Zydus Lifesciences Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Zydus Lifesciences Ltd filed with BSE on 24 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Zydus Lifesciences reported consolidated revenue of ₹271.5 billion for FY26, up 17% year-on-year, with EBITDA margin at 31.2% and net profit adjusted for exceptional items at ₹54.6 billion, up 15%. Q4 FY26 revenue was ₹75.9 billion, up 16% year-on-year, with EBITDA margin of 33.7% and adjusted net profit of ₹15.9 billion. Management discussed growth across US formulations, India branded formulations, international markets, consumer wellness and medical devices, along with the proposed acquisition of Assertio Holdings and other pipeline updates.
Numbers mentioned
Consolidated Revenue: ₹271.5 billion (FY26)
p. 4
“We recorded consolidated revenues of ₹ 271.5 billion, up 17% on a year-on-year basis.”
Mr. Ganesh Nayak, page 4 of the filed PDF · View the filing
EBITDA Margin: 31.2% (FY26)
p. 4
“The business delivered strong operating performance with an EBITDA margin of 31.2%, which is an improvement of 80 basis points over the high base of the previous year.”
Mr. Ganesh Nayak, page 4 of the filed PDF · View the filing
EBITDA: ₹84.8 billion (FY26)
p. 4
“Consequently, the consolidated EBITDA for the year grew by 20% to ₹ 84.8 billion.”
Mr. Ganesh Nayak, page 4 of the filed PDF · View the filing
Net Profit (adjusted for exceptional items): ₹54.6 billion (FY26)
p. 4
“Net Profit, adjusted for exceptional items, for the year was ₹ 54.6 billion, up 15%.”
Mr. Ganesh Nayak, page 4 of the filed PDF · View the filing
Net debt to EBITDA: 0.5 times (As on March 31, 2026)
p. 4
“Our net debt to EBITDA ratio stood at 0.5 times as on the 31st of March 2026.”
Mr. Ganesh Nayak, page 4 of the filed PDF · View the filing
Consolidated Revenue: ₹75.9 billion (Q4 FY26)
p. 4
“Our consolidated revenues for the quarter stood at ₹ 75.9 billion, up 16% on a year-on-year and 11% on a quarter-on-quarter basis.”
Mr. Ganesh Nayak, page 4 of the filed PDF · View the filing
EBITDA Margin: 33.7% (Q4 FY26)
p. 4
“Our operating profitability continued to improve with an EBITDA margin of 33.7%, which is an improvement of 110 basis points on a year-on-year and 720 basis points on a quarter-on-quarter basis.”
Mr. Ganesh Nayak, page 4 of the filed PDF · View the filing
EBITDA: ₹25.6 billion (Q4 FY26)
p. 4
“EBITDA for the quarter stood at ₹ 25.6 billion, up 20% on a year-on-year and 41% on a sequential basis.”
Mr. Ganesh Nayak, page 4 of the filed PDF · View the filing
Net Profit (adjusted): ₹15.9 billion (Q4 FY26)
p. 4
“Net Profit for the quarter, adjusted for the exceptional expense, was ₹ 15.9 billion, up 15% on a year-on-year and 43% on a quarter-on-quarter basis.”
Mr. Ganesh Nayak, page 4 of the filed PDF · View the filing
North America Revenue: ₹29.5 billion (Q4 FY26)
p. 4
“North American business, comprising of the US and Canada, registered revenues of ₹ 29.5 billion during the quarter up 5% quarter-on-quarter.”
Mr. Ganesh Nayak, page 4 of the filed PDF · View the filing
India branded formulations growth: 15% (Q4 FY26)
p. 5
“In India, our branded formulations business sustained its growth trajectory with a robust 15% year-on-year growth, outperforming the market growth for yet another quarter.”
Mr. Ganesh Nayak, page 5 of the filed PDF · View the filing
Chronic portfolio contribution: 46.3% (IQVIA MAT March'26)
p. 5
“Contribution of the chronic portfolio has increased consistently over the last several years and stood at 46.3% as per IQVIA MAT March’26, which is an improvement of 620 basis points over the last 3 years.”
