Pharma shares in focus; Cipla, Sun Pharma surge over 5%
At 02:59 PM; Nifty Pharma index, the largest gainer among sectoral indices, was up 3.6% as compared to 1.01% rise in the benchmark Nifty 50 index
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Shares of pharmaceutical companies were in focus with the Nifty Pharma index gaining nearly 4% on back of strong rally in Cipla and Cadila Healthcare post their December quarter results.
At 02:59 pm; Nifty Pharma index, the largest gainer among sectoral indices, was up 3.6% as compared to 1.01% rise in the benchmark Nifty 50 index.
Among the pharma index, Cipla and Sun Pharmaceutical Industries have rallied more than 5% each, while Cadila Healthcare, Dr Reddy’s Laboratories and Divi’s Laboratories up in the range of 2% to 4% on the National Stock Exchange (NSE).
FDC and Morepen Laboratories from the non-index stocks rallied more than 10% each, Sequent Scientific, Sun Pharma Advanced Research Company (SPARC), Hester Biosciences, Hikal, Ajanta Pharma, Biocon and Ipca Laboratories up between 4% and 7% on BSE.
Among the individual stocks, Cipla rallied 8% to Rs 617 on NSE in intra-day trade, after the company reported a healthy performance in December quarter (Q3FY18) with EBITDA (earnings before interest, tax, depreciation and amortization) margins improved 230 bps to 20.9% from 18.6% in year ago quarter and 19.7% in previous quarter.
EBITDA margins have been improving continuously driven by cost optimization across all spend lines despite R&D getting stepped up to 7.6% of sales during the quarter, Cipla said in a press release.
Cadila Healthcare soared 6% to Rs 418 after the company reported a better than expected 68% year-on-year (YoY) rise in consolidated net profit at Rs 5.43 billion on back of strong operational and revenue performance. The total income from operations grew 38% YoY at Rs 32.60 billion, while EBITDA profit increased 108% at Rs 8.41 billion over the previous year quarter.
Analysts on an average had expected net profit of Rs 5.19 billion and operational revenue of Rs 31.37 billion for the quarter.
At 02:59 pm; Nifty Pharma index, the largest gainer among sectoral indices, was up 3.6% as compared to 1.01% rise in the benchmark Nifty 50 index.
Among the pharma index, Cipla and Sun Pharmaceutical Industries have rallied more than 5% each, while Cadila Healthcare, Dr Reddy’s Laboratories and Divi’s Laboratories up in the range of 2% to 4% on the National Stock Exchange (NSE).
FDC and Morepen Laboratories from the non-index stocks rallied more than 10% each, Sequent Scientific, Sun Pharma Advanced Research Company (SPARC), Hester Biosciences, Hikal, Ajanta Pharma, Biocon and Ipca Laboratories up between 4% and 7% on BSE.
Among the individual stocks, Cipla rallied 8% to Rs 617 on NSE in intra-day trade, after the company reported a healthy performance in December quarter (Q3FY18) with EBITDA (earnings before interest, tax, depreciation and amortization) margins improved 230 bps to 20.9% from 18.6% in year ago quarter and 19.7% in previous quarter.
EBITDA margins have been improving continuously driven by cost optimization across all spend lines despite R&D getting stepped up to 7.6% of sales during the quarter, Cipla said in a press release.
Cadila Healthcare soared 6% to Rs 418 after the company reported a better than expected 68% year-on-year (YoY) rise in consolidated net profit at Rs 5.43 billion on back of strong operational and revenue performance. The total income from operations grew 38% YoY at Rs 32.60 billion, while EBITDA profit increased 108% at Rs 8.41 billion over the previous year quarter.
Analysts on an average had expected net profit of Rs 5.19 billion and operational revenue of Rs 31.37 billion for the quarter.