Sun Pharma Q1 net zooms 244% to Rs564.32 cr

Sun Pharma Q1 net zooms 244% to Rs564.32 cr

New Delhi: Sun Pharmaceutical Industries today reported a 244.43% jump in net profit at Rs564.32 crore for the quarter ended June, as compared to the same period of the previous fiscal.

This has come on the back of a one-time sale of generic cancer drug oxaliplatin in the US.

The company had posted a net profit of Rs163.84 crore in the same quarter a year ago.

Total income during the quarter stood at Rs1,399.7 crore, against Rs787.59 crore in the comparable period a year ago, up by 77.71%.

Commenting on the results, Sun Pharma chairman and managing director Dilip Shanghvi said that business has been positive, with growth coming from all business segments in line with expectations and guidance.

“While the high margin achieved this quarter is resulting from a one-time sale achieved in the US and, hence, will not repeat, the core strategy of building a consistent and sustainable business remains unchanged," he said.

During the quarter, the company’s US subsidiary Caraco recorded sales of $130 million (about Rs605 crore), up 171% from the year-ago period, aided by one-time sale of generic oxaliplatin (Eloxatin), the company said.

Sale of this product was stopped on 30 June 2010, after a US court denied a motion by the company against an order which upheld Sanofi Aventis’ patent over Eloxatin.

“Sun Pharma plans to appeal as it believes that the grounds for such an appeal are strong," it said, adding that on receipt of a favourable judgment from the appellate court, the firm would re-initiate sales of the product.

During the quarter, the company had filed four abbreviated new drug applications (ANDAs) -- two by Sun Pharma and two by Caraco.

“Counting these, cumulatively ANDAs for 211 products have been filed by Sun Pharma and Caraco with the FDA. ANDAs for seven products received approvals in the first quarter," it said.

With these, ANDAs for 120 products now await USFDA approval, including 11 tentative approvals, it added.