Sun Pharma Q3 PAT seen up 32% to Rs 446 cr

Country's largest drugmaker by market value Sun Pharmaceutical is set to announce its results for the quarter ended December 2010. According to CNBC-TV18 estimates, its profit after tax (PAT) is expected to go up by 32% to Rs 446 crore in Q3FY11 as against Rs 339 crore in Q3FY10.

Revenue is seen going up by 57% to Rs 1,605 crore from Rs 1,021 crore (YoY). However, operating profit margin (OPM) is seen declining at 29.8% versus 36%.

Company will see full consolidation of Taro Pharma this quarter, so numbers are not comparable on year-on-year and quarter-on-quarter basis.

Watch for

*Taro addition this quarter is USD 102 million, operating expenses USD 20 million, OPM at 19.5%, PAT of USD 4.4 million (Revenue Rs 465 crore and PAT Rs 20 crore)

*Excluding Taro expect core earnings to grow by 10-12% (YoY)

*Watch for US business Ex Taro could slow down QoQ as last quarter it had Exelon generic FTF ending hence slowing down a bit. Other products in contributing to the US are Effexor XR + domestic formulations + 27% in Q2

*Exelon has more than USD 130 million market. Sun had shared exclusivity, launched in July, EPS add of Rs 2

*Venlafaxine Tablet (Effexor XR) -> USD 200 million size, Sun has FTF, Exp Rs 4 to EPS, goes off patent in February