Lupin soars 7%, trades at highest level since Aug 2016 on strong Q3 results

The company's profit jumped nearly 300 per cent to Rs 613 crore for the December 2023 quarter from a year ago period.

Shares of Lupin hit an over seven-year high at Rs 1,701, as they rallied 7 per cent on the BSE in Thursday’s intra-day trade after pharma major posted nearly 300 per cent jump in profit after tax (PAT) at Rs 613 crore for the December quarter (Q3FY24).

In past one month, Lupin has outperformed the market by surging 23 per cent, as compared to 1.4 per cent rise in the S&P BSE Sensex.

In past six months, the stock rallied 52 per cent, while in the past one year it has more-than-doubled or zoomed 112 per cent. In comparison, the benchmark index was up 10 per cent and 19 per cent, respectively, during the same period. Currently, Lupin trades at its highest level since August 2016. It had hit a record high of Rs 2,129 on October 6, 2015.

The strong growth in PAT is driven by record sales of Rs 5,079 crore, up 19.7 per cent year-on-year (YoY), led by growth in all the key geographies. Earnings before interest, taxes, depreciation and amortization (Ebitda) margin up 800 basis points to 21 per cent.

The management said Lupin delivered its highest quarterly sales to date and crossed the Rs 5,000 crore mark for the first time, driven by strong growth across geographies.

”The US continues to do well, driven by demand for both inline products and new launches, and the India business continues to grow ahead of the market with strong growth across our key therapies. This positive growth momentum coupled with cost optimisation measures and operating leverage has helped us deliver solid performance,” the management said.