Q4 Results: Sun Pharma's PAT Jumps To Rs 1,984 Cr, Revenues Rise By 14.3%

The Indian pharmaceutical major Sun Pharmaceutical Industries on Friday reported its financials for the fourth quarter and full year ending March 31, 2023. The company posted a net profit of Rs 1,984 crores in the January-March quarter against a net loss of Rs 2,277 crores recorded in Q4 last year. While for FY23 Sun Pharma reported a net profit of Rs 8,473 cores compared to Rs 3,272 crores for FY22 up by 158 per cent year on year. 

The pharma major's revenues for Q4FY23 clocked in at Rs 10,725 crores, registering a growth of 14.3 per cent over Q4 of last year where it recorded Rs 9,386 crores. While in FY23 the revenues registered a double-digit growth rate of 12.6 per cent YoY to be recorded at Rs 43,278 crores against Rs 38,426 crores in FY22. 

Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) registered a 19.7 per cent rise YoY in the March quarter to be recorded at Rs 2,802 crores and for FY23 the company reported EBITDA at Rs 11,646 crores, up by 12 per cent over FY22.

Sun Pharma's EBITDA margins improved in Q4FY23 to 25.6 per cent versus 24.8 per cent in Q4FY22. For FY23 the margins slightly dropped to 26.5 per cent versus 26.9 per cent in FY22.

The drugmaker's sales in India grew by 6.6 per cent in FY23, while the revenues in the US market jumped by 10.3 per cent. The company's API business grew by 7.5 per cent in FY23 to be recorded at Rs 1,972 crores

The company's R&D expenses jumped by 22.2 per cent YoY in the fourth quarter at Rs 665 crores compared with Rs 543 crores in the same quarter last year. Whereas for the full year, the R&D expenses increased by 6.6 per cent YoY at Rs 2,367 representing 5.5 per cent of its revenues against Rs 2,219 in FY22. 

The pharma major's total expenses in the quarter also took a sharp rise of 15.4 per cent YoY to be registered at Rs 8,892 crores against Rs 7,700 crores in the same quarter of the previous year. In FY23 the expenses rose by 14.4 per cent YoY to be recorded at Rs 34,940 crores. 

The company in a statement said that its speciality R&D pipeline includes 5 molecules undergoing clinical trials while 97 ANDAs await US FDA approval, including 28 tentative approvals.

Dilip Shanghvi, MD, Sun Pharmaceuticals said, “I am pleased with the well-rounded growth demonstrated in FY23 by the company. Several of our businesses including Specialty, India and Emerging markets have continued to progress well. Our Specialty business remains on a growth path and we are committed to continue scaling it up. The acquisition of Concert helps further strengthen our portfolio in dermatology. I believe deuruxolitinib can become a leading product to address a highly unmet need in alopecia areata patients."

The company's board has recommended a final dividend of Rs 4.00 per equity share of Rs 1 each. Sun Pharma's stock closed 2.75 per cent higher on Friday at Rs 970.65 per scrip on the BSE.