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Sun Pharma Logs Modest Q2 Growth as U.S. Innovator Drugs Overtake Generics; Lupin Profit Jumps on Strong U.S. Demand

Brokerages flag an improving mix with innovation-led sales lifting margins.

Overview

  • Sun Pharma reported Q2 FY26 net profit of Rs 3,117.95 crore, up about 2.6% year on year, on revenue of roughly Rs 14,478 crore with EBITDA margin at 31.3%.
  • U.S. innovative medicines at Sun surpassed generics for the first time, with Global Innovative Medicines sales at $333 million, up 16.4% and equal to about 20.2% of consolidated sales.
  • Sun filed four ANDAs and one NDA, received five ANDA approvals, now counts 57 approved NDAs with 14 pending at the U.S. FDA, and launched Leqselvi in the U.S. for severe alopecia areata.
  • Macquarie, Citi and Morgan Stanley maintained positive views on Sun, citing portfolio strength and healthier margins, with targets around Rs 2,000 and estimates beaten on revenue, EBITDA and PAT.
  • Lupin’s Q2 profit rose about 73% to Rs 1,485 crore as revenue increased roughly 24% to Rs 70.48 billion, with U.S. sales up 47.3% and contributing about 40% of total revenue alongside gains in emerging markets.