Sun Pharmaceutical Industries Limited (Sun Pharma) revenue rose in the September quarter, while exceptional costs helped drive a steep net profit decline, The Economic Times reported.
For the three months ended Sept. 30, revenue from operations reached Rs 16,199 crore, 12% above the year-earlier figure of Rs 14,478 crore. Consolidated net profit was Rs 1,989 crore, down 36% from Rs 3,118 crore, the newspaper reported.
The Economic Times said exceptional charges totaled Rs 1,269 crore. It reported that Rs 923 crore related to U.S. litigation and legal costs, while Rs 346 crore was tied to the proposed Organon transaction. A Rs 95 crore tax benefit partly offset the charges.
Adjusted net profit rose 1% to Rs 3,162 crore, according to The Economic Times. The outlet also reported that earnings before interest, taxes, depreciation and amortization (EBITDA) increased 5% to Rs 4,744 crore, while the EBITDA margin narrowed to 29.3% from 31.3%.
The Economic Times reported that India formulations sales increased 17% to Rs 5,552 crore. U.S. formulations sales fell 8.2% to $455 million, with the report linking the decline largely to lower lenalidomide sales.
Sun Pharma had set Oct. 30 as its results date, which EconoTimes covered in an earlier report on the schedule.
In a Sept. 11 filing, Sun Pharma said subsidiaries had reached a settlement with a plaintiff in U.S. generic-drug pricing antitrust litigation. The filing said the settlement amount was confidential and the agreement did not constitute an admission of wrongdoing. The Rs 923 crore figure in The Economic Times report covered litigation and legal costs; the filing did not identify it as the settlement payment.
Sun Pharma and Organon announced an agreement on April 27 for Sun Pharma to acquire Organon for $14 per share in cash. The companies put the deal's enterprise value at $11.75 billion. Sun Pharma said it expected the transaction to close in early 2027, subject to customary conditions, including regulatory and Organon stockholder approvals.
Sun Pharma's notice listed its one-hour earnings call for 9 a.m. ET (13:00 UTC), equivalent to 6:30 p.m. IST, on Friday.
