Sun Pharma Q1 cons net seen up 142% at Rs 550 cr

Net sales is seen going up 87% at Rs 1179 crore from Rs 627.50 crore. Operating profit is likely to go up at Rs 605 crore from Rs 214.84 crore. OPM is seen going up at 52% versus 34%.

Factors to watch for :

Generic Protonix launch will drive growth expect sales of  $ 75 mn and net profits of  $ 50mn

Expect strong growth in domestic and exports business

EBIDTA margins to show a sharp jump because of high margin enjoyed by Protonix (may enjoy high EBIDTA  margins on Protonix)

Expect revenues from  exclusivity of generic  Ethyol (Amifostine) (Expect net sales of $ 9 mn & net profits of $ 4.5mn

Domestic business to continue to grow above industry average of 14%

Rupee depreciation to work in favour of export led growth

Other details

Authorised generic launch of Protonix from Prasco reduces the risk of at-risk lauch but increases competition. (Enjoys 8% market share.  Sun was the 3rd player to launch Protonix after Teva and Prasco.

FY09 Guidance of 25% growth in US and 18% growth in non-US sales

Have Rs 150 Cr  of capex across the expansion of sites, new manufacturing sites and R&D for FY09.

Has approval to raise Rs 3500 Cr. But will raise the money only after Taro acquisition will go through.