 "Zydus Lifesciences, Zydus")
Ahmedabad-headquartered Zydus Lifesciences posted around a four-fold increase in profit after tax (PAT) year-on-year (Y-o-Y) during the fourth quarter of financial year 2023-24, reaching Rs 1,179.1 crore. The company also posted a 10.44 per cent increase in its consolidated revenue from operations, which came in at Rs 5,533.8 crore. This increase in PAT can be attributed to good performance of the formulations in the Indian, US and European markets.
On a sequential basis, the company exhibited a 22.83 per cent increase in revenue, the PAT also rose by 53.57 per cent. The Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) rose 30 per cent Y-o-Y reaching Rs 1,630.5 crore.
Speaking on this, Sharvil Patel, managing director of Zydus Lifesciences stated, “We are happy to close the year on a strong note, driven by robust performance across our businesses. Our focus on patient centricity, operational efficiency, strategic investments, and execution of our diversified product portfolio continues to pay off, resulting in a significant improvement in profitability as well. We aspire to sustain strong performance in financial year 2024-25 with strong revenue growth and strive to improve EBITDA margins further from FY24 levels.”
For the full year of FY24, Zydus Lifesciences posted a 13.39 per cent Y-o-Y increase in revenue and 95.25 per cent increase in PAT, reaching Rs 19,547.4 crore and Rs 3,836.5 crore respectively. The EBITDA was up by 40 per cent, reaching Rs 5,384.3 crore.
The India business, which combines Formulations and Consumer Wellness, generated 40 per cent of the company's total revenue in Q4 FY24. This segment witnessed an 8 per cent Y-o-Y growth, reaching Rs 2,156.1 crore. Looking at the full year, India business revenue grew by 7 per cent, reaching Rs 7,670.7 crore.
Also Read
The Formulations business within India grew 7 per cent Y-o-Y to Rs 1,380.6 crore, accounting for 26 per cent of the total revenue. This growth was driven by their branded formulations performing better than the market average and a strong showing in key areas like dermatology and anti-infective therapies. The chronic portfolio share rose by 41.2 per cent for the year.
The Consumer Wellness business in India also saw positive growth of 10 per cent Y-o-Y, reaching Rs 775.5 crore and contributing 14 per cent to the total revenue. The personal care segment, which includes Nycil and EverYuth brands, continued its strong performance. The food and nutrition segment also showed improvement with mid-single-digit growth during the quarter.
The US Formulations business reported revenues of Rs 2,523.5 crore, marking a 12 per cent Y-o-Y growth and constituting 47 per cent of consolidated revenues. The base business expanded sequentially throughout the year, driven by volume expansion and new product launches. There were 5 new products launched during the quarter, and approvals were received for 12 Abbreviated New Drug Applications (ANDAs) (including 4 tentative approvals). For the full year, the US Formulations business reported revenues of Rs 8,685.1 crore, up by 17 per cent.
The Emerging Markets (EM) and Europe formulations business recorded revenues of Rs 496 crore, marking a 13 per cent Y-o-Y growth and constituting 9 per cent of consolidated revenues. Demand remained strong across key geographies. For the full year, revenues for this segment reached Rs 1,929.4 crore, up by 22 per cent.
The Active Pharmaceutical Ingredients (API) business reported revenues of Rs 143.6 crore, marking a 15 per cent Y-o-Y growth and contributing 3 per cent to consolidated revenues. For the full year, revenues amounted to Rs 565.8 crore, up by 3 per cent.
The alliances and others segment recorded revenues of Rs 47.2 crore, showing a 23 per cent Y-o-Y growth and constituting 1 per cent of consolidated revenues. For the full year, revenues reached Rs 170.5 crore, up by 6 per cent.
