India's Sun Pharma raises 2013/14 revenue outlook to 25 pct

Reuters

MUMBAI, Nov 14 (Reuters) - Sun Pharmaceutical Industries Ltd, India's top drugmaker by market value, has raised itsconsolidated revenue growth outlook for the fiscal year endingMarch 2014 to 25 percent from 18 to 20 percent.

The forecast was revised after taking into account theperformance in the first half of the fiscal year, as well asrisks associated with increased competition for some products,Sun said in a statement.

"The performance of all our businesses exceeded our plans.We continue to develop a differentiated and specialty drivenproduct basket," Managing Director Dilip Shanghvi, who counts asIndia's third-richest person according to Forbes, said in thestatement.

The company reported late on Wednesday that Septemberquarter consolidated profit more-than-quadrupled to 13.62billion rupees ($214 million).

Year-earlier profits, however, had included a provision of5.84 billion rupees towards possible compensation in a patentdispute related to the drug Protonix. That dispute was settledwith Pfizer Inc in June.

Excluding the provision, September quarter net profit rose51 percent on like-to-like basis, Sun said in the statement. Netsales rose 58 percent to 41.92 billion rupees.

Demand for cheaper generic medicines from companies like SunPharmaceutical and local rivals such as Ranbaxy Laboratories and Cipla is booming as developed nationsbattle rising healthcare costs.

However, Indian firms, which make nearly 40 percent ofgeneric and over-the-counter drugs for the U.S. market, facemore regulatory troubles, including a record fine for Ranbaxy,amid increased scrutiny by overseas regulators.

Sun Pharmaceutical's shares, valued by the market at $19.6billion, have risen 65 percent so far this year, compared with a4 percent rise for the main stock index.

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