{"id":9788,"date":"2022-06-08T17:03:07","date_gmt":"2022-06-08T11:33:07","guid":{"rendered":"https:\/\/blogs.univest.in\/?p=9788"},"modified":"2022-10-13T14:45:23","modified_gmt":"2022-10-13T09:15:23","slug":"sun-pharma-retains-its-leadership-in-the-industry-in-q4fy22","status":"publish","type":"post","link":"https:\/\/univest.in\/blogs-2\/sun-pharma-retains-its-leadership-in-the-industry-in-q4fy22\/","title":{"rendered":"Sun Pharma retains its leadership in the industry in Q4FY22"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"9788\" class=\"elementor elementor-9788\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-9f99502 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"9f99502\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e2c4ea3\" data-id=\"e2c4ea3\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-cf13276 elementor-widget elementor-widget-text-editor\" data-id=\"cf13276\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Sun Pharma is currently India&#8217;s largest pharmaceutical firm and the world&#8217;s fourth largest specialty generic company. It operates 43 manufacturing facilities across the world and has a strong presence in more than 100 countries across the branded and generic segments. Specialty products, branded generics, complicated generics, pure generics, and APIs, make up the company&#8217;s product range.\u00a0<span style=\"color: var( --e-global-color-text ); font-family: var( --e-global-typography-text-font-family ), Sans-serif; font-weight: var( --e-global-typography-text-font-weight );\">Sun Pharma announced its results for Q4FY22 where it recorded a fall of 362.1% in YoY quarterly profits due to one-time exceptional item.<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-5'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/univest.in\/blogs-2\/sun-pharma-retains-its-leadership-in-the-industry-in-q4fy22\/#Profits_fall_3621_YoY_due_to_some_one-time_exceptional_item\" title=\"Profits fall 362.1% YoY due to some one-time exceptional item\">Profits fall 362.1% YoY due to some one-time exceptional item<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-5'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/univest.in\/blogs-2\/sun-pharma-retains-its-leadership-in-the-industry-in-q4fy22\/#Growth_driven_Plans_for_FY23\" title=\"Growth driven Plans for FY23 \">Growth driven Plans for FY23 <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-5'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/univest.in\/blogs-2\/sun-pharma-retains-its-leadership-in-the-industry-in-q4fy22\/#Technical_Analysis_Stock_is_in_an_uptrend_for_the_last_one_year\" title=\"Technical Analysis: Stock is in an uptrend for the last one year\">Technical Analysis: Stock is in an uptrend for the last one year<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-5'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/univest.in\/blogs-2\/sun-pharma-retains-its-leadership-in-the-industry-in-q4fy22\/#Our_View\" title=\"Our View:\">Our View:<\/a><\/li><\/ul><\/nav><\/div>\n<h5><span class=\"ez-toc-section\" id=\"Profits_fall_3621_YoY_due_to_some_one-time_exceptional_item\"><\/span><strong>Profits fall 362.1% YoY due to some one-time exceptional item<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h5>\n<p>For Q4FY22, the company reported a consolidated net loss of Rs 2277.25 crore compared to a profit of 894.15 crore in the same quarter last year. Several analysts had projected a net profit of 1738 crore, but Sun Pharma failed to meet the expectations due to the presence of some exceptional items in the Q4 financials.<\/p>\n<p>The company incurred a one-time cost of Rs 56.35 crore in relation to restructuring of operations in certain countries whereas the company has also provided Rs 156.25 crore for a settlement of lawsuit. Apart from that, the company also incurred a loss of Rs 3,723.15 crore as part of settlement of some class action lawsuit in the US, thereby making the total exceptional loss for the quarter at Rs 3,935.75 crore.