Why Sun Pharma's stock fell nearly 2% on Monday
Sun Pharma's stock slipped nearly 2% on Monday, closing at ₹1,563.30—making it one of the bigger losers on the Nifty 50.
The drop followed its Q1 FY26 results: while sales and adjusted profits were up, reported net profit fell sharply due to big one-time charges.
In numbers: Reported profits down due to 1-time charges
If you're tracking major Indian companies or thinking about investing, here's the scoop:
Sun Pharma's overall business is still growing—sales jumped 10% and adjusted profits rose too. But certain one-time charges and transitional costs led to a reported profit drop this quarter.
Even so, for the last financial year (ending March 2025), revenue climbed over 8%, net profit was up nearly 14%, and earnings per share improved.
The company also paid out dividends and has a record of rewarding shareholders—but recent market negativity seems to be weighing down the share price for now.
One-time charges hit reported profits hard
The main reason for this quarter's dip was certain one-time charges and transitional costs, which hit reported profits hard despite core business gains in India and the US.
So while headlines look rough today, Sun Pharma's longer-term growth story is still intact if you zoom out beyond just one quarter.