Mr. Ganesh Nayak, page 5 of the filed PDF · View the filing
International Markets Formulations Revenue: ₹8 billion (Q4 FY26)
p. 5
“Our International Markets Formulations business continued to deliver strong double-digit growth with revenues of ₹ 8 billion, up 45% year-on-year.”
Mr. Ganesh Nayak, page 5 of the filed PDF · View the filing
Consumer Wellness Revenue: ₹14.6 billion (Q4 FY26)
p. 5
“Our Consumer Wellness business recorded revenues of ₹ 14.6 billion, up 61% year-on-year.”
Mr. Ganesh Nayak, page 5 of the filed PDF · View the filing
Medical Devices Revenue: ₹3.3 billion (Q4 FY26)
p. 5
“In the Medical Devices space, the business performed in line with expectations and registered revenues of ₹ 3.3 billion.”
Mr. Ganesh Nayak, page 5 of the filed PDF · View the filing
US base business: around 300 plus million (Q4 FY26)
p. 16
“So, overall, we are around the 300 plus million base right now.”
Dr. Sharvil Patel, page 16 of the filed PDF · View the filing
Saroglitazar commercialization investment: 70 million (FY27)
p. 11
“So, on Saro, for this year, we'll have an additional 70 million kind of investment on the commercialization part on Saro.”
Dr. Sharvil Patel, page 11 of the filed PDF · View the filing
BOT-BAL revenue: 10 to 15 million
p. 12
“Yeah, so it's not going to be significant but it's around 10 to 15 million revenue.”
Dr. Sharvil Patel, page 12 of the filed PDF · View the filing
Oncology business size in India: 800 plus crores
p. 21
“You know, it's crossed 800 plus crores now.”
Dr. Sharvil Patel, page 21 of the filed PDF · View the filing
Amplitude profitability: upwards of 20% plus (FY26)
p. 17
“So Amplitude is a profitable business upwards of 20% plus.”
Dr. Sharvil Patel, page 17 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Consolidated Revenue Growth — high teens growth · FY27
stated firmly by Dr. Sharvil Patel
p. 8
“Looking forward, I think, on the consolidated revenue, we still continue to see high teens growth for FY27.”
Dr. Sharvil Patel, page 8 of the filed PDF · View the filing
North America Business Growth — single digit growth · FY27
stated conditionally by Dr. Sharvil Patel
p. 8
“We do expect that in spite of a high base of FY26 for North America, we will still see a growth, single digit growth, in the North American business aided by the portfolio.”
Dr. Sharvil Patel, page 8 of the filed PDF · View the filing
India business outperformance vs IPM — 200-400 basis points · FY27
stated firmly by Dr. Sharvil Patel
p. 9
“In India, we have now consistently demonstrated better than market growth and we are thinking, we will outperform the market by 200-400 basis points versus the current IPM.”
Dr. Sharvil Patel, page 9 of the filed PDF · View the filing
EBITDA Margin — in excess of 24% · FY27
stated firmly by Dr. Sharvil Patel
p. 9
“I think FY27, looking at competition, also Revlimid competition, Mirabegron competition, expenses related to Saro launch, we are expecting margins in excess of 24%.”
Dr. Sharvil Patel, page 9 of the filed PDF · View the filing
R&D Expense — 8% of revenue · FY27
stated firmly by Dr. Sharvil Patel
p. 14
“As we are guiding for, we are seeing around 8% of FY27 is our current expectation on R&D.”
Dr. Sharvil Patel, page 14 of the filed PDF · View the filing
Capex — 1,500 crore · FY27
stated firmly by Dr. Sharvil Patel
p. 15
“So, we are thinking, in FY27, around 1,500 crore capex number.”
Dr. Sharvil Patel, page 15 of the filed PDF · View the filing
Quarterly Depreciation — 550 crores
stated firmly by Dr. Sharvil Patel
p. 15
“And the quarterly depreciation is around 550 crores.”
