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Zydus Lifesciences' Q1 dose lifts vitals, but outlook stays fragile

April-June Qtr beat offsets some caution, yet US headwinds cap upside

Zydus Lifesciences, pharma
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While Zydus has invested in multiple long-term opportunities, earnings growth is expected to slow after FY26 due to the loss of exclusivity for generic versions of Revlimid and Myrbetriq, says JM Financial Research.

Ram Prasad Sahu Mumbai

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Zydus Lifesciences delivered a better-than-expected 2025-26 (FY26) April–June quarter (Q1), particularly on the top line. This, coupled with launches and the prospect of margin improvement, led some analysts to upgrade their outlook. While sentiment remains positive and the stock gained over 3 per cent in Wednesday’s trade, brokerages are cautious due to margin pressures and premium valuations. The stock is up about 12 per cent from its May lows. 
Driven by its India and international businesses, the company recorded 6 per cent revenue growth in Q1FY26. While India sales rose 6 per cent, it was the international formulations arm that