Lower price erosion may finally bring sunny days for Sun Pharma

Lower price erosion in the current fiscal year is expected to help Sun Pharma, India’s largest drugmaker, to post a gradual improvement in sales from its US business. Analysts estimate that price erosion for the generic space, which was at 13-15 per cent last year, is expected to come down to about 8-10 per cent in FY19.

While the company, which derives 35 per cent of its consolidated sales from the US market, reported a 3 per cent fall over the year-ago quarter, on a sequential basis the US sales grew 12 per cent. 

The improvement, first in at least four quarters,