Revenue Up 4% YoY, Strong Branded Generics Performance Drives Growth
Mumbai, 30th January 2025 –
Ajanta Pharma Limited, a specialty pharmaceutical formulation company, has announced its
Q3 FY25 and
9M FY25 financial results, showcasing
steady revenue growth and strong profitability. The company reported an
11% increase in profit after tax (PAT) for Q3 FY25, driven by higher sales in the
Branded Generics segment across India, Asia, and Africa.
Q3 FY25 Financial Highlights (YoY Comparison)
| Particulars | Q3 FY25 | Q3 FY24 | YoY Growth |
|---|
| Revenue from Operations | ₹1,146 Cr | ₹1,105 Cr | 4% |
| EBITDA | ₹321 Cr | ₹314 Cr | 2% |
| EBITDA Margin | 28% | 28% | Flat |
| PAT | ₹233 Cr | ₹210 Cr | 11% |
| PAT Margin | 20% | 19% | +1% |
9M FY25 Financial Highlights (YoY Comparison)
| Particulars | 9M FY25 | 9M FY24 | YoY Growth |
|---|
| Revenue from Operations | ₹3,478 Cr | ₹3,155 Cr | 10% |
| EBITDA | ₹962 Cr | ₹894 Cr | 8% |
| PAT | ₹695 Cr | ₹613 Cr | 13% |
Ajanta Pharma reported a
strong free cash flow (FCF) of ₹675 Cr, with an
FCF-to-PAT conversion rate of 97%. The company maintains a robust
return on capital employed (ROCE) of 35% and
return on net worth (RONW) of 26%.
Segment-Wise Performance
Branded Generics Business (Major Growth Driver)
| Region | Q3 FY25 Sales | Q3 FY24 Sales | YoY Growth |
|---|
| India | ₹345 Cr | ₹308 Cr | 12% |
| Asia | ₹316 Cr | ₹292 Cr | 8% |
| Africa | ₹173 Cr | ₹155 Cr | 12% |
| Total Branded Generics | ₹834 Cr | ₹755 Cr | 10% |
- India: Sales grew 12% YoY to ₹345 Cr, outpacing the Indian Pharma Market (IPM) growth of 8% (IQVIA MAT Dec 2024).
- Asia: Sales grew 8% YoY to ₹316 Cr.
- Africa: Sales surged 12% YoY to ₹173 Cr.
For
9M FY25, the Branded Generics business posted
₹2,588 Cr, up
16% YoY.
US Generics Business
- Q3 FY25 Sales: ₹263 Cr (vs. ₹252 Cr in Q3 FY24) ↑ 4% YoY
- 9M FY25 Sales: ₹723 Cr (vs. ₹703 Cr in 9M FY24) ↑ 3% YoY
- Received 5 ANDA approvals and filed 4 new ANDAs in 9M FY25.
- 48 products commercialized, with 21 ANDAs pending US FDA approval.
Africa Institutional Business (Underperformance)
- Q3 FY25 Sales: ₹33 Cr, down 61% YoY (vs. ₹86 Cr in Q3 FY24).
- 9M FY25 Sales: ₹118 Cr, down 37% YoY (vs. ₹188 Cr in 9M FY24).
- Decline attributed to lower procurement of anti-malarial products by aid agencies.
R&D and Expansion Strategy
- Q3 FY25 R&D Spend: ₹53 Cr (5% of revenue).
- 9M FY25 R&D Spend: ₹161 Cr (5% of revenue).
- Ajanta has 7 state-of-the-art manufacturing facilities and focuses on high-margin, first-to-market products.
- Recent Expansion:
- Entered Nephrology and Gynecology therapies.
- 26 new product launches in 9M FY25, with 8 first-to-market products.
Strategic Outlook
Ajanta Pharma remains confident in maintaining its growth trajectory with:
- Strong branded generics presence in emerging markets.
- Selective US generics strategy to mitigate price erosion risks.
- Robust cash flow and profitability, ensuring sustainability in expansion plans.
- Cost optimization initiatives to enhance margins.
Management Commentary
Yogesh Agrawal, Managing Director, Ajanta Pharma, stated:
"Our strong Q3 FY25 performance underscores Ajanta Pharma’s strategic focus on high-margin branded generics and selective US generics. Our investments in R&D and new therapeutic segments are delivering tangible results, ensuring long-term growth and sustainability."