Tag Zydus Lifesciences Ltd

Zydus Lifesciences Ltd
Zydus Lifesciences Patent Challenge in US Over Myrbetriq and Stock Insights

Business and Industry Overview: 

Zydus Lifesciences Limited, formerly called Cadila Healthcare Limited, is a top Indian pharmaceutical company. It is a global healthcare provider with expertise in healthcare. Zydus works across the full pharmaceutical value chain. This includes making medicines, active ingredients, animal healthcare products, and wellness products. The company is known in India for offering complete healthcare solutions. Zydus has a rich history. It was founded in 1952 by Mr. Ramanbhai B. Patel (late), who was a first-generation entrepreneur and a leader in the Indian pharmaceutical industry. The company started in the 1950s. In 1995, the company changed its structure and formed Cadila Healthcare under the Zydus group. It grew from a turnover of ₹250 crores in 1995 to more than ₹19,500 crores in FY-24. Zydus is dedicated to improving life in all ways. The company continues to innovate and focus on solving healthcare problems that are not yet addressed. It also works to make communities around the world healthier and happier. 

Latest Stock News: 

As of April 17, 2025, Zydus Lifesciences Limited’s stock is trading at ₹825.40 on the BSE and ₹998.90 on the NSE. The stock’s price today has been between ₹816.10 and ₹839.15. Over the past 52 weeks, the highest price was ₹1,324.30, and the lowest was ₹795.00. Zydus Lifesciences has a market value of ₹83,055 crore. This is the total value of the company based on its stock price. The company pays a dividend of 0.36%, which means investors get 0.36% of the stock price as dividends. The stock has a Price-to-Earnings (P/E) ratio of 18.95, which helps to understand if the stock price is too high or too low compared to the company’s earnings. Analysts have different opinions about the stock. Three analysts say “strong buy,” nine say “buy,” ten say “hold,” three say “sell,” and two say “strong sell.” This shows that some analysts believe the stock will do well, while others expect it to decline. For the fiscal year 2024, Zydus Lifesciences made a net profit of ₹3,859.50 crore. This is the amount left after all expenses are paid. However, the stock has gone down in recent months. In the past three months, it has fallen by 16.93%. In the past six months, it has dropped by 19.06%. At 14:47 IST on April 17, 2025, Zydus Lifesciences’ stock fell by 7.65% to ₹816.55. It became the biggest loser in the BSE’s ‘A’ group, which has high-value stocks. So far, 2.23 lakh shares were traded on the BSE, much higher than the usual 74,937 shares traded daily over the last month. This shows that more people are trading the stock, likely because of the price drop. 

Potentials: 

Zydus Lifesciences has many future plans. The company wants to grow in the US market. It plans to launch a new liver medicine called Saroglitazar in the US by early 2026. This medicine helps in liver problems like Primary Biliary Cholangitis (PBC) and MASH. Zydus is also working on special medicines for rare diseases and complex injectables (injection-based medicines). These are harder to make and are used in serious health problems. To grow faster, Zydus wants to join with other companies, buy small companies, or get rights to sell special medicines. This will help the company grow its US business in generic drugs and injections. Zydus is also working on new medicines. It is focusing on making new chemical medicines for problems like heart diseases, inflammation, and fibrosis. The company is also building a group of complex medicines. These include injectables, skin patches (transdermals), and biosimilars. Biosimilars are cheaper copies of expensive modern medicines. Zydus also wants to work more in the rare disease area. It has already bought a medicine for Menkes disease, a rare illness. Zydus is entering new business areas too. It now wants to make products in medical devices, health tests (diagnostics), and nutrition. For this, it bought Naturell India Pvt. Ltd., the company that makes Ritebite Max Protein bars. This helps Zydus enter the protein and nutrition market. The company is also working with other groups. It has a joint venture with Perfect Day Inc. to make animal-free protein products. It has a partnership with CVS Caremark to sell medicines in the US. Zydus is also working with the Gates Foundation to make a new vaccine. This vaccine will fight shigellosis and typhoid. Another new medicine by Zydus is ANVIMO. It helps organ transplant patients. This medicine is made in India and will be affordable and easy to get. Zydus wants to give better and cheaper healthcare to more people. It plans to make modern, useful, and safe medicines for people in India and the world. 

