- Torrent Pharma reported a net income of 5.03 billion rupees, marking a 14% increase year-over-year, but falling short of the estimated 5.14 billion rupees.
- Revenue reached 28.1 billion rupees, a 2.9% rise from the previous year, but below the forecasted 30.03 billion rupees.
- Domestic sales grew by 12% to 15.8 billion rupees, slightly missing the 15.85 billion rupees estimate.
- US revenue experienced a 1.1% decline, totaling 2.71 billion rupees, compared to the expected 2.87 billion rupees.
- Revenue from Brazil decreased by 6.7% to 2.91 billion rupees, missing the estimate of 3.33 billion rupees.
- Germany revenue was up by 4.4%, amounting to 2.82 billion rupees, but short of the 2.99 billion rupees target.
- Total costs slightly decreased by 0.5%, amounting to 21.5 billion rupees.
- Research and development expenses increased by 19% to 1.51 billion rupees, which was above the 1.44 billion rupees estimate.
- EBITDA reached 9.14 billion rupees, a 5.1% year-over-year increase, but under the estimated 9.76 billion rupees.
- Gross margin improved to 76% from 75% the previous year, surpassing the estimate of 75.4%.
- The dividend per share increased to 26 rupees, up from 22 rupees last year.
- Market recommendations included 19 buys, 8 holds, and 5 sells for the company.
Torrent Pharmaceuticals on Smartkarma
Analyst coverage of Torrent Pharmaceuticals on Smartkarma, an independent investment research network, sheds light on the company’s positive performance. According to Tina Banerjee‘s report titled “Torrent Pharmaceuticals (TRP IN): Domestic Business Drives Q2 Result; Margin Expansion to Continue,” the company reported a 17% year-over-year increase in net profit, driven by a 9% revenue growth and expanding EBITDA margin in Q2FY25. Torrent Pharmaceuticals anticipates an annual margin improvement of 50–100 basis points, supported by solid pricing power in the branded business and operating leverage. The domestic market revenue surged by 13% year-over-year to INR 16 billion, propelled by focus therapies’ robust performance and strong new launches.
A look at Torrent Pharmaceuticals Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores for Torrent Pharmaceuticals, the company shows a promising long-term outlook. With a high Dividend score of 4, investors can expect good returns in the form of dividends over time. Additionally, the Momentum score of 4 indicates that the company is performing well in the market currently, which could signify continued growth. While the Value score is moderate at 2, this suggests that the company’s stock may be priced at a reasonable level. The Growth and Resilience scores of 3 each show a stable outlook in terms of expansion and ability to withstand economic downturns.
As a manufacturer of bulk drugs and pharmaceutical formulations including cardio-vascular and anti-biotic drugs, Torrent Pharmaceuticals operates with a diversified product range. Its presence in regulated international markets through wholly-owned subsidiaries adds further stability to its operations. Overall, with solid scores in Dividend, Momentum, Growth, and Resilience, Torrent Pharmaceuticals appears well-positioned for long-term success in the pharmaceutical industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
