Sun Pharma.Inds. Q1 FY27 Earnings Call — Analysis (NSE: SUNPHARMA)
Sun Pharma Q1 FY27 revenue rises 10.1% YoY to ₹15,184 Cr, driven by 16% India formulation growth and 12.8% innovative medicine growth, while U.S. generics fall 9.7% due to Lenalidomide erosion.
The take
Q1FY27 Consolidated Sales ₹15,184 Cr ( +10.1% YoY ) .
Results
Consolidated revenue ₹15,184 Cr (+10.1% YoY), gross margin 80.5%, EBITDA ₹4,418 Cr (+2.7% YoY) with margin 28.9% (adjusted higher ex-Lenalidomide), India formulations up 16%, U.S. business down 9.7%.
Financial highlights
| Metric | Value | Change | Basis |
|---|---|---|---|
| Consolidated Sales | ₹15,184 Cr | +10.1% | yoy · Q1FY27 |
| Gross Margin | 80.5% | +higher | yoy · Q1FY27 · due to better product mix |
| EBITDA | ₹4,418 Cr | +2.7% | yoy · Q1FY27 |
| EBITDA Margin | 28.9% | −slightly lower | yoy · Q1FY27 · adjusted higher ex-Lenalidomide benefit in Q1FY26 |
| Reported Net Profit | ₹2,895 Cr | none · Q1FY27 | |
| Adjusted Net Profit | ₹3,089 Cr | none · Q1FY27 · excludes Organon acquisition costs | |
| India Formulations | ₹5,475 Cr | +16% | yoy · Q1FY27 |
| US Business | $427 million | -9.7% | yoy · Q1FY27 |
| Innovative Medicine Sales | $351 million | +12.8% | yoy · Q1FY27 |
| R&D Spend | ₹826 Cr | none · Q1FY27 · 5.4% of sales | |
| Net Cash | $3.4 billion | point_in_time · Q1FY27 · as of Q1FY27 | |
| Effective Tax Rate | 27.8% | +3.5pp | yoy · Q1FY27 · vs 24.3% in Q1FY26 |
Guidance
Management reiterated high single-digit FY27 revenue growth guidance, expects Organon acquisition to close in Q4 FY27, and guided for ETR around 27.8% until closing.
Key themes
India volume-led growth and innovative pipeline ramp
Operational commentary
- India formulations grew 16% YoY, Sun Pharma market share rose to 8.5% (Pharmarack MAT June 2026), volume growth 5.4% vs IPM 2%, driven by prescription gains and five new launches.
- Global innovative medicine sales rose 12.8% to $351M, driven by ILUMYA, ODOMZO, CEQUA and early contribution from new launches; Unloxcyt data at ASCO showed durable complete response.
- U.S. generics declined 9.7% mainly due to Lenalidomide erosion and additional competition; five new generics launched.
- Leqselvi surpassed 1,000 prescribers, achieved strongest month in June; Unloxcyt gaining formulary access at cancer centers, both seeing month-over-month growth.
- Semaglutide launched in India as #2 generic player with unique auto-injector; approvals in Brazil and South Africa, launched in South Africa, Brazil launch imminent.
- Organon acquisition on track to close Q4 FY27, regulatory approvals progressing, integration management office active.
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