Synopsis: Zydus Lifesciences reported robust YoY progress in Q2 with 38% EBITDA and 35% PAT bounce, reaffirmed FY26 steerage with 26% EBITDA margin outlook, plans 25+ US launches this yr, and board accredited fundraise of as much as Rs. 5,000 crore.
This pharma inventory is one in all India’s main built-in pharma & biotech corporations with robust presence throughout formulations, biologics, APIs, vaccines, wellness and complicated generics is now within the focus after FY26 steerage targets 26% EBITDA.
With market capitalization of Rs. 95,089 cr, the shares of Zydus Lifesciences Ltd are closed at Rs. 944.10 per share, from its earlier shut of Rs. 936.70 per share.
QoQ view
Income declined from Rs. 6,574 Cr in Q1FY26 to Rs. 6,123 Cr in Q2FY26, draw back of seven% EBITDA additionally declined 3.4% to Rs. 2,016 Cr from Rs. 2,088 Cr within the earlier quarter, whereas internet revenue fell by 18.4% to Rs. 1,239 Cr from Rs. 1,521 Cr in Q1FY26. EPS additionally moved down QoQ from Rs. 14.58 to Rs. 12.51 reflecting sequential margin moderation.
YoY view:
In Q2FY26, Zydus Lifesciences delivered robust YoY efficiency with income rising 17% to Rs. 6,123 Cr from Rs. 5,237 Cr final yr. EBITDA grew sharply 38% YoY to Rs. 2,016 Cr from Rs. 1,461 Cr and internet revenue jumped 35% YoY to Rs. 1,239 Cr from Rs. 920 Cr in Q2FY25. EPS additionally improved 38% YoY to Rs. 12.51 from Rs. 9.06.
Additionally learn: Chemical inventory in focus after reporting 1,618% progress in internet earnings in Q2
Information
Zydus Lifesciences reaffirmed its FY26 steerage, stating that the corporate stays assured of reaching its focused top-line progress and profitability. Administration maintained its EBITDA margin steerage at round 26% for the total yr, regardless of near-term margin pressures from latest acquisitions equivalent to Consolation Click on.
Moreover, Zydus plans to launch over 25 new merchandise within the US market in the course of the present fiscal yr, reinforcing its give attention to increasing its world product portfolio and sustaining progress momentum.
The corporate’s board has given a nod to boost as much as Rs. 5,000 crore by means of a mixture of equity-linked routes together with QIP, rights subject, preferential subject or personal placement, in a single or a number of phases. This fundraise would require approvals from shareholders and regulators, and a committee has been empowered to take all additional actions and selections for execution.
Concerning the firm
Zydus Lifesciences Ltd is one in all India’s main pharmaceutical corporations with robust presence throughout branded formulations, generics, biosimilars and specialty merchandise throughout India and world markets together with US. The corporate continues to scale progress by means of targeted R&D, new product launches particularly within the US market, advanced generics pipeline, biologics enlargement and strategic acquisitions.
The corporate can be displaying robust capital effectivity with ROCE at 24.3% and ROE at 21.2%. The corporate maintains a wholesome dividend payout of 21.1%.
Written by Manideep Appana
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