Zydus Life reported higher Q2 revenue of 9% and a 53% increase in net profit to Rs 801 crore

7 Nov 2023 , 02:38 PM

Zydus Lifesciences, a pharmaceutical firm, announced on Tuesday, November 7, that its consolidated net profit for the second quarter of 2023, which ended in September 2023, increased by 53% year over year to Rs 800.7 crore (Q2FY24). A year prior, Zydus Lifesciences had reported a profit of Rs 522.5 crore for the same period.

The US, Emerging Markets, and European formulations and API divisions drove the pharma company located in Ahmedabad’s 9% year-over-year increase in overall revenue from operations, which came to Rs 4,368.8 crore for the July to September period. In the equivalent quarter of the previous fiscal year, it was Rs 4,005.5 crore.

Earnings before interest, taxes, depreciation, and amortization (EBITDA) for Zydus Life was Rs 1,146 crore, a 41% increase from Rs 815 during the same time last year. At 26.2%, the EBITDA margin increased by 590 basis points year over year.

US formulations business was driven by solid base business and supplemented by new introductions, and it performed along predicted lines. Revenues were Rs 1,865 crore, up 9% year over year and down 24% quarter over quarter. Of all sales, 44% came from the business.

The company reported $225 million in revenue in constant currency. During the quarter, the company introduced eight new goods to the US market.

A portion of the delay in the acute season contributed to the high single digit growth in the Indian branded formulations market after NLEM was taken into account. Volume increase and new product introductions were the main drivers of the growth.

The formulations business for Europe and Emerging Markets maintained its strong growth momentum and produced double-digit growth.

During the quarter, there was robust growth in every major market.

The business declared Rs 216 crore in organic capex for the second quarter.

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