The Mumbai-based company, which is currently in the process of acquiring peer Ranbaxy Laboratories, reported quarterly profit of R1,587.12 crore on sales of R4,043.57 crore. Analysts had estimated profit for the quarter ended March to be R1,354.8 crore on sales of R4,201.7 crore, according to Bloomberg estimates.
However, the companys consolidated net sales missed Street expectations for the first time in 13 sequential quarters as international formulation sales, in geographies other than the US, were flat year-on-year (y-o-y). Overall international revenues accounted for more than 75% of total revenue in the quarter.
FY14 was a good year for us. Our overall performance reflects the focus on execution of our strategy. We are developing a differentiated and specialty business and continue to evaluate opportunities to enhance our global presence, Sun Pharma MD Dilip Shanghvi said in a statement.
The company said it expects FY15 consolidated revenue to grow in the range of 13% to 15%. Sun Pharma also gave an research & development expense outlook of 6% to 8% of revenue. It is targeting 25 ANDA filings in the next fiscal and expects to incur a capital expenditure of R900 crore.
The guidance takes in to account the higher base of FY14 as well the risks associated with increase in competition for some products. Guidance is at constant exchange rate and excludes the impact of the proposed acquisition of Ranbaxy pending the deal closure, the Mumbai-based company said in a statement.
The company said branded generic sales in domestic market grew 21% y-o-y to R947 crore while US finished dosage sales which accounts for 61% of total sales rose 22% to $ 403 million. Sales of active pharmaceutical ingredients touched R222 crore in Q4 FY14, up 31% y-o-y.
Sun Pharma announced on April 7 that it will acquire Gurgaon-based Ranbaxy for $4 billion, inclusive of $800 million debt, which would catapult the merged entity to the top of the pharmaceutical totem pole with a domestic market share of 9.43%. Sun Pharma shares closed at R587.60, down 1% on Thursday on the Bombay Stock Exchange.