<\/p>\n<p>The adjusted net profit for the quarter was at Rs 1,582.1 crore, up by 18 per cent YoY, after excluding the exceptional items of Rs 3,935.7 crore and exceptional tax gain of Rs 76.4 crore, which indicates that the company has performed well if exceptional losses which are one-time items are not considered.<\/p>\n<p>\u00a0<\/p>\n<p><em><strong>Profits fall 362.1% YoY due to some one-time exceptional item in Q4FY22<\/strong><\/em><\/p>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"aligncenter wp-image-9800 size-full\" src=\"https:\/\/univest.in\/wp-content\/uploads\/2022\/06\/sun1.png\" alt=\"Profits fall 362.1% YoY due to some one-time exceptional item in Q4FY22\" width=\"783\" height=\"519\" srcset=\"https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun1.png 783w, https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun1-300x199.png 300w, https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun1-768x509.png 768w\" sizes=\"(max-width: 783px) 100vw, 783px\" \/><\/p>\n<p>\u00a0<\/p>\n<p>The total revenue increased by 10.83% YoY from Rs 8522.98 crore in Q4FY21 to 9446.76 crore in Q4FY22. Which can be further classified as India formulation sales at Rs 3095.6 crore, up 16% YoY. US formulation sales were at $389 million, up 5% YoY. Emerging Markets formulation sales were at $206 million, up by 7% YoY, while Rest of World formulation sales were at $178 million, up by 7% YoY.<\/p>\n<p>\u00a0<\/p>\n<p><em><strong>Break up of revenue from different geographies in FY22<\/strong><\/em><\/p>\n<p><img decoding=\"async\" class=\"alignnone wp-image-9801 size-large\" src=\"https:\/\/univest.in\/wp-content\/uploads\/2022\/06\/sun2-1024x823.png\" alt=\"Break up of revenue from different geographies in FY22\" width=\"1024\" height=\"823\" srcset=\"https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun2-1024x823.png 1024w, https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun2-300x241.png 300w, https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun2-768x617.png 768w, https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun2.png 1175w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/p>\n<p>\u00a0<\/p>\n<p>All geographies recorded double digit growth and profitability improved despite rising costs. The specialty business continues to ramp up strongly with global Ilumya sales recording 81% growth to reach $315 million in FY22. Even the India business continues to grow faster than market, leading to increase in market share. Moreover, the company also paid a debt of $355 million in FY22 as result of which debt-equity ratio of the company is down to 0.02.<\/p>\n<p>\u00a0<\/p>\n<p><em><strong>Debt Equity ratio falls to 0.02 after repayment of debt of $355 million<\/strong><\/em><\/p>\n<p><img decoding=\"async\" class=\"aligncenter wp-image-9802 size-full\" src=\"https:\/\/univest.in\/wp-content\/uploads\/2022\/06\/sun3.png\" alt=\"Debt Equity ratio falls to 0.02 after repayment of debt of $355 million\" width=\"563\" height=\"331\" srcset=\"https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun3.png 563w, https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun3-300x176.png 300w\" sizes=\"(max-width: 563px) 100vw, 563px\" \/><\/p>\n<p>\u00a0<\/p>\n<p>The company has also recorded a sturdy growth in EBITDA margins as they have been rising continuously from FY18 till FY20, followed by a fall in FY21 which was due to the pandemic. In FY22, the company ended with EBITDA margins of 17.06%, which was lower than pre Covid levels.<\/p>\n<h5><span class=\"ez-toc-section\" id=\"Growth_driven_Plans_for_FY23\"><\/span><strong>Growth driven Plans for FY23 <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h5>\n<p>&#8220;Sun Pharma is expecting a high single digit or low double-digit growth in top line in FY23&#8221; according to the management in an analyst conference call. They further stated that, &#8220;R&amp;D expenses are expected to be 7-8% of sales figures in FY23 and will be supported by strong cash flow&#8221;. Let us have a look at free cash flows of Sun Pharma from FY17 to FY 21.