Shares of Indian drug makers gained on Tuesday on expectations of strong earnings in the quarter ended June.
Excluding sales of Ranbaxy's generic version of cholesterol-lowering drug Lipitor and Dr Reddy's Labs' generic version of Geodon, the pharmaceuticals sector is expected to report growth of 27 per cent in revenue in the quarter, Emkay Global stated in a note. Analysts say during the quarter, the export-dependent sector benefited from a weaker rupee and exclusive rights to sell some drugs in key markets in the US.
On Tuesday, in the Bombay Stock Exchange, Sun Pharmaceutical rose 1.13 per cent to Rs 628, Glenmark Pharma gained 1.88 per cent to Rs 388.15 and Biocon rose 1.04 per cent to Rs 247.55. Dr Reddy's gained 1.67 per cent to Rs 1,703.55 on BSE. The company, is set to report its earnings for the quarter ended June on Thursday. Shares of Cadila Healthcare rose 4.74 per cent to Rs 836.65 on BSE after the company said it had resolved its tussle with the United States Food and Drug Administration, which had issued a warning against violations of manufacturing norms at its facilities in Moraiya, Gujarat.
