ICICI Direct's research report on Sun Pharmaceutical Industries
Q4 revenues grew 4.1% YoY to Rs 8523 crore (I-direct estimate: Rs 8760 crore). Indian formulations grew 12.9% YoY to Rs 2671 crore. US formulations remained subdued at Rs 2695 crore, down 0.7% YoY. Emerging markets business grew 3.5% YoY to Rs 1402 crore. RoW Markets business grew 6.3% YoY to Rs 1191 crore. API segment de-grew 9.9% YoY to Rs 473 crore. EBITDA margins expanded 738 bps YoY to 24.0% (I-direct estimates of 23.0%) mainly due to lower other expenditure and better gross margins. Subsequently, EBITDA grew 50.3% YoY to Rs 2048 crore (I-direct estimate: Rs 2015 crore). Adjusting for exceptional items, PAT more than doubled (~2x) to Rs 1343 crore (I-direct estimate: Rs 1455 crore).
Outlook
We change our stance from BUY to HOLD and arrive at our revised target price of Rs 700 (earlier Rs 675) based on 25x FY23E EPS of Rs 27.9.
For all recommendations report, click here
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
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.
Read More