<\/p>\n<p>The company is looking forward to increasing their product portfolio through robust investment in research which will also enable them to further expand their market share. The current market share of Sun Pharma stands at 8.4%. The company has made a few acquisitions in FY22 along with 11 new product launches and is planning to carry forward this momentum in FY23 as well.<\/p>\n<p>Finally, the company is also looking for a further expansion of 10% in their field force which will be driven by the twin objectives of brand focus &amp; geographical expansion.<\/p>\n<p>\u00a0<\/p>\n<h5><span class=\"ez-toc-section\" id=\"Technical_Analysis_Stock_is_in_an_uptrend_for_the_last_one_year\"><\/span><strong>Technical Analysis: Stock is in an uptrend for the last one year<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h5>\n<p><em><strong>On the charts, Sun Pharma is in uptrend for more than a year now with 50 DMA well above 100 and 200 DMA<\/strong><\/em><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-9803 size-large\" src=\"https:\/\/univest.in\/wp-content\/uploads\/2022\/06\/sun4-1024x424.png\" alt=\"On the charts, Sun Pharma is in uptrend for more than a year now with 50 DMA well above 100 and 200 DMA\" width=\"1024\" height=\"424\" srcset=\"https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun4-1024x424.png 1024w, https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun4-300x124.png 300w, https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun4-768x318.png 768w, https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2022\/06\/sun4.png 1127w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/p>\n<p>On the charts, stock is in an uptrend with all short-, medium-, and long-term averages showing bullishness. After the announcement of results, the stock has is in a consolidation mode and currently trading near the support zone of 840.<\/p>\n<p>\u00a0<\/p>\n<h5><span class=\"ez-toc-section\" id=\"Our_View\"><\/span><strong>Our View:<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h5>\n<p>The company has been performing well in recent years despite operations being affected by the second wave of Covid-19. In the face of rising raw material costs, the company was able to succeed in managing their margins with the help of new product launches and better supply chain management.<\/p>\n<p>Even on the international front the company is experiencing robust growth in sales as well as profits and is expected to continue the same in the next quarter also. Investors can keep a positive view of this pharmaceutical leader, which is striving hard to maintain its leadership position.<\/p>\n<p>\u00a0<\/p>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-0227fc6 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"0227fc6\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-4f039d6\" data-id=\"4f039d6\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-340e48f elementor-widget elementor-widget-text-editor\" data-id=\"340e48f\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p style=\"background-color: #ffffff;\"><em>Note \u2013 This channel is for educational and training purpose only &amp; any stock mentioned here should not be taken as a tip\/recommendation\/advice<\/em><\/p>\n<p style=\"background-color: #ffffff;\"><em>Research done by:\u00a0Ketan Sonalkar,\u00a0SEBI Rgn No INA000011255<\/em><\/p>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-e5027d3 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"e5027d3\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-b2f154c\" data-id=\"b2f154c\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-7cb784a elementor-shape-circle e-grid-align-left elementor-grid-0 elementor-widget elementor-widget-social-icons\" data-id=\"7cb784a\" data-element_type=\"widget\" data-widget_type=\"social-icons.