- 14 May 2025
- ICICIdirect Research
-
Share
-
-
-
-
-
CIPLA REVENUE FROM OPERATIONS GREW ~8 PERCENT YOY
CIPLA - 1529 Change: 23.70 (1.57 %)News: Revenue from operations grew ~8.5% YoY to ₹ 6598 crore on the back of ~31% growth in Emerging Markets & Europe, 8.5% growth in India and 7% growth in South Africa. US was flattish with a growth of ~2%. EBITDA grew ~17% YoY to ₹ 1537.6 crore with 150 bps margin expansion to 22.8% tracking strong GPM performance (up 74 bps to 67.5%). PAT grew ~30% to ₹ 1222 crore. US remained subdued with a growth of 2% YoY to ₹ 1919 crore as continued positive traction in key assets was pulled down by Lanreotide (hormonal) supply constraints. The market share of Albuterol (respiratory) stood at ~18%. India grew 8.5% YoY to ₹2622 crore, by outpacing market growth of branded prescription in Respiratory, Urology and Acute therapies. With Trade Generics Business back on track supported good execution in key therapies and new introductions. In the Consumer Health portfolio brands like Nicotex, Omnigel and Cipladine ranked 1 in the market. Emerging Markets & Europe grew 21% to ₹ 895 crore on the back of traction in DTM markets via salesforce effectiveness. South Africa grew 7% YoY to ₹ 738 crore driven by strong performance in Respiratory, CNS and Anti-infectives
View: FY26 is likely to be a year of some consolidation with lower margins guidance (22.5% to 23.5%; genericization of gRevlimid) and flatish US sales as major launches are expected to pick up momentum in FY27. The future remains bright as the company expects critical launches of gAbraxane (anti-cancer) and gAdvair (respiratory) by H2FY26 and also has a strong future pipeline from respiratory and peptides space. India's growth is expected to maintain momentum and so is Africa. We believe the company is good with complex US pipeline and a long-drawn India strategy with a blend of branded Rx- Trade Generics- Consumer Health besides South Africa momentum.
Impact: Positive