The development of oral sustained or controlled release dosage form of Lurasidone has been an interested topic of research for a long period of time. Such drug is difficult to be delivered orally in a sustained or controlled release manner and, Due to its effectiveness and intensive use as a drug of choice in the treatment of headache, arthritis, numerous sustained and controlled release formulations of Lurasidone have been made and reported. Lurasidone microspheres were prepared with a coat consisting of alginate and polymer such as Guar gum and Sodium alginate by Ionic cross linking technique using CaCl2. The microspheres were evaluated with respect to the yield, particle size, incorporation efficiency, in vitro drug release and stability. Microspheres were characterized by FTIR studies. It was found that the particle size and incorporation efficiency of microspheres increases with increasing drug-to-polymer ratio.