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-social-icons-wrapper elementor-grid\">\n\t\t\t\t\t\t\t<span class=\"elementor-grid-item\">\n\t\t\t\t\t<a class=\"elementor-icon elementor-social-icon elementor-social-icon-facebook elementor-repeater-item-b79fad1\" href=\"https:\/\/www.facebook.com\/Univest.in\" target=\"_blank\" rel=\"nofollow noopener\">\n\t\t\t\t\t\t<span class=\"elementor-screen-only\">Facebook<\/span>\n\t\t\t\t\t\t<i class=\"fab fa-facebook\"><\/i>\t\t\t\t\t<\/a>\n\t\t\t\t<\/span>\n\t\t\t\t\t\t\t<span class=\"elementor-grid-item\">\n\t\t\t\t\t<a class=\"elementor-icon elementor-social-icon elementor-social-icon-twitter elementor-repeater-item-d960058\" href=\"https:\/\/twitter.com\/InUnivest\" target=\"_blank\" rel=\"nofollow noopener\">\n\t\t\t\t\t\t<span class=\"elementor-screen-only\">Twitter<\/span>\n\t\t\t\t\t\t<i class=\"fab fa-twitter\"><\/i>\t\t\t\t\t<\/a>\n\t\t\t\t<\/span>\n\t\t\t\t\t\t\t<span class=\"elementor-grid-item\">\n\t\t\t\t\t<a class=\"elementor-icon elementor-social-icon elementor-social-icon-whatsapp elementor-repeater-item-1a41792\" href=\"https:\/\/wa.me\/+919810917800\" target=\"_blank\" rel=\"nofollow noopener\">\n\t\t\t\t\t\t<span class=\"elementor-screen-only\">Whatsapp<\/span>\n\t\t\t\t\t\t<i class=\"fab fa-whatsapp\"><\/i>\t\t\t\t\t<\/a>\n\t\t\t\t<\/span>\n\t\t\t\t\t\t\t<span class=\"elementor-grid-item\">\n\t\t\t\t\t<a class=\"elementor-icon elementor-social-icon elementor-social-icon-telegram elementor-repeater-item-0a982ac\" href=\"https:\/\/t.me\/Univest_in\" target=\"_blank\" rel=\"nofollow\">\n\t\t\t\t\t\t<span class=\"elementor-screen-only\">Telegram<\/span>\n\t\t\t\t\t\t<i class=\"fab fa-telegram\"><\/i>\t\t\t\t\t<\/a>\n\t\t\t\t<\/span>\n\t\t\t\t\t\t\t<span class=\"elementor-grid-item\">\n\t\t\t\t\t<a class=\"elementor-icon elementor-social-icon elementor-social-icon-instagram elementor-repeater-item-c9974a4\" href=\"https:\/\/www.instagram.com\/univest.in\/\" target=\"_blank\">\n\t\t\t\t\t\t<span class=\"elementor-screen-only\">Instagram<\/span>\n\t\t\t\t\t\t<i class=\"fab fa-instagram\"><\/i>\t\t\t\t\t<\/a>\n\t\t\t\t<\/span>\n\t\t\t\t\t\t\t<span class=\"elementor-grid-item\">\n\t\t\t\t\t<a class=\"elementor-icon elementor-social-icon elementor-social-icon-linkedin elementor-repeater-item-6cd9e60\" href=\"https:\/\/www.linkedin.com\/company\/univest-in\" target=\"_blank\" rel=\"nofollow noopener\">\n\t\t\t\t\t\t<span class=\"elementor-screen-only\">Linkedin<\/span>\n\t\t\t\t\t\t<i class=\"fab fa-linkedin\"><\/i>\t\t\t\t\t<\/a>\n\t\t\t\t<\/span>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Sun Pharma is currently India&#8217;s largest pharmaceutical firm and the world&#8217;s fourth largest specialty generic company. It operates 43 manufacturing facilities across the world and has a strong presence in more than 100 countries across the branded and generic segments. Specialty products, branded generics, complicated generics, pure generics, and APIs, make up the company&#8217;s product<\/p>\n","protected":false},"author":5,"featured_media":26913,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[24],"tags":[],"class_list":["post-9788","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market"],"metadata":{"_edit_lock":["1665653534:8"],"_edit_last":["8"],"qodef_content_behind_header":["no"],"qodef_show_header_widget_areas":["yes"],"qodef_top_area_header_in_grid":["no"],"_yoast_wpseo_primary_category":["24"],"_yoast_wpseo_estimated-reading-time-minutes":["5"],"_yoast_wpseo_focuskw":["Sun Pharma"],"_yoast_wpseo_title":["Sun Pharma retains its leadership in the industry in Q4FY22"],"_yoast_wpseo_metadesc":["Sun Pharma is currently India's largest pharmaceutical firm and the world's fourth largest