Alkem Labs Q2 Profit Rises 11% to ₹689 Crore

14 Nov 2024 , 01:38 PM

Alkem Laboratories reported a 11% YoY increase in net profit for Q2 FY25, totaling ₹689 crore, compared to ₹621 crore in Q2 FY24.

Revenue from operations for the quarter marginally declined by 0.7% YoY to ₹3,414.6 crore, from ₹3,440 crore last year. Domestic sales in India grew by 5.7% YoY, reaching ₹2,461 crore. International sales decreased by 12.9% YoY, amounting to ₹918 crore. R&D expenses rose to ₹146.5 crore, making up 4.3% of total revenue, compared to ₹115.8 crore (3.4% of revenue) in the previous year.

EBITDA was almost flat at ₹753 crore, up slightly from ₹746.7 crore in the same quarter last year. EBITDA margin expanded by 30 basis points to 22% from 21.7% in Q2 FY24.

At the time of writing on November 14, 2024 at 1:36 pm, shares of Alkem Labs is trading at ₹5563.80 which is a 0.13% dip than the previous close. The stock has gained a total of 28% in the last one year, and 8.5% since the beginning of the year.

CEO Vikas Gupta highlighted that Alkem’s strategic initiatives aimed at improving profitability have been effective, focusing on a high-margin product mix and cost-control measures. The company is focusing on expanding its large brands in the domestic market and exploring growth opportunities in emerging markets.