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Ajanta Pharma revenues grew ~25% YoY to ~₹ 1626 crore

ICICIdirect Research 31 Jul 2026 DISCLAIMER

News: Ajanta Pharma revenues grew ~25% YoY to ~₹ 1626 crore driven by India branded, Africa branded and US which grew ~24% / ~29% and ~57% to ₹ 509 crore, ₹295 crore, and ₹487 crore, respectively. Other businesses such as Asia branded saw 16% de-growth on account of postponement of orders due to middle east crisis, while Africa tender grew ~84% to ₹ 70 crore. On the operational front, EBITDA grew 20.6% YoY to ~₹ 423.6 crore with margins at 26.1% (down 92 bps YoY) as strong GPM performance (up 101 bps YoY to 79.8%) was neutralised by higher other expenditure (including forex losses). PAT during the quarter was at ~₹ 334.2 crore, up 30.9% YoY.

View: Branded businesses in India and Africa were driven by new launches and market share gains in existing products. Asia business impacted on account of geopolitical issues resulted into deferment of shipments, which the management expects to register in Q2. US performance was exceptional mainly on account of new products launches in recent quarters. However, the momentum is expected to taper down due to price errosion and increased competetion (guidance of mid single digit). Africa tender continued to remain lumpy and management expects it to remain lumpy going ahead as well. Strong GPM performance was attributable to strong branded business growth (~65% of sales) and softening of API prices. Going forwarward management expects growth of High double digit with ~27% EBITDA margin driven by traction across geographies. 

Impact: Positive

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