specialty generic company."],"_yoast_wpseo_linkdex":["82"],"_elementor_edit_mode":["builder"],"_elementor_template_type":["wp-post"],"_elementor_version":["3.6.5"],"_wp_page_template":["default"],"_elementor_data":["[{\"id\":\"9f99502\",\"elType\":\"section\",\"settings\":{\"qodef_offset_top\":\"50%\",\"qodef_offset_left\":\"50%\"},\"elements\":[{\"id\":\"e2c4ea3\",\"elType\":\"column\",\"settings\":{\"_column_size\":100,\"_inline_size\":null},\"elements\":[{\"id\":\"cf13276\",\"elType\":\"widget\",\"settings\":{\"editor\":\"<p>Sun Pharma is currently India's largest pharmaceutical firm and the world's fourth largest specialty generic company. It operates 43 manufacturing facilities across the world and has a strong presence in more than 100 countries across the branded and generic segments. Specialty products, branded generics, complicated generics, pure generics, and APIs, make up the company's product range.\\u00a0<span style=\\\"color: var( --e-global-color-text ); font-family: var( --e-global-typography-text-font-family ), Sans-serif; font-weight: var( --e-global-typography-text-font-weight );\\\">Sun Pharma announced its results for Q4FY22 where it recorded a fall of 362.1% in YoY quarterly profits due to one-time exceptional item.<\\\/span><\\\/p><h5><strong>Profits fall 362.1% YoY due to some one-time exceptional item<\\\/strong><\\\/h5><p>For Q4FY22, the company reported a consolidated net loss of Rs 2277.25 crore compared to a profit of 894.15 crore in the same quarter last year. Several analysts had projected a net profit of 1738 crore, but Sun Pharma failed to meet the expectations due to the presence of some exceptional items in the Q4 financials.<\\\/p><p>The company incurred a one-time cost of Rs 56.35 crore in relation to restructuring of operations in certain countries whereas the company has also provided Rs 156.25 crore for a settlement of lawsuit. Apart from that, the company also incurred a loss of Rs 3,723.15 crore as part of settlement of some class action lawsuit in the US, thereby making the total exceptional loss for the quarter at Rs 3,935.75 crore.<\\\/p><p>The adjusted net profit for the quarter was at Rs 1,582.1 crore, up by 18 per cent YoY, after excluding the exceptional items of Rs 3,935.7 crore and exceptional tax gain of Rs 76.4 crore, which indicates that the company has performed well if exceptional losses which are one-time items are not considered.<\\\/p><p>\\u00a0<\\\/p><p><em><strong>Profits fall 362.1% YoY due to some one-time exceptional item in Q4FY22<\\\/strong><\\\/em><\\\/p><p><img class=\\\"aligncenter wp-image-9800 size-full\\\" src=\\\"https:\\\/\\\/univest.in\\\/wp-content\\\/uploads\\\/2022\\\/06\\\/sun1.png\\\" alt=\\\"Profits fall 362.1% YoY due to some one-time exceptional item in Q4FY22\\\" width=\\\"783\\\" height=\\\"519\\\" \\\/><\\\/p><p>\\u00a0<\\\/p><p>The total revenue increased by 10.83% YoY from Rs 8522.98 crore in Q4FY21 to 9446.76 crore in Q4FY22. Which can be further classified as India formulation sales at Rs 3095.6 crore, up 16% YoY. US formulation sales were at $389 million, up 5% YoY. Emerging Markets formulation sales were at $206 million, up by 7% YoY, while Rest of World formulation sales were at $178 million, up by 7% YoY.<\\\/p><p>\\u00a0<\\\/p><p><em><strong>Break up of revenue from different geographies in FY22<\\\/strong><\\\/em><\\\/p><p><img class=\\\"alignnone wp-image-9801 size-large\\\" src=\\\"https:\\\/\\\/univest.in\\\/wp-content\\\/uploads\\\/2022\\\/06\\\/sun2-1024x823.png\\\" alt=\\\"Break up of revenue from different geographies in FY22\\\" width=\\\"1024\\\" height=\\\"823\\\" \\\/><\\\/p><p>\\u00a0<\\\/p><p>All geographies recorded double digit growth and profitability improved despite rising costs. The specialty business continues to ramp up strongly with global Ilumya sales recording 81% growth to reach $315 million in FY22. Even the India business continues to grow faster than market, leading to increase in market share. Moreover, the company also paid a debt of $355 million in FY22 as result of which debt-equity ratio of the company is down to 0.02.