Hyderabad, February 3, 2025 – Divi’s Laboratories Limited (NSE: DIVISLAB, BSE: 532488) has announced its unaudited financial results for Q3 FY25, showcasing robust growth in both revenue and profitability. The company also reported the commencement of operations at its Unit-III greenfield project in Kakinada and the re-appointment of Dr. Kiran S. Divi as Whole-time Director and CEO for another five-year term.
Financial Highlights (Standalone & Consolidated)
Standalone Financial Performance (₹ in Crores)
| Particulars | Q3 FY25 | Q3 FY24 | YoY Growth | 9M FY25 | 9M FY24 | YoY Growth |
|---|---|---|---|---|---|---|
| Total Income | 2,379 | 1,902 | 25.1% | 6,927 | 5,665 | 22.3% |
| PBT | 730 | 490 | 48.9% | 2,068 | 1,432 | 44.5% |
| Tax Expense | 136 | 132 | 3.0% | 526 | 387 | 35.9% |
| PAT | 594 | 358 | 65.9% | 1,542 | 1,045 | 47.6% |
| Forex Gain | 11 | 17 | 37 | 29 |
Consolidated Financial Performance (₹ in Crores)
| Particulars | Q3 FY25 | Q3 FY24 | YoY Growth | 9M FY25 | 9M FY24 | YoY Growth |
|---|---|---|---|---|---|---|
| Total Income | 2,401 | 1,950 | 23.1% | 7,041 | 5,804 | 21.3% |
| PBT | 726 | 489 | 48.5% | 2,052 | 1,450 | 41.5% |
| Tax Expense | 137 | 131 | 4.6% | 523 | 388 | 34.8% |
| PAT | 589 | 358 | 64.5% | 1,529 | 1,062 | 43.9% |
| Forex Gain | 10 | 18 | 38 | 32 |
Key Business Developments
- Expansion in Kakinada:
- The company commenced commercial operations from Unit-III (greenfield project) at Ontimamidi Village, Kakinada, Andhra Pradesh, from January 1, 2025.
- ₹418 crores were capitalized for the Kakinada Project in the first nine months of FY25.
- The remaining portion of the project is expected to be operational in six months
- Re-appointment of CEO:
- Dr. Kiran S. Divi has been re-appointed as Whole-time Director & CEO for five years, effective April 1, 2025, subject to shareholder approval
- Tax Optimization:
- The company has opted for the 115BAA tax regime, reducing its effective tax burden for the financial year.
Management Commentary
Dr. Kiran S. Divi, Whole-time Director & CEO, stated:"We are pleased with our performance this quarter, driven by strong operational efficiency and robust demand for our products. The successful initiation of operations at our Kakinada Unit-III will further enhance our production capabilities and strengthen our market position. We remain committed to innovation and growth in the pharmaceutical and nutraceutical segments."
Strategic Outlook
- Revenue Growth: Continued focus on expanding Active Pharmaceutical Ingredients (APIs), Intermediates, and Nutraceuticals
- Capex Plans: Completion of remaining phases of the Kakinada Project in the next six months.
- Global Expansion: Strengthening presence in U.S. and European markets through subsidiaries.
Conclusion
Divi’s Laboratories continues its strong financial momentum, posting double-digit revenue and profit growth. With strategic investments, tax optimization, and operational efficiencies, the company is poised for sustained long-term growth.Stock Impact: Investors are likely to react positively to the strong earnings report and expansion plans, which reinforce Divi’s Laboratories’ position as a leading global pharmaceutical player.