Dr. Sharvil Patel, page 15 of the filed PDF · View the filing
Biologics scale-up (global) — FY29, FY30
stated as an aspiration by Dr. Sharvil Patel
p. 16
“And we would see, I would say on the next three years, important milestone for biologics, but more importantly, by 2029, FY29, FY30, we would see the real scale up on the global biosimilars business.”
Dr. Sharvil Patel, page 16 of the filed PDF · View the filing
Desidustat China launch — Q2 FY27
stated conditionally by Dr. Sharvil Patel
p. 18
“We will hope to see launch in second quarter of FY27 in China.”
Dr. Sharvil Patel, page 18 of the filed PDF · View the filing
Specialty business scale-up — FY28
stated as an aspiration by Dr. Sharvil Patel
p. 23
“So we're not calling it out separately, because it's not very large right now.”
Dr. Sharvil Patel, page 23 of the filed PDF · View the filing
Medical Devices business momentum — 3-4 years
stated as an aspiration by Dr. Sharvil Patel
p. 12
“The Medical Devices business is a platform build that we are going through. So, it will take at least 3-4 years before we see a strong momentum.”
Dr. Sharvil Patel, page 12 of the filed PDF · View the filing
Zylidac facility utilization — next 3 years
stated as an aspiration by Dr. Sharvil Patel
p. 12
“But it will take at least next 3 years before we see that facility being well utilized.”
Dr. Sharvil Patel, page 12 of the filed PDF · View the filing
Non-generic specialty portfolio growth driver — next 3-5 years
stated as an aspiration by Dr. Sharvil Patel
p. 10
“But, overall, yes, our vision is that our non-generic specialty portfolio will be the meaningful growth driver for the organization over the next 3-5 years.”
Dr. Sharvil Patel, page 10 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management guided to high-teens consolidated revenue growth, single-digit US growth, India outperformance of 200-400 bps, and margins in excess of 24%.
Answered by Dr. Sharvil Patel
Asked by Kunal Dhamesha: What is the outlook for FY27 growth and profitability?
p. 9
“So, I think, overall on the revenue side, we see a strong momentum for the organization.”
Dr. Sharvil Patel, page 9 of the filed PDF · View the filing
Management said Assertio provides a commercial platform for oncology supportive care via Rolvedon, which has a novel same-day administration benefit versus biosimilars.
Answered by Dr. Sharvil Patel
Asked by Kunal Dhamesha: How does Assertio acquisition fit with the specialty growth strategy?
p. 10
“Today, we believe it has around a 4% volume share. It has many benefits. One, it's still a novel, long-acting GCSF and not a biosimilar and it also can be administered the same day versus the other biosimilars or biologics in the market.”
Dr. Sharvil Patel, page 10 of the filed PDF · View the filing
Management said no further rep investment is needed in the short term and growth is coming from innovation, growth booster brands, and chronic mix improvement.
Answered by Dr. Sharvil Patel
Asked by Neha Manpuria: What gives confidence in sustaining India outperformance, and is more investment needed?
p. 11
“Currently, we don't see any further rep investment in the short term. I think we are confident on the growth driven by the innovative portfolio, which is scaling up very meaningfully.”
Dr. Sharvil Patel, page 11 of the filed PDF · View the filing
Management confirmed the filing was made and they are awaiting FDA acceptance before a goal date can be shared.
Answered by Dr. Sharvil Patel
Asked by Harith Ahmed: What is the status of the Saroglitazar PBC NDA filing with the FDA?
p. 13
“Yeah, we have to await the acceptance of the NDA, which is the more important milestone.”
Dr. Sharvil Patel, page 13 of the filed PDF · View the filing
Management said R&D spend is roughly split 50% generics/value-added generics and 40%+ NCE, biologics and vaccines, with a higher future weighting toward NCEs and biologics.
