Sanofi India Share Price Rises 6% Post Q4 Results and Dividend Announcement
Sanofi India shares witnessed a sharp rise of up to 6% in early morning trading on Friday, February 28, following the announcement of its Q4 financial results and a substantial dividend declaration. Investors cheered the strong performance, pushing the stock higher despite broader market weakness.
The company’s Share Price Movement
It’s share price opened at ₹5,001.40 on the BSE, marginally higher than its previous closing price of ₹4,996.75. The stock surged to an intraday high of ₹5,317.75, reflecting a gain of more than 6% in early trade. However, as the broader market faced selling pressure and the Sensex corrected by nearly 1,000 points, Sanofi India’s stock pared most of its gains.
The initial jump in Sanofi India’s share price was largely driven by its robust quarterly performance and the announcement of a hefty ₹117 per share dividend. Investors reacted positively to the company’s strong financial results, indicating confidence in its growth trajectory.
The company’s Q4 Results: Strong Growth in Profit and Revenue
The company reported an impressive 31% year-on-year (YoY) growth in profit from continuing operations for the December 2024 quarter. The company’s profit stood at ₹91.3 crore, up from ₹69.7 crore in the corresponding quarter of the previous year.
The company follows a January-December financial year, making the October-December quarter its fourth quarter. During this period, Sanofi India’s revenue from operations rose to ₹515 crore, reflecting a solid 10% YoY growth from ₹469 crore in Q4 2023.
Key Highlights of the company’s Q4 Performance
- Diabetes Portfolio Strength: Sanofi India, which has a strong foothold in diabetes care, reported double-digit growth in its Toujeo brand and a successful launch of Soliqua, reinforcing the company’s leadership in the segment.
- Expanding Partnerships in CNS & Cardiovascular Segments: The company’s recently announced partnerships in the Central Nervous System (CNS) and Cardiovascular (CV) segments are expected to accelerate growth and expand market reach.
- Profit from Operations: Sanofi India’s operating profit increased by 21% in Q4 2024, reaching ₹108 crore compared to ₹90 crore in Q4 2023.
Company’s Dividend Announcement
Alongside its strong financial performance, Sanofi India declared a final dividend of ₹117 per equity share of face value ₹10 for the financial year ending December 31, 2024. This generous dividend payout is subject to shareholder approval and further enhances the attractiveness of Sanofi India as a strong dividend-yielding stock.
Sanofi India’s Key Financial Ratios (Q4 2024)
| Metric | Value |
|---|---|
| Earnings Per Share (EPS) | ₹39.2 |
| Profit Growth (YoY) | 31% |
| Revenue Growth (YoY) | 10% |
| Operating Profit Growth | 21% |
| Dividend per Share | ₹117 |
| Dividend Yield (approx.) | 2.34%* |
| P/E Ratio | 29.5x |
| Return on Equity (ROE) | 18.2% |
(*Dividend yield is approximate based on the stock price around ₹5,000.)
Sanofi India’s Market Outlook
Sanofi India’s consistent financial performance, strong brand portfolio, and commitment to high dividend payouts make it an attractive pick for investors looking for stability in the pharmaceutical sector. The company’s focus on diabetes care, cardiovascular therapies, and CNS partnerships positions it well for sustained growth.
While the broader market fluctuations led to profit booking, long-term investors continue to see value in Sanofi India’s strong fundamentals and growth prospects.
Conclusion
Sanofi India’s Q4 2024 results reflect a strong growth trajectory with a 31% rise in profit and a 10% increase in revenue. The ₹117 per share dividend announcement further boosts investor sentiment. While the stock initially surged by 6%, broader market weakness resulted in partial profit booking. However, Sanofi India’s long-term prospects remain strong, backed by its leadership in diabetes care and expansion in CNS and cardiovascular segments.
Investors should keep an eye on market trends and Sanofi India’s future strategic moves as the company continues to strengthen its position in the Indian pharmaceutical industry.
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Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.