Drug major Sun Pharmaceutical Industries on Tuesday reported a 70.36 per cent jump in its consolidated net profit to Rs 1,812.79 crore for the quarter ended on September 30, 2020, mainly on the back of robust sales and exceptional tax gains.
The company had posted a net profit of Rs 1,064.09 crore for the corresponding period of the previous fiscal, Sun Pharma said in a regulatory filing. Consolidated total revenue from operations stood at Rs 8,553.13 crore for the quarter under consideration against Rs 8,123.35 crore for the same period a year ago, it added. "Tax gain (exceptional) for the quarter ended September 30, 2020, is on account of the creation of deferred tax asset amounting to Rs 288.28 crore arising out of subsequent measurement attributable to restructuring of an acquired entity," the filing said.
On the results, Sun Pharmaceutical Industries MD Dilip Shanghvi said, "Our Q2 performance reflects our focus on business improvement which has enabled a gradual recovery in all our businesses compared to Q1, despite market conditions that have not fully normalised". Sales of the company's speciality products have improved sequentially with Ilumya and Cequa reaching pre-COVID levels, he added.
"We continue to focus on growing our topline, gaining market share, cost control and business continuity," Shanghvi said.
Sale of branded formulations in India for Q2FY21 was Rs 2,531 crore, up by 1 per cent over the second quarter last year.., accounting for 30 per cent of total sales, the filing said.
"Sun Pharma is ranked No. 1 and holds approximately 8.1 per cent market share in the over Rs 142,000 crore Indian pharmaceutical market as per AIOCD AWACS MAT September-2020 report," it added.
Sales in the US were USD 335 million (over Rs 2,490 crore), flat over Q2 last year, accounting for about 30 per cent of the total consolidated sales, the filing said.
The company's sales in Emerging Markets were at USD 210 million (over Rs 1,560 crore) in July-September, a growth of 4.5 per cent over the same quarter of the last year, it added.
Formulation sales in Rest of World (ROW) markets, excluding the US and Emerging Markets, were at USD 178 million (over Rs 1,320 crore) in Q2FY21, up by 10 per cent over the second quarter of the last year, the filing said.
In the second quarter ended September, external sales of Active Pharmaceutical Ingredients (APIs) were at Rs 510 crore, a growth of 9 per cent over the same period last year, it added.
Consolidated R&D investment for Q2FY21 was at Rs 613 crore as compared to Rs 488 crore for the second quarter last year, the filing said.
Shares of Sun Pharmaceutical Industries closed at Rs 485.10 on BSE, up 3.39 per cent from the previous close.