Zydus Lifesciences announced a 29% year-on-year increase in consolidated revenues, reaching ₹79.1 billion for the second quarter of FY27. The company highlighted robust operating profitability with an EBITDA margin of 24%. Key business segments, including pharmaceuticals in India and international markets, consumer wellness, and medical devices, demonstrated strong double-digit growth. The company also provided updates on its product pipeline and R&D initiatives, anticipating a March launch for Saroglitazar and detailing progress on specialty products and biosimilars.
Zydus Lifesciences Reports Strong Q2 FY27 Performance
Zydus Lifesciences has reported a robust performance for the second quarter ended September 30th, 2026 (Q2 FY27), with consolidated revenues growing 29% year-on-year to ₹79.1 billion. The company maintained strong operating profitability, achieving an EBITDA margin of 24%. This performance was driven by double-digit growth across its key business segments, including pharmaceuticals, consumer wellness, and medical devices.
Key Financial Highlights
The company’s EBITDA for the quarter stood at ₹18.9 billion, with a net profit of ₹9.3 billion. The net debt to EBITDA ratio was reported at 0.62 times as of September 30th, 2026. Management expressed confidence in sustaining growth momentum through strategic execution and a resilient portfolio.
Segmental Performance Breakdown
Pharmaceuticals
In India, the branded formulations business sustained market outperformance with a 19% year-on-year growth. The international markets formulations business reported revenues of ₹10 billion, up 33% year-on-year, with North America showing a 21% year-on-year growth. The US specialty business also delivered strong sequential growth. The consumer wellness business recorded revenues of ₹11.2 billion, up 76% year-on-year. In the medical devices space, revenues stood at ₹2.2 billion.
Innovation and Product Pipeline Updates
Zydus Lifesciences provided updates on its innovation efforts, including positive results from the Phase III clinical trial of Saroglitazar magnesium in PBC indication. The company also completed its global Phase II(b) trial for Saroglitazar Magnesium in MASH indication. Progress was noted in the biotech R&D space with regulatory approval for a Phase III clinical trial in India for a monoclonal antibody. The company is preparing for the US launch of Saroglitazar, with a current expectation of a March launch. Other key developments include progress on biosimilars, including the USFDA acceptance for review of the BLA for a Keytruda biosimilar.
Future Outlook and Guidance
The company reiterated its guidance for a 24% plus EBITDA margin for FY27. Management discussed future product launches, including Palbociclib in FY28, and expressed optimism about the growth potential in specialty products, biosimilars, and vaccines. Investments are being made to strengthen the specialty portfolio and build capabilities for future growth.
Source: BSE
