November 13, 2018 / 10:36 AM / 5 months ago

Sun Pharma swings to surprise quarterly loss

A guard walks inside the office of Sun Pharmaceutical Industries Ltd in Mumbai, November 13, 2018. REUTERS/Francis Mascarenhas

(Reuters) - Sun Pharmaceutical Industries was sent to an unexpected second-quarter loss by a one-off charge for an antitrust litigation settlement.

India's largest drugmaker by market capitalisation made a provision of 12.14 billion rupee ($167 million) for estimated settlements with remaining plaintiffs in U.S. antitrust litigation related to its sleep disorder drug Modafinil, leaving it with a 2.19 billion rupee loss in the three months to Sept. 30, the company said on Tuesday.

Adjusted net profit for the quarter was 9.96 billion rupees, against a 9.12 billion rupee profit in the same period last year and analyst expectations for a profit of 10.35 billion rupees, according to I/B/E/S data from Refinitiv.

Total revenue from operations was 69.38 billion rupees, up 4.3 percent, while U.S. sales, which account for more than a third of total sales, rose 11 percent to $342 million.

Indian pharmaceutical companies have been hit by U.S. regulatory bans and warnings over quality control violations at production plants, which have weighed on profitability. Pricing pressure has also weighed on performance in the United States, though sales have begun to show improvement.

($1 = 72.6500 Indian rupees)

Reporting by Tanvi Mehta and Arnab Paul in Bengaluru; Editing by David Goodman

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below