Sun Pharma posts 26% Q4 profit growth and readies tax shift
The drugmaker closed FY26 with a ₹5 final dividend, while preparing to tap a lower tax regime in the new fiscal year.
— 4 earlier stories on Sun Pharmaceutical Industries Ltd. →What's new
- Q4 sales rose 13.6% to ₹145.6bn.
- Full-year net profit hit ₹114.8bn, a 5% increase.
- Management will switch to the Section 115BAA tax regime in FY27.
Why this matters
The Q4 profit growth provides a clear finish to a year of steady revenue expansion. Adoption of the lower tax regime in FY27 should aid earnings through a one-time tax credit.
What we're watching
- Impact of the tax regime shift on FY27 net margins.
- Status of the pending Organon acquisition.
- Whether the sales momentum from Q4 persists.
The full read
Sun Pharmaceutical Industries finished FY26 with a strong fourth quarter. Consolidated sales hit ₹145.6bn, marking a 13.6% increase, while net profit jumped 26.2% to ₹27.1bn. This performance helped pull full-year sales to ₹582.2bn, up 11.9%, though annual profit growth remained more modest at 5%.
Shareholders will receive a final dividend of ₹5 per share, keeping the total payout for the year at ₹16 — identical to the previous year. The board also intends to adopt the concessional tax regime under Section 115BAA starting in FY27. This change will trigger a one-time tax credit, altering the earnings profile for the coming year.
Earnings were strong.
While the quarterly numbers outperformed some estimates, the broader market had largely anticipated the results. The company did not update its status on the Organon acquisition, leaving that file open.
Sun Pharmaceutical Industries Ltd.
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All notes on SUNPHARMA →- 22 May 2026 · 3:04 PM IST Sun Pharma posts 26% Q4 profit growth and readies tax shift
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