Sun Pharma Q2 Results: At Rs 3,118 crore, PAT beats estimates, margin shrinks—Key takeaways

Sun Pharma Q2 FY26 Results: Mumbai-headquartered Sun Pharmaceutical Industries on Wednesday reported a consolidated net profit of Rs 3,118 crore for the quarter ended September, marking 2.7 per cent year-on-year growth that exceeded analysts’ expectations. The drug maker reported an 8.9 per cent increase in second-quarter revenue to Rs 14,478 crore.

Before exceptional items and taxes, the company said, its net profit stood at Rs 4,167.6 crore, marking a jump of 15.8 per cent over the year-ago period.

Sun Pharma Q2 Earnings: Top and bottom lines vs estimates

Both net profit and revenue exceeded analysts’ estimates.

According to Zee Business research, Sun Pharma was estimated to report a net profit of Rs 3,054 crore with Rs 14,157 crore in sales for the July-September period.

Sun Pharma’s September-quarter consolidated operating profit grew 6.7 per cent on a year-on-year basis to Rs 4,067 crore, according to a regulatory filing.

Its margin contracted to 28.30 per cent from 28.67 per cent a year ago.

Margin is a key measure of a company’s profitability.

“India, Emerging Markets and Rest of World led our growth for the period. US sales of Innovative Medicines have surpassed Generics for the first time during the quarter,” said Kirti Ganorkar, Managing Director, Sun Pharma Industries.

“We remain focused on broadening our portfolio while strengthening in-house talent pool and execution capability,” added Ganorkar.

Sun Pharma said its India formulation sales grew 11 per cent to Rs 4,734.8 crore. These sales account for 32.9 per cent of the company’s total consolidated sales.

US formulations sales, it noted, declined 4.1 per cent to $496 million. The US sales account for 30.1 per cent of its total sales.

The decline in generics business was offset by growth in innovative medicines, said Sun Pharma.

On Tuesday, Sun Pharma shares ended 0.9 per cent lower at Rs 1,692.8 apiece on BSE, in line with a half a per cent fall in benchmark indices.

At this level, the Sun Pharma stock has dropped 9.9 per cent so far this year, worse than a 7.8 per cent gain and a 4.8 per cent loss in the Nifty50 and Nifty Pharma indices, respectively.