Sanofi Consumer in good health
Sanofi Consumer Healthcare India Limited (SCHIL) is currently among the top three gainers on the BSE, rising over 8% to hit an intraday high of Rs.5,063.80 after the company reported strong growth in its third-quarter results.
The stock opened higher at Rs.4,710.05 against the previous close of Rs.4,657.30, with a VWAP of Rs.4,997.28 and a market capitalisation of Rs.11,568 crore.
The consumer healthcare major posted Q3FY25 revenue of Rs.234 crore, up 46% YoY, supported by a 20% rise in domestic sales and a sharp surge in exports, which grew over tenfold on a low base. Net profit rose 40% to Rs.63 crore, reflecting improved operating leverage and efficiency. For the nine-month period, revenue stood at Rs.627 crore crore, up 13%, while profit after tax increased 27%, aided by better margins and product normalisation following last year’s voluntary recalls.
Management said performance during the quarter was underpinned by a diversified product portfolio and recovery across its leading brands. The company said that its third-quarter results reflect the strength of its diversified portfolio driving sustained growth momentum this quarter. The domestic business demonstrates good performance, with exports providing additional impetus. All voluntarily recalled products have re-established their market presence, supporting brand resilience and consumer trust.
But its best to be cautious because growth comparables may normalise in the coming quarters, as base effects fade and competition in the OTC and nutraceutical space intensifies.
Following its demerger from Sanofi India in June 2024, SCHIL now operates as a standalone consumer healthcare entity, focusing on science-led self-care products. The separation aligns with the global parent’s strategy to streamline prescription and consumer segments. While the company has re-established its brand portfolio, analysts said future growth will depend on innovation in OTC categories, pricing discipline, and rural penetration, given the sector’s sensitivity to disposable income and retail channel dynamics.