Sun Pharma Q2 FY27 Results: Net Profit Falls 36% to Rs 1,989 Crore on Rs 1,269 Crore One-Time Charges, While Adjusted Profit Rises 1.4% and Revenue Climbs 12%
- November 2, 2026
- Posted by: Kunal Singla
- Category: Results
Sun Pharma Q2 FY27: net profit Rs 1,988.5 cr, down 36.2%, on Rs 1,268.8 cr one-time charges. Adjusted profit Rs 3,162 cr, up 1.4%. Revenue up 11.9%. Stock Rs 1,769.90.
Quick Answer
Sun Pharma Q2 results for FY27 show net profit down 36.2% to Rs 1,988.5 crore, but the fall is due to exceptional charges of Rs 1,268.8 crore, including a US antitrust settlement and Organon acquisition costs. Adjusted profit was Rs 3,162 crore, up 1.4%, and revenue rose 11.9% to Rs 16,198.7 crore. Sun Pharma shares were at Rs 1,769.90 at 11:08 AM IST on 2 November 2026, down 0.44%.
Sun Pharma Q2 results for FY27 look alarming at first glance, because reported profit fell 36%. The detail is more nuanced: the drop is caused by one-time charges, and underlying profit and revenue grew. This Sun Pharma Q2 results analysis breaks down the numbers, what each business did, the share price reaction and what to watch.
The share price is as of 11:08 AM IST on 2 November 2026. Financials are from the company’s results of Friday, 30 October 2026.
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Sun Pharma Q2 FY27 Results: Key Numbers
| Metric | Q2 FY27 | Q2 FY26 | Change |
|---|---|---|---|
| Consolidated net profit | Rs 1,988.5 crore | Rs 3,118 crore | Down 36.2% |
| Adjusted net profit (before exceptionals) | Rs 3,162 crore | Not stated | Up 1.4% |
| Revenue from operations | Rs 16,198.7 crore | Rs 14,478.3 crore | Up 11.9% |
| Exceptional charges | Rs 1,268.8 crore | Not stated | One-time |
| EBITDA margin | 29.3% | 31.3% | Lower |
| US formulation sales | $455 million | Not stated | Down 8.2% |
| Global innovative medicines | $356 million | Not stated | Up 6.9% |
| India formulation sales | Not stated | Not stated | Up 17.3% |
| R&D spend | Rs 778.4 crore | Not stated | 4.8% of sales |
Source: Sun Pharma Q2 FY27 results, Business Standard, Moneycontrol, Upstox and InCred Money reports. Different reports round some figures slightly.
Why Did Sun Pharma's Profit Fall 36%?
The Sun Pharma profit decline is driven by exceptional charges of Rs 1,268.8 crore booked in the quarter, which include a US antitrust settlement and costs linked to the Organon acquisition. Excluding these items, adjusted net profit was Rs 3,162 crore, up 1.4%. Because one-time items do not recur, the market usually looks at the adjusted number, although the settlement and acquisition costs are real cash and strategic costs.
Business Performance: India, US and Innovative Medicines
In the Sun Pharma Q2 results, India formulation sales grew 17.3%, the strongest part of the quarter. US formulation sales fell 8.2% to $455 million, a drag on the margin and an area investors watch closely. Global innovative medicines grew 6.9% to $356 million and now make up 21.1% of sales, which supports Sun Pharma’s shift toward specialty products. The company filed 4 ANDAs and received approval for 3 during the quarter.
Sun Pharma profit quality shows in margins: EBITDA margin was 29.3% against 31.3% a year earlier, which shows the cost of the US pressure and higher spending, even though EBITDA grew about 5% to Rs 4,743 crore.
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Sun Pharma Share Price Reaction
The Sun Pharma share price rose about 4% to Rs 1,833.30 in afternoon trade on 30 October after the results but closed at Rs 1,777.70, and is at Rs 1,769.90 today, down 0.44%. At this price Sun Pharma has a market cap of about Rs 4.27 lakh crore, a P/E of about 38.8 against an industry P/E of about 38.1, a return on equity of 13.79% and a dividend yield of 0.90%. The valuation is in line with the sector, so growth in the US and specialty portfolio has to justify it.
What to Watch Next for Sun Pharma
For the Sun Pharma share price, four things matter: whether US generic sales stabilise, how quickly specialty products scale, the integration cost and timeline of the Organon acquisition, and whether further legal settlements arise. Management commentary on the next two quarters will matter more than this quarter’s reported profit.
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Conclusion
Sun Pharma Q2 results show reported profit down 36% but adjusted profit up 1.4% and revenue up nearly 12%, with India strong and the US weak. The stock is priced in line with the sector, so the next trigger is evidence that specialty growth and the Organon deal can lift margins.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
Frequently Asked Questions on Sun Pharma Q2 Results
What were Sun Pharma's Q2 FY27 results?
Ans. Sun Pharma reported consolidated net profit of Rs 1,988.5 crore, down 36.2% from Rs 3,117.95 crore, and revenue from operations of Rs 16,198.7 crore, up 11.9%. Adjusted net profit excluding exceptional items was Rs 3,162 crore, up 1.4%. EBITDA margin was 29.3% against 31.3% a year earlier.
Why did Sun Pharma's profit fall in Q2?
Ans. Profit fell because of exceptional charges of Rs 1,268.8 crore, including a US antitrust settlement and costs for the Organon acquisition. Without these one-time items, adjusted net profit rose 1.4% to Rs 3,162 crore. The settlement and acquisition costs are real, but they are not part of regular operating earnings.
How did Sun Pharma's US business perform?
Ans. US formulation sales fell 8.2% to $455 million in Q2 FY27. Pricing pressure on generics is a recurring issue, and the US is a key market for the company. Investors watch for stabilisation and for specialty product launches that can offset the decline in generics.
How did Sun Pharma's India business perform?
Ans. India formulation sales grew 17.3% in Q2 FY27, making it the strongest part of the quarter. Growth in chronic therapies and the strength of Sun's field force are typically cited drivers, but check the company's presentation for the specific breakdown by therapy.
What is Sun Pharma's share price today?
Ans. Sun Pharma traded at Rs 1,769.90 on the NSE at 11:08 AM IST on 2 November 2026, down Rs 7.80 or 0.44% from Rs 1,777.70. The day's range is Rs 1,722 to Rs 1,776.20. The market cap is about Rs 4.27 lakh crore.
What is the Organon acquisition?
Ans. Business Standard reported that Sun Pharma's exceptional charges include costs connected to the acquisition of Organon. Check Sun Pharma's stock exchange filings for the deal's size, structure and expected completion, as those details affect leverage, margins and the pace of its specialty business.
Is Sun Pharma stock valued fairly after the results?
Ans. At a P/E of about 38.8 against an industry P/E of about 38.1 and a return on equity of 13.79%, Sun Pharma is priced in line with its sector. Whether that is fair depends on specialty growth, US recovery and margin trends. Brokerage targets differ, so compare views before deciding.
Should I buy Sun Pharma after a profit fall?
Ans. A profit fall due to one-time items is different from an operating decline, but the US weakness and lower margin are real concerns. Review adjusted earnings, management guidance and valuation before buying, and stagger purchases. This is not investment advice, so consult a SEBI-registered advisor.
