Zydus Lifesciences posts 53.3% jump in quarterly profit

AHMEDABAD: Indian pharma major, Zydus Lifesciences Limited on Tuesday reported 53.3% jump in its quarterly profit on Tuesday, led by the strong sales in the domestic market and the United States. Theconsolidated net profit was Rs 801 crore ($96.2 million) during the second quarter of FY 2024, against Rs 523 crore during the year-ago period.
Zydus’ total revenuefrom operations rose 9.1% to Rs 4,369 crore, boosted by the strength in the US formulation segment, which constitutes 44% of the business.The company’s US market performance indicates signs of recovery from the after-effects of price erosion.
“Our Q2 FY24 result represents stable growth in our key businesses, as well as strong profitability. We are on track to meet our growth objectives for the year. Going ahead, differentiated launches in the US, in addition to a rebound in India business growth which was constrained by delayed seasonality, will be critical drivers. We anticipate sustained momentum in profitability and aim for EBITDA margins of more than 24% in the current fiscal year,” said Dr Sharvil Patel, managing director, Zydus Lifesciences Limited.
India’s generic drug makers, which draw a significant share of revenue from the crucial US market, are recovering from the effects of eroding prices in the largest drug market in the world.