Sun Pharmaceutical Industries, India's largest drugmaker projected mid-to-high single-digit revenue growth for FY26, as it doubles down on its global specialty business with a planned $100 million investment in new product commercialization. The company also expects R&D spending to rise to 6–8% of sales, reflecting its commitment to pipeline expansion and innovation.
The specialty R&D accounted for 36% of our total R&D spent for the quarter.
The guidance came during the company’s Q4FY25 earnings call, where management emphasized strategic investments in dermatology and oncology launches, including Leqselvi and possible rollout of Unloxcyt, a newly approved immunotherapy asset acquired via Checkpoint Therapeutics.
Unloxcyt is indicated for the treatment of adults with metastatic cutaneous squamous cell carcinoma (cSCC). Sun Pharma in March this year acqruire US-based Checkpoint for up to $416 million.
Sun Pharma plans to launch its specialty drug Leqselvi in Q2FY26, while the launch timeline for Unloxcyt depends on regulatory clearance; expected in H2FY26.
“We don’t see this as a cost but as an investment to strengthen our specialty business,” said Dilip Shanghvi, MD of Sun Pharma, addressing concerns over the scale of the planned spend. “This is a conservative number when benchmarked against global peers.”
Global specialty sales rose 17.1% YoY to $1.22 billion, led by products like Ilumya, which alone contributed $681 million. The company plans to conduct clinical trials of GL0034 as a therapeutic option for individuals for type 2 diabetes and MM-II for osteoarthritis pain, while seeking partners for commercialization.
On India outlook, the management said it aims to outpace market growth, with potential MR expansion as a strategic lever.
The company said the pricing pressure in US generics remains product-specific.
Sun Pharma reported FY25 gross sales of ₹52,041 crore, up 9% YoY, with adjusted net profit rising 19% to ₹11,984.4 crore. EBITDA grew 17.3% to ₹15,271.7 crore, with margins improving to 29%.
In Q4FY25, adjusted net profit rose 4.8% YoY to ₹2889 crore, while EBITDA jumped 22.4% to ₹3716 crore. The company declared a total dividend of ₹16 per share for FY25, up from ₹13.50 in FY24.
India formulations grew 13.7% YoY in FY25 to ₹16,923 crore, with Q4 sales up 13.6%. Sun retained its No. 1 ranking in the Indian pharma market with an 8.3% share, aided by volume growth and new launches.
US formulation sales grew 3.6% YoY to $1.92 billion in FY25, though Q4 saw a 2.5% decline due to generic pricing pressure. Executives noted that specialty growth offset some of the drag in sales of generics, and emphasized that Q4 softness was seasonal, not structural.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
