma's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) showed a remarkable improvement, rising to ₹4,527.00 crore from ₹3,940.00 crore in the corresponding quarter of the previous year, representing a 14.90% increase. The EBITDA margin also expanded by 167 basis points to reach 31.27%, indicating enhanced operational efficiency.

Operational Efficiency

The company's focus on operational excellence is evident from the improvement in its EBITDA margin. The expansion from 29.60% to 31.27% suggests that Sun Pharma has been successful in optimizing its costs and improving its overall operational performance.

Market Position

Sun Pharmaceutical Industries continues to maintain its strong position in the pharmaceutical industry. The company's ability to grow its revenue and improve profitability in a competitive market environment underscores its robust business model and effective market strategies.

In conclusion, Sun Pharmaceutical Industries Ltd has delivered a solid financial performance in Q2, with significant improvements across key financial metrics. The company's ability to drive revenue growth while enhancing profitability and operational efficiency bodes well for its future prospects in the competitive pharmaceutical landscape.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.24%	-1.03%	+1.89%	-7.32%	-7.75%	+231.12%

Sun Pharmaceutical Industries Ltd , one of India's leading pharmaceutical companies, is poised to release its second-quarter earnings report for the fiscal year 2023-24. Analysts anticipate moderate growth in the company's financial performance, with some areas of strength offset by challenges in others.

Revenue and Profit Projections

Analysts project a year-on-year revenue increase of approximately 7% for Sun Pharma in Q2. However, the company's profit after tax (PAT) is expected to show only modest growth of about 2% compared to the same period last year. This limited profit growth is attributed to higher marketing and research and development (R&D) expenses.

Business Segment Performance

US Market and Taro Subsidiary

Sun Pharma's US subsidiary, Taro Pharmaceuticals, is expected to face headwinds this quarter. Analysts anticipate a weak performance due to:

Pricing pressure in the US market
Strong base effects from last year's Revlimid sales

Global Specialty Business

The global specialty business is projected to be a key growth driver for Sun Pharma this quarter:

Estimated year-on-year growth: 14-15%
Expected revenue: USD 326-330 million
Growth led by products such as Ilumya, Cequa, Winlevi, and Odomzo

Domestic Indian Market

Sun Pharma's performance in the Indian market is expected to be robust:

Projected year-on-year growth: 9-12%
Growth factors:
- New product launches
- Improved productivity

Financial Metrics and Expenses

Metric	Q2 FY23-24 (Estimated)	Q1 FY23-24	Change
R&D Spending (% of sales)	6.50%	5.50%	+1.00%
EBITDA Margins	Pressure expected	-	-

Factors Affecting EBITDA Margins:

Increased spending on the US launch of newly approved specialty drug Leqselvi
Brokerage estimates vary from margin compression to slight expansion

Conclusion

Sun Pharma's Q2 FY23-24 results are expected to reflect a mix of challenges and opportunities. While the company faces pressure in its US generics business, its specialty portfolio and domestic market performance are likely to provide support. Investors and analysts will be closely watching the impact of increased R&D and marketing expenses on the company's profitability.