Sun Pharmaceutical Industries reported an 8.6% YoY increase in Q2 sales, reaching Rs. 144,052 million. Net profit saw a 2.6% YoY increase, totaling Rs. 31,180 million. The board approved a proposal to alter the Memorandum of Association (MoA) to include provisions for captive solar, renewable energy plants, and surplus power sales, aligning with long-term sustainability goals. Innovative Medicines sales accounted for 20.2% of Q2 sales.
Financial Performance Highlights
Sun Pharma announced its financial results for Q2FY26, showcasing robust growth. Key highlights include:
- Sales: Reached Rs. 144,052 million, an increase of 8.6% year-over-year.
- Net Profit: Increased to Rs. 31,180 million, a 2.6% year-over-year growth.
- Innovative Medicines: Contributed significantly, with sales of US$ 333 million, up 16.4% and representing 20.2% of total sales.
- EBITDA: Reported at Rs. 45,271 million, a surge of 14.9%, resulting in an EBITDA margin of 31.3%.
Memorandum of Association Alteration
The Board of Directors has approved a proposal to alter the company’s Memorandum of Association (MoA). This strategic move aims to incorporate an enabling clause for the establishment of captive solar and renewable power plants. The company plans to sell surplus power to the grid, reflecting its commitment to environmental sustainability and long-term sustainability goals.
Regional Performance
The announcement also highlighted strong regional performance:
- India: Formulation sales grew by 11%, reaching Rs. 47,348 million and accounting for 32.9% of total sales.
- US Formulations: Registered sales of US$ 496 million. Innovative Medicines aided to counteract decline of generices
- Emerging Markets: Recorded sales of US$ 325 million, a 10.9% increase, contributing 19.7% to total sales.
R&D Investment
Sun Pharma has consistently invested in research and development. For Q2FY26, R&D expenditure amounted to Rs. 7,827 million, which is 5.4% of sales. This commitment drives innovation and product development across various therapeutic areas.
Source: BSE
