Views on Lupin Ltd 4QFY2016 Results: Angel Broking

Views of Ms. Sarabjit Kour Nangra (VP Research- Pharma , Angel Broking) on Lupin Ltd 4QFY2016 Results:

Lupin Ltd (CMP: INR 1632 / TP: / Upside:)

"Lupin Ltd posted results above expectations. The sales came in at INR 4091cr V/s INR 3665cr expected a YoY growth of 34.0%. The sales growth was driven by Formulations INR 3807.5cr), posting a YoY growth of 38.6%, while API (INR 283.8cr) a dip of 7.7%. Formulation sales were driven by USA (INR 2187.1cr), a 58.7% YoY growth. Europe (INR 125.4cr) posted a YoY growth of 40.7%. India (INR 761.5cr) posted a 14.7% YoY growth, while Japan (INR 344.2cr) posted a 17.0% YoY growth. ROW (INR 275.8cr), posted a 38.3% YoY growth. On operating front, the EBDITA came in at 31.2% V/s 25.1% in 4QFY2015 and V/s 29.5% expected. The expansion in the OPM was on back of the GPM expansion which came in at 73.8% V/s 68.7% in 4QFY2015, V/s 72.7% expected. This along with high other income (INR 115.2cr V/s INR 41.3cr in 4QFY2015), lead the net profit to come in at INR 806.9cr V/s INR 547.2cr in 4QFY2015, V/s INR 828.7cr expected. We maintain our NEUTRAL rating on the stock."

Shares of LUPIN LTD. was last trading in BSE at Rs.1475.85 as compared to the previous close of Rs. 1488.9. The total number of shares traded during the day was 86105 in over 4920 trades.

The stock hit an intraday high of Rs. 1495.85 and intraday low of 1466. The net turnover during the day was Rs. 126971675.

Source : Equity Bulls

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