has come out with its second quarter (July-September) earnings estimates for the Pharmaceuticals sector. The brokerage house expects Sun Pharma
to report net profit at Rs 1139 crore, down 54.7 percent quarter-on-quarter.
Net Sales are expected to decrease by 10.1 percent Q-o-Q (up 8.3 percent Y-o-Y) to Rs 7407 crore, according to Centrum.
Earnings before interest, tax, depreciation and amortisation (EBITDA) are likely to fall by 32.3 percent Q-o-Q (up 2.2 percent Y-o-Y) to Rs 1977 crore.
Centrum's report on Sun Pharma
We expect Sun Pharma Industries (SPIL) to report revenue growth of 8% YoY and decline of 10% QoQ to Rs74.07bn. We expect the domestic business (26% of revenues) to grow by 7% YoY to Rs 19.50bn from Rs 18.19bn.
Its US formulation business (46% of revenues) is likely to grow by 2% YoY to Rs 33.80bn from Rs 33.16bn due to lower growth of Taro, pricing pressure in the US market and consolidation of distributors in the US. Emerging markets (14% of revenues) are expected to grow by 13% YoY to Rs 10.30bn from Rs 9.09bn.
The net profit is likely to grow by 3% YoY to Rs 11.39bn from Rs 11.07bn due to slower revenue growth and decline in margins.
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