Sun Pharma first-quarter profit beats estimates as U.S. sales climb

India`s largest drugmaker Sun Pharmaceutical Industries Ltd posted a first-quarter profit on Tuesday, beating street estimates, helped by stronger sales in the United States.

Net profit came in at 9.83 billion rupees ($140.6 million) for the three months ended June 30, compared with a loss of 4.25 billion rupees a year earlier, the company said https://www.bseindia.com/xml-data/corpfiling/AttachLive/7fb22856-27f5-4c....

In the year-ago quarter, Sun Pharma incurred costs of 9.51 billion rupees related to settlements in a U.S. antitrust case over sleep disorder drug Modafinil.

Analysts on average expected a net profit of 8.97 billion rupees. Sales from its U.S. formulations business, which constitutes over a third of total sales, grew 8 percent from the previous corresponding quarter. Sales of branded formulations in India rose 22 percent as the implementation of a nation-wide Goods and Services Tax (GST) impacted sales last year.

Total revenue from operations rose about 16 percent to 72.24 billion rupees.

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Smaller rivals Lupin Ltd reported a fall in June-quarter net profit earlier, hurt by declining U.S. sales while Cipla Ltd posted a better-than-expected quarterly profit on the back of strong domestic sales.

Sun Pharma stock jumped nearly 8 percent after the results. It was the top percentage gainer on the broader Mumbai market that was up 0.73 percent.

($1 = 69.9300 Indian rupees)