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(24 Oct 2024, 12:32)

Piramal Pharma hits life high on reporting multi-fold jump in Q2 PAT

Piramal Pharma surged 14.67% to Rs 248.50 after the pharmaceutical company’s consolidated net profit zoomed 350% to Rs 22.59 crore in Q2 FY25 as against Rs 5.02 crore posted in Q2 FY24.


Revenue from operations grew by 17.28% year on year (YoY) to Rs 2,241.75 crore during the quarter, primarily driven by robust growth in CDMO business.

The company's revenue from contract development and manufacturing organization (CDMO) was at Rs 1,324 crore (up 24% YoY), complex hospital generics (CHG) stood at Rs 643 crore (up 9% YoY) and India consumer healthcare (ICH) came in at Rs 277 crore (up 8% YoY) during the period under review.

The drug maker’s profit before tax soared 203.64% to Rs 120.12 crore in September 2024 quarter from Rs 39.56 crore posted in same quarter a year ago.

EBITDA grew 28% YoY to Rs 403 crore with EBITDA margin of 18%, a YoY improvement of over 150 bps, driven by operating leverage, cost optimization initiatives and superior revenue mix.

Nandini Piramal, chairperson of Piramal Pharma, said, “We continue our momentum of delivering healthy revenue growth accompanied by YoY EBITDA margin expansion. This has been primarily driven by consistent growth in our CDMO business which has witnessed a good pick-up in innovation related work and on-patent commercial revenues. To sustain this growth momentum and to capitalize on rising demand for sterile fill-finish capabilities, we have announced a US$80Mn expansion plan at our Lexington facility which is expected to get complete by end FY27.

In our CHG business, we are witnessing steady volume growth in inhalation anesthesia products in the US and Emerging Markets. In our ICH business, we continue to see a robust growth in our power brands and e-commerce sales.

During the quarter, we released our Sustainability Report for FY24 under the theme, ‘Building Resilience for a Sustainable Tomorrow’, highlighting our progress on the sustainability initiatives. Over the long term, we remain committed to achieving our financial goals of $2 billion revenue with 25% EBITDA margin and 1x net debt / EBITDA by FY30.”

Piramal Pharma (PPL) offers a portfolio of differentiated products and services through end-to-end manufacturing capabilities across 17 global facilities and a global distribution network in over 100 countries. PPL includes Piramal Pharma Solutions (PPS), an integrated Contract Development and Manufacturing Organization; Piramal Critical Care (PCC), a Complex Hospital Generics business; and the India Consumer Healthcare business, selling over-the-counter products.

The scrip hit an all time high of Rs 249.60 in today’s intraday session.

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