Profit before tax was at Rs 1,270.9 crore in Q2 FY25, up 26.18% from Rs 1,007.2 crore reported in Q2 FY24.

EBITDA stood at Rs 1,461.4 crore, registering the growth of 27.51% as compared to Rs 1,146.1 crore posted in same quarter last year. EBITDA margin improved to 27.9% in Q2 FY25 as against 26.2% in Q2 FY24.

Research & Development (R&D) investments for the quarter stood at Rs 480 crore in Q2 FY25, up 50.23% from Rs 319.5 crore in Q2 FY24, which represented 9.2% of revenues. Additionally, organic capital expenditures (Capex) rose 39.54% YoY to Rs 301.7 in Q2 FY25.

In terms of segment revenue, Formulations business grew by 9% YoY to Rs 1,456.9 crore. The business accounted for 28% of consolidated revenues. Branded business grew faster than the market with 10% YoY growth. Outpaced the market growth both in chronic and acute segments.

Revenue from US Formulation business stood at Rs 2,416.8 crore in Q2 FY25, up 30% YoY. The business accounted for 47% of consolidated revenues. In constant currency terms, the business registered revenues of $ 288 million.

Consumer Wellness generated Rs 487.5 crore in revenue, registering a 12% YoY growth. This segment accounted for 10% of the company’s consolidated revenues. The growth was primarily led by 8.4% volume growth.

Revenue from International Markets formulations business stood at Rs 538.9 crore, up 20% YoY. The business accounted for 11% of consolidated revenues. The business continued to deliver healthy growth with all major markets contributing to the growth during the quarter.

The API business generated revenue of Rs 119.4 crore, down 15% YoY. This segment contributed 2% to the company’s consolidated revenues.

The Alliances and Others segment generated revenue of Rs 94.1 crore, registering a YoY growth of 178%. This segment contributed 2% to the company’s consolidated revenues.

During the quarter, the company has Received Establishment Inspection Report (EIR) with Voluntary Action Indicated (VAI) status from the USFDA for the inspection of transdermal formulations facility located in Ahmedabad SEZ.

Sharvil Patel, managing director, Zydus Lifesciences, said, Sustained growth momentum across our businesses along with enhanced profitability drove our strong Q2 performance. Execution success of our differentiated pipeline in the US and outperformance of our India Geography business were particularly noteworthy. With a focus on quality excellence, we will continue to align our processes and strengthen compliance. We are on course to achieve our growth aspirations for FY25 and are committed to investing in sustainable growth initiatives and innovative solutions, keeping patient centricity at the core.

Zydus Lifesciences is a discovery-driven, global lifesciences company that discovers, develops, manufactures, and markets a broad range of healthcare therapies.

The scrip declined 2.02% to Rs 949 on the BSE.