<\\\/p><p>\\u00a0<\\\/p><p><em><strong>Debt Equity ratio falls to 0.02 after repayment of debt of $355 million<\\\/strong><\\\/em><\\\/p><p><img class=\\\"aligncenter wp-image-9802 size-full\\\" src=\\\"https:\\\/\\\/univest.in\\\/wp-content\\\/uploads\\\/2022\\\/06\\\/sun3.png\\\" alt=\\\"Debt Equity ratio falls to 0.02 after repayment of debt of $355 million\\\" width=\\\"563\\\" height=\\\"331\\\" \\\/><\\\/p><p>\\u00a0<\\\/p><p>The company has also recorded a sturdy growth in EBITDA margins as they have been rising continuously from FY18 till FY20, followed by a fall in FY21 which was due to the pandemic. In FY22, the company ended with EBITDA margins of 17.06%, which was lower than pre Covid levels.<\\\/p><h5><strong>Growth driven Plans for FY23 <\\\/strong><\\\/h5><p>\\\"Sun Pharma is expecting a high single digit or low double-digit growth in top line in FY23\\\" according to the management in an analyst conference call. They further stated that, \\\"R&amp;D expenses are expected to be 7-8% of sales figures in FY23 and will be supported by strong cash flow\\\". Let us have a look at free cash flows of Sun Pharma from FY17 to FY 21.<\\\/p><p>The company is looking forward to increasing their product portfolio through robust investment in research which will also enable them to further expand their market share. The current market share of Sun Pharma stands at 8.4%. The company has made a few acquisitions in FY22 along with 11 new product launches and is planning to carry forward this momentum in FY23 as well.<\\\/p><p>Finally, the company is also looking for a further expansion of 10% in their field force which will be driven by the twin objectives of brand focus &amp; geographical expansion.<\\\/p><p>\\u00a0<\\\/p><h5><strong>Technical Analysis: Stock is in an uptrend for the last one year<\\\/strong><\\\/h5><p><em><strong>On the charts, Sun Pharma is in uptrend for more than a year now with 50 DMA well above 100 and 200 DMA<\\\/strong><\\\/em><\\\/p><p><img class=\\\"aligncenter wp-image-9803 size-large\\\" src=\\\"https:\\\/\\\/univest.in\\\/wp-content\\\/uploads\\\/2022\\\/06\\\/sun4-1024x424.png\\\" alt=\\\"On the charts, Sun Pharma is in uptrend for more than a year now with 50 DMA well above 100 and 200 DMA\\\" width=\\\"1024\\\" height=\\\"424\\\" \\\/><\\\/p><p>On the charts, stock is in an uptrend with all short-, medium-, and long-term averages showing bullishness. After the announcement of results, the stock has is in a consolidation mode and currently trading near the support zone of 840.<\\\/p><p>\\u00a0<\\\/p><h5><strong>Our View:<\\\/strong><\\\/h5><p>The company has been performing well in recent years despite operations being affected by the second wave of Covid-19. In the face of rising raw material costs, the company was able to succeed in managing their margins with the help of new product launches and better supply chain management.<\\\/p><p>Even on the international front the company is experiencing robust growth in sales as well as profits and is expected to continue the same in the next quarter also. Investors can keep a positive view of this pharmaceutical leader, which is striving hard to maintain its leadership position.