Torrent Pharma shares surged to scale a 52-week high on Wednesday, continuing to rise for the fifth session in a row, a day after the drug maker reported a quarterly net profit as against a net loss for the corresponding period a year ago. The Gujarat-based pharma company's results were largely in line with analysts' estimates. 

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The Torrent Pharma stock — traded on the bourses with the symbol TORNTPHARM — gained by as much as Rs 136.4 or eight per cent to Rs 1,851.2 apiece on BSE. That was more than Rs 125 higher than its recent peak of Rs 1,722.7 apiece, scaled in November 2022. 

Torrent Pharma Q4 results

After market hours on Tuesday, the drug maker reported a net profit of Rs 287 crore for the quarter ended March 2023, as against a net loss of Rs 118 crore for the corresponding period a year ago owing to an exceptional item of Rs 485 crore. Its revenue grew 17 per cent on a year-on-year basis to Rs 2,491 crore and EBITDA margin came in at 29.2 per cent, according to a regulatory filing.  

According to Zee Business research, the company's quarterly profit was estimated at Rs 317 crore, revenue at Rs 2,442 crore and margin at 30 per cent. 

Torrent Pharma dividend

Torrent Pharma's board recommended a dividend of Rs 8 per share — a 160 per cent payout given the face value of Rs 5 per share, subject to shareholders' approval. 

EDITOR'S TAKE | How Anil Singhvi views Torrent Pharma  

The stock surged past Zee Business Managing Editor Anil Singhvi's targets at the opening bell itself. The market wizard had recommended buying Torrent Pharma futures for targets of Rs 1,717, Rs 1,730 and Rs 1,738 with a stop loss at Rs 1,688. 

"The pharma company's results were better than estimates with strong growth in the India, Germany and Brazil markets," Singhvi said. The company's revenue in India, Germany and Brazil grew 22 per cent, 16 per cent and 27 per cent respectively. Revenue from the US contracted one per cent. 

Zee Business Analyst Ashish Chaturvedi had suggested investors to buy Torrent Pharma futures for a target of Rs 1,750 with a stop loss at Rs 1,700.

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