Analyst Insights: 

  • Market capitalisation: ₹ 83,236 Cr. 
  • Current Price: ₹ 827 
  • 52-Week High/Low: ₹ 1,324 / 795 
  • Stock P/E: 18.4 
  • Dividend Yield: 22.3 % 
  • Return on Capital Employed (ROCE): 22.3 % 
  • Return on Equity: 20.7 % 

Zydus Lifesciences Ltd is showing strong growth. Its Q4 FY25 results were very good. Net profit grew by 33.34%. It reached ₹1,026 crore. Last year, it was ₹769 crore. Revenue also increased by 16.96%. It became ₹5,832 crore in Q4 FY25. This means the company is selling more. The profit margin also improved. EBITDA margin is now 26%. It was 23.2% last year. This shows the company is managing costs well. For the full year FY25, net profit was ₹4,675 crore. In FY23, it was ₹3,164 crore. This shows the company is growing every year. Zydus also reduced its debt. In FY23, total debt was ₹1,195 crore. Now, in FY25, it is only ₹190 crore. This is a big improvement. The company is almost debt-free. This helps in saving interest costs. Its Return on Capital Employed (ROCE) is 22.34%. This means Zydus is using its money well. It is earning a good profit from the money it uses. The Price-to-Earnings (P/E) ratio is 18.4. This is low compared to other pharma companies. It means the stock is not too expensive. The company’s Earnings Per Share (EPS) is also growing. Profit margins are improving. The company is working well in India and outside India. It also launched new products in the U.S. market. Zydus has a strong base. It is growing, reducing debt, and increasing profit. It is a stable and healthy company. These are good signs for investors. 

Zydus Lifesciences Q3 Results
Zydus Lifesciences Q3 Results: Profit Soars 29.6%, Strong Revenue Grows 16.9%

Zydus Lifesciences Ltd: Overview 

Zydus Lifesciences Ltd., formerly known as Cadila Healthcare Ltd., is a global pharmaceutical company headquartered in Ahmedabad, India. With a strong focus on research and development, Zydus is engaged in the discovery, development, manufacturing, and marketing of a wide range of pharmaceutical products, including generics, branded formulations, biosimilars, vaccines, and APIs (Active Pharmaceutical Ingredients). The company has a significant presence in both domestic and international markets, catering to diverse therapeutic areas like cardiovascular, diabetes, oncology, pain management, and infectious diseases. Zydus operates manufacturing facilities and research centers across India and other countries, and its products are sold in numerous markets worldwide. The pharmaceutical industry is experiencing robust growth, driven by factors like an aging global population, increasing prevalence of chronic diseases, rising healthcare expenditure, and growing demand for affordable medicines. The industry is also witnessing a shift towards innovative therapies, including biologics and biosimilars, creating opportunities for companies like Zydus with strong R&D capabilities. Furthermore, the increasing focus on preventive healthcare and wellness is contributing to the growth of the pharmaceutical market. While the industry faces challenges like stringent regulatory requirements, pricing pressures, and increasing competition, the overall outlook remains positive, with continued growth expected in the coming years. Zydus, with its diversified product portfolio, global presence, and focus on innovation, is well-positioned to capitalize on these growth opportunities.  

Latest Stock News 

Zydus Lifesciences experienced strong performance across several business segments. The India formulations business outperformed the market, driven by robust growth in chronic therapies, with secondary sales growth of 8% according to IQVIA. The Consumer Wellness business also delivered double-digit growth, supported by a healthy 4.8% volume increase despite a generally muted demand environment within the industry. The US formulations business maintained its positive momentum, achieving significant year-over-year growth fueled by both volume expansion and new product launches over the past year. International markets contributed to the overall success with double-digit growth driven by strong demand across various regions. The company’s capital expenditure for the quarter totalled ₹2,907 million, and its net cash position significantly improved to ₹30,916 million as of December 31, 2024, compared to ₹8,561 million at the end of March 2024. In Biotech & R&D it completed Phase III clinical trials for one of the biosimilars. Zydus continued to solidify its leadership in Nephrology and Oncology within its Super Specialty offerings. The Personal Care segment also saw strong demand and achieved robust double-digit growth. In the US formulations business specifically, Zydus filed 10 ANDAs (Abbreviated New Drug Applications), received approvals for 3 new products, and launched 5 new products. 