<\\\/p><p>\\u00a0<\\\/p>\"},\"elements\":[],\"widgetType\":\"text-editor\"}],\"isInner\":false}],\"isInner\":false},{\"id\":\"0227fc6\",\"elType\":\"section\",\"settings\":{\"qodef_offset_top\":\"50%\",\"qodef_offset_left\":\"50%\"},\"elements\":[{\"id\":\"4f039d6\",\"elType\":\"column\",\"settings\":{\"_column_size\":100,\"_inline_size\":null},\"elements\":[{\"id\":\"340e48f\",\"elType\":\"widget\",\"settings\":{\"editor\":\"<p style=\\\"background-color: #ffffff;\\\"><em>Note \\u2013 This channel is for educational and training purpose only &amp; any stock mentioned here should not be taken as a tip\\\/recommendation\\\/advice<\\\/em><\\\/p><p style=\\\"background-color: #ffffff;\\\"><em>Research done by:\\u00a0Ketan Sonalkar,\\u00a0SEBI Rgn No INA000011255<\\\/em><\\\/p>\"},\"elements\":[],\"widgetType\":\"text-editor\"}],\"isInner\":false}],\"isInner\":false},{\"id\":\"e5027d3\",\"elType\":\"section\",\"settings\":{\"qodef_offset_top\":\"50%\",\"qodef_offset_left\":\"50%\"},\"elements\":[{\"id\":\"b2f154c\",\"elType\":\"column\",\"settings\":{\"_column_size\":100,\"_inline_size\":null},\"elements\":[{\"id\":\"7cb784a\",\"elType\":\"widget\",\"settings\":{\"social_icon_list\":[{\"social_icon\":{\"value\":\"fab fa-facebook\",\"library\":\"fa-brands\"},\"_id\":\"b79fad1\",\"link\":{\"url\":\"https:\\\/\\\/www.facebook.com\\\/Univest.in\",\"is_external\":\"true\",\"nofollow\":\"\",\"custom_attributes\":\"\"}},{\"social_icon\":{\"value\":\"fab fa-twitter\",\"library\":\"fa-brands\"},\"_id\":\"d960058\",\"link\":{\"url\":\"https:\\\/\\\/twitter.com\\\/InUnivest\",\"is_external\":\"true\",\"nofollow\":\"\",\"custom_attributes\":\"\"}},{\"_id\":\"1a41792\",\"social_icon\":{\"value\":\"fab fa-whatsapp\",\"library\":\"fa-brands\"},\"link\":{\"url\":\"https:\\\/\\\/wa.me\\\/+919810917800\",\"is_external\":\"true\",\"nofollow\":\"\",\"custom_attributes\":\"\"}},{\"_id\":\"0a982ac\",\"social_icon\":{\"value\":\"fab fa-telegram\",\"library\":\"fa-brands\"},\"link\":{\"url\":\"https:\\\/\\\/t.me\\\/Univest_in\",\"is_external\":\"true\",\"nofollow\":\"\",\"custom_attributes\":\"\"}},{\"_id\":\"c9974a4\",\"social_icon\":{\"value\":\"fab fa-instagram\",\"library\":\"fa-brands\"},\"link\":{\"url\":\"https:\\\/\\\/www.instagram.com\\\/univest.in\\\/\",\"is_external\":\"true\",\"nofollow\":\"\",\"custom_attributes\":\"\"},\"item_icon_color\":\"custom\",\"item_icon_primary_color\":\"#AF1A62\",\"item_icon_secondary_color\":\"#FFFFFF\"},{\"_id\":\"6cd9e60\",\"social_icon\":{\"value\":\"fab fa-linkedin\",\"library\":\"fa-brands\"},\"link\":{\"url\":\"https:\\\/\\\/www.linkedin.com\\\/company\\\/univest-in\",\"is_external\":\"true\",\"nofollow\":\"\",\"custom_attributes\":\"\"}}],\"shape\":\"circle\",\"align\":\"left\",\"icon_size\":{\"unit\":\"px\",\"size\":29,\"sizes\":[]},\"icon_padding\":{\"unit\":\"em\",\"size\":0.5,\"sizes\":[]},\"icon_spacing\":{\"unit\":\"px\",\"size\":6,\"sizes\":[]}},\"elements\":[],\"widgetType\":\"social-icons\"}],\"isInner\":false}],\"isInner\":false}]"],"_yoast_wpseo_content_score":["30"],"nectar_blog_post_view_count":["249"],"_schema_ref":["11166"],"_schema_json":["a:12:{s:8:\"@context\";s:19:\"https:\/\/schema.org\/\";s:5:\"@type\";s:11:\"BlogPosting\";s:16:\"mainEntityOfPage\";a:2:{s:5:\"@type\";s:7:\"WebPage\";s:3:\"@id\";s:79:\"https:\/\/univest.in\/sun-pharma-retains-its-leadership-in-the-industry-in-q4fy22\/\";}s:3:\"url\";s:79:\"https:\/\/univest.in\/sun-pharma-retains-its-leadership-in-the-industry-in-q4fy22\/\";s:8:\"headline\";s:59:\"Sun Pharma retains its leadership in the industry in Q4FY22\";s:13:\"datePublished\";s:25:\"2022-06-08T17:03:07+05:30\";s:12:\"dateModified\";s:25:\"2022-06-08T17:35:38+05:30\";s:9:\"publisher\";a:4:{s:5:\"@type\";s:12:\"Organization\";s:3:\"@id\";s:32:\"https:\/\/univest.in\/#organization\";s:4:\"name\";s:7:\"Univest\";s:4:\"logo\";a:4:{s:5:\"@type\";s:11:\"ImageObject\";s:3:\"url\";s:62:\"https:\/\/univest.in\/wp-content\/uploads\/2022\/06\/Univest-Logo.png\";s:5:\"width\";i:600;s:6:\"height\";i:60;}}s:5:\"image\";a:4:{s:5:\"@type\";s:11:\"ImageObject\";s:3:\"url\";s:54:\"https:\/\/univest.in\/wp-content\/uploads\/2022\/06\/sun1.png\";s:5:\"width\";s:3:\"783\";s:6:\"height\";s:3:\"519\";}s:14:\"articleSection\";s:6:\"Market\";s:11:\"description\";s:347:\"Sun Pharma is currently India's largest pharmaceutical firm and the world's fourth largest specialty generic company. 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