Answered by Dr. Sharvil Patel
Asked by Saion Mukherjee: What is driving the elevated R&D expense run-rate and its breakdown?
p. 14
“The breakup is around… for the last year is around 50% was on generics and value-added generics and the rest 43%... 40% plus was on NCE, biologics, and vaccines.”
Dr. Sharvil Patel, page 14 of the filed PDF · View the filing
Management cited destocking reversal, new product launches, specialty portfolio scale-up and Mirabegron share gains as drivers.
Answered by Dr. Sharvil Patel
Asked by Surya Patra: What drove sequential US business growth despite limited Revlimid contribution?
p. 16
“Also, I think multiple levers of new products, launches, the Specialty portfolio scaling up, there have been many levers to good growth.”
Dr. Sharvil Patel, page 16 of the filed PDF · View the filing
Management expects launch in Q2 FY27 and will share more detail as commercial readiness with the partner develops.
Answered by Dr. Sharvil Patel
Asked by Devang: When will Desidustat launch in China and what is the revenue expectation?
p. 18
“As we get more information on the commercial launch and readiness with the partner, we can talk about it as we get more information.”
Dr. Sharvil Patel, page 18 of the filed PDF · View the filing
Management said they are comfortable operating around one-times net debt to EBITDA and will continue to pursue bolt-on acquisitions.
Answered by Dr. Sharvil Patel
Asked by Kunal: What is the company's stance on leverage after the Assertio acquisition and buyback?
p. 19
“So, we are comfortable around one-times net debt to EBITDA right now on an ongoing basis, so we don't see that as major concern.”
Dr. Sharvil Patel, page 19 of the filed PDF · View the filing
Management attributed this to the Mirabegron settlement, capex and acquisition-related working capital changes.
Answered by Tushar Shroff
Asked by Harith Ahmed: Why did operating cash flow decline sharply relative to EBITDA in FY26?
p. 22
“So, the acquisition related working capital changes will have an impact on the operational cash flow.”
Tushar Shroff, page 22 of the filed PDF · View the filing
Management said Mirabegron competition is factored in and some erosion from the current base is expected.
Answered by Dr. Sharvil Patel
Asked by Nitin Agarwal: Is there a portion of the US portfolio facing faster-than-average erosion?
p. 23
“We had, as I said, maybe we'll have Mira competition, which we are factored in. So we will see some erosion from the current base.”
Dr. Sharvil Patel, page 23 of the filed PDF · View the filing
Risks flagged
Increased competitive intensity in key US products
p. 3
“In the Pharma space, our US formulations business grew on a higher base of the previous year despite the increased competitive intensity in key products.”
Mr. Ganesh Nayak, page 3 of the filed PDF · View the filing
Revlimid and Mirabegron competition impacting margins
p. 9
“I think FY27, looking at competition, also Revlimid competition, Mirabegron competition, expenses related to Saro launch, we are expecting margins in excess of 24%.”
Dr. Sharvil Patel, page 9 of the filed PDF · View the filing
Erosion of US base business from Mirabegron competition
p. 23
“We had, as I said, maybe we'll have Mira competition, which we are factored in. So we will see some erosion from the current base.”
Dr. Sharvil Patel, page 23 of the filed PDF · View the filing
Geopolitical and supply chain disruption affecting freight, logistics and costs
p. 19
“Obviously, costs do go up on both freight, on times, logistics, as well as on other things, which we have to manage through our better sourcing and better rationalization and cost optimization.”
Dr. Sharvil Patel, page 19 of the filed PDF · View the filing
Uncertainty in predicting near-term disruptions
p. 19
“So it's very difficult to predict the next three months and six months.”
Dr. Sharvil Patel, page 19 of the filed PDF · View the filing
Trade generics as a channel that could take market share over time
p. 20
“So it does always. Yes, it is a channel and we have to look at the channel, how it progresses.”
Dr. Sharvil Patel, page 20 of the filed PDF · View the filing
Pricing deflation in Indian formulations business
p. 21
“Pricing generally deflates. Prices goes down, not doesn't go up.”
Dr. Sharvil Patel, page 21 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.