Zydus Lifesciences Q3 results: Profit soars 29.6%, revenue grows 16.9%

Ahmedabad-based Zydus Lifesciences posted a 29.6 per cent year-on-year (Y-o-Y) growth in its consolidated net profit at Rs 1,023.5 crore for Q3FY25, while revenue from operations grew by 16.9 per cent to Rs 5,269.1 crore.

 

The increase in net profit can be attributed to strong performance across key businesses.

 

Sequentially, revenue from operations grew by 0.61 per cent, whereas profit after tax (PAT) rose by 12.3 per cent.

 

Commenting on the results, Sharvil Patel, managing director, Zydus Lifesciences, stated: “We are on track to achieve our financial year 2025 goal of double-digit growth across our key businesses, coupled with improved profitability. Looking ahead, we are strategically building growth levers to ensure sustained success, with patient centricity and quality at the core of our operations.”

 

The company's India business, comprising both formulations and consumer wellness divisions, contributed 38 per cent of consolidated revenue, with a 7 per cent Y-o-Y increase, reaching Rs 1,947 crore.

 

Within India, the formulations business generated Rs 1,498.2 crore, marking a 5 per cent increase Y-o-Y. The consumer wellness segment achieved Rs 448.8 crore in revenue, up 13 per cent Y-o-Y.

 

The company acquired Naturell (India), marking its entry into the healthy snacking market.

 

The US formulations business grew 31 per cent, reaching a revenue of Rs 2,409.6 crore, a 31 per cent Y-o-Y increase. This segment now accounts for 47 per cent of consolidated revenue.

 

The company filed 10 abbreviated new drug applications (ANDAs) and received approvals for three new products in the US, including the launch of the Zitagliptin franchise. A key formulary agreement with CVS Caremark for these products, effective January 1, 2025, is expected to further boost US sales.

 

International markets formulations also saw growth, with revenues of Rs 570.2 crore, up 16 per cent Y-o-Y. The active pharmaceutical ingredient (API) business generated Rs 170.3 crore, a 19 per cent Y-o-Y increase.

 

On the research and development front, the company achieved US Food and Drug Administration (USFDA) approval for Phase II(b) clinical trials of Usnoflast for amyotrophic lateral sclerosis (ALS) and also received orphan drug designation for the same indication.

 

Progress was also made in biotech and vaccine R&D, with advancements in clinical trials and pre-clinical studies. Furthermore, the USFDA accepted for filing and granted priority review to a new drug application (NDA) for CUTX101, a copper histidinate product candidate for the treatment of Menkes disease.

 

The company’s stock rose by 0.49 per cent to Rs 978.25 a piece on the BSE. The results came during market hours on Wednesday.