Sun Pharmaceutical Industries, the third largest Indian pharma company with consolidated net sales of Rs.8,000 crore plus, has posted significant growth in top line and bottom line during the third quarter ended December 2012. The current results are not strictly comparable as the company included working of recently acquired Dusa Pharmaceuticals, Inc, US. Sun's consolidated net profit went up by 31.9 per cent to Rs.881 crore from Rs.668 crore in the corresponding period of last year. The EBDITA also moved up by 43.7 per cent to Rs.1,342 crore from Rs.934 crore. The earnings per share improved to Rs.8.5 as against Rs.6.5 in the last period.
Its consolidated net sales went up by 33 per cent to Rs.2,852 crore from Rs.2,145 crore mainly due to higher sales in US and Rest of the World. The sales of branded prescription formulations in US went up by 43.8 per cent to Rs.1,495 crore from Rs.1,040 crore and that in Rest of the World moved up by 40.2 per cent to Rs.394 crore from Rs.281 crore. Its formulation sales in India improved only by 13.2 per cent to Rs.788 crore from Rs.695 crore. The Indian sales accounts for 27 per cent of total sales. It launched 7 new products.
The Us sales accounted for 52 per cent of total sales during the quarter ended December 2012. Lipodox sales continued and its subsidiary recently received US FDA approval for its ANDA for generic Doxorubicin HCI Liposome injection USP, 2mg/ml, an anti cancer product. During the quarter, Sun has completed the acquisition of DUSA, a dermatology company focused on developing and marketing its Levulan photodynamic therapy platform. Sun's US based subsidiary Caraco Pharma acquired generic business of URL Pharma Inc. in US. This deal has recently achieved financial closure. The non-Colcrys generics assets of URL Pharma will be owned and managed by Caraco.
Sun Pharma's API business continues to grow, and largely be used for vertical integration on key products. It made cumulative 232 DMF/CEP applications, with 161 approved so far. External sales of API, accounting for a fraction of the total API production, reached Rs.209 crore, registering a growth of 36 per cent over similar quarter of last year. The company's R&D expenditure reached at Rs.188 crore and filed 8 ANDAs during the quarter under review.
Dilip Shanghvi, managing director, said, “All our businesses continue to perform in-line with our expectations. The recent approval of our generic Doxorubicin HCI Liposomal injection in the US reflects our technological strengths in developing complex products. The acquisition of DUSA and URL's generic business will further strengthen our presence in the US. Overall, we shall strive to remain focused on execution and building a business with consistent performance.”
For the nine months period ended December 2012, Sun Pharma posted consolidated net sales growth of 43.9 per cent to Rs.8,167 crore as against Rs.5,675 crore in the similar period of last year. Its net profit went up by 13 per cent to Rs.1,997 crore from Rs.1,767 crore. Its US sales went up by 77.4 per cent to Rs.4,366 crore from Rs.2,461 crore and that in RoW improved by 43.4 per cent to Rs.1,133 crore from Rs.790 crore. Its Indian sales recorded growth of 7.2 per cent to Rs.2,186 crore from Rs.2,039 crore. The R&D expenditure for the nine months reached at Rs.473 crore and worked out to 5.8 per cent of sales. Its cumulative approvals stand at 261 while ANDAs for 142 products now await US FDA approval, including 17 tentative approvals. The total number o patent applications submitted now stands at 655, with 308 patents granted so far.
On standalone basis, Sun Pharma's net profit declined sharply by 79.7 per cent to Rs.74 crore due to MTM loss on forward foreign exchange contracts from Rs.365.23 crore. Its standalone net sales increased only by 5.5 per cent to Rs.877 crore from Rs.631 crore in the corresponding quarter of last year. The other operating income on standalone basis declined to Rs.0.98 crore from Rs.384 crore in the last quarter as the company converted its partnership firms into private limited companies.