Business Segments

  • Generics: This segment focuses on the development, manufacturing, and marketing of generic pharmaceutical formulations. Zydus has a vast portfolio of generic medicines across diverse therapeutic areas, providing affordable treatment options to patients globally. Zydus continues to invest in R&D to expand its generic product portfolio and maintain its competitive edge.  
  • Branded Formulations: This segment comprises the development and marketing of branded pharmaceutical formulations, including prescription and over-the-counter (OTC) medications. Zydus has a portfolio of branded formulations in various therapeutic areas, catering to specific patient needs. The branded formulations business is driven by innovation, marketing efforts, and brand building.  
  • API (Active Pharmaceutical Ingredients): This segment focuses on the development and manufacturing of active pharmaceutical ingredients, which are the key components of pharmaceutical formulations. Zydus is a leading player in the API market, supplying high-quality APIs to both internal and external customers.  
  • Consumer Wellness: This segment focuses on the development, manufacturing, and marketing of consumer wellness products, including nutraceuticals, vitamins, and other health supplements. This segment allows Zydus to cater to the growing consumer focus on health and wellness. Zydus continues to expand its consumer wellness product portfolio to meet the evolving needs of consumers.  
  • Animal Health: This segment focuses on the development, manufacturing, and marketing of animal health products, including pharmaceuticals and vaccines for livestock and companion animals. This segment caters to the growing demand for animal health products, driven by increasing pet ownership and the growing livestock industry. Zydus continues to invest in research and development to expand its animal health product portfolio. 

Subsidiary Information

  • Zydus Wellness Ltd: The Company’s subsidiary spearheads the group’s operations in the wellness space. ZWL operates in two different segments viz. personal care segment and food and nutrition segment and has a portfolio of category-leading health and wellness products. Five out of the six brands of the Company continue to hold leadership positions in their respective categories  
  • Zydus Pharmaceuticals (USA) Inc.: It operates as Zydus’s main subsidiary in the United States, focusing on manufacturing and marketing generic formulations approved by the U.S. FDA. A significant contributor to Zydus’s international revenue, given the high demand for generics in the U.S. market.  
  • Zydus Healthcare Ltd: It manages Zydus’s branded formulations business in India, catering to a wide range of therapeutic areas such as cardiovascular, gastrointestinal, pain management, and oncology. A major revenue driver for Zydus in the Indian domestic market.  
  • Zydus Animal Health and Investments Ltd: It provides animal health products across livestock, poultry, and companion animals, including treatments, nutritional supplements, and anti-infectives. It expands Zydus’s reach into veterinary and animal health segments, which are growing markets in India and internationally.  
  • Zydus Biosimilars Ltd: A dedicated unit for biosimilars, developing and commercializing biosimilars for therapeutic areas like oncology, immunology, and nephrology. Positions Zydus as a key player in biosimilars, targeting high-growth opportunities in biologics.  

Q3 FY25 Earnings 

  • Revenue of ₹5269 crore in Q3 FY25 up by 16.9% YoY from ₹4505 crore in Q3 FY24.  
  • EBITDA of ₹1388 crore in this quarter at a margin of 26% compared to 24% in Q3 FY24. 
  • Profit of ₹1026 crore in this quarter compared to a ₹790 crore profit in Q3 FY24. 

Financial Summary 

Amount in ₹ Cr Q3 FY24 Q3 FY25 FY23 FY24 
Revenue 4505 5269 17237 19547 
Expenses 3403 3882 13378 14163 
EBITDA 1102 1388 3860 5384 
OPM 24% 26% 22% 28% 
Other Income 60 57 -422 293 
Net Profit 790 1026 2092 3973 
NPM 17.5% 19.5% 12.1% 20.3% 
EPS 7.8 10.2 19.4 38.4