Alembic Pharmaceuticals (APLLTD) Q3 24/25 earnings summary

Executive summary

• Q3 FY25 revenue grew 4% YoY to INR 16.93 billion, with 3% sequential growth; board approved unaudited results for Q3 and nine months ended December 31, 2024.

• Net profit declined 23% YoY and 10% sequentially, reaching INR 1.38 billion; consolidated Q3 net profit after non-controlling interests was INR 1.38 billion, down from INR 1.80 billion YoY.

• India Branded Business grew 3% YoY; US and Ex-US Generics both grew 10% YoY, while API declined 10% YoY; Animal Health posted 22% YoY growth.

• Strategic focus on new launches, digital transformation, capacity expansion, and appointment of Ms. Geeta Goradia as Independent Director.

• Sikkim plant operations fully resumed in February 2024 after October 2023 flash floods; insurance claims fully settled.

Financial highlights

• EBITDA for Q3 FY25 was INR 2.71 billion, up 1% YoY and 5% QoQ; EBITDA margin at 16%.

• 9M FY25 total revenue reached INR 49.02 billion, up 4% YoY.

• Exceptional income of INR 12.87 crore recognized from insurance claim related to Sikkim plant disruption.

• R&D spend was 7% of sales in Q3 FY25.

• Capex for FY24 was INR 3.45 billion.

Outlook and guidance

• US and Ex-US Generics expected to sustain growth with new launches and market share gains.

• API business anticipates recovery in coming quarters, supported by a strong order book.

• Continued investment in R&D and digital platforms to drive future growth.

• Sikkim plant operations normalized, with insurance claims settled.