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Eris Lifesciences Ltd on Monday reported a consolidated net profit of ₹93.8 crore for the quarter ended March 2025, a 31.1% rise from ₹71 crore in the year-ago period.
Revenue from operations rose 27.9% year-on-year (YoY) to ₹705 crore, driven by both organic growth in its base business and contributions from recently acquired assets, including Biocon’s India formulations portfolio.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) rose 69.8% YoY to ₹252.2 crore, with margins expanding to 36% from 27% in Q4 FY24. The improvement was aided by lower fixed expenses, which declined by 1,153 basis points as a percentage of revenue.
The company reported a Q4 EBITDA-to-operating cash flow ratio of 111%. For the full fiscal year (FY25), revenue stood at ₹2,894 crore, up 44% YoY, while EBITDA increased 51% to ₹1,017 crore.
Return on capital employed (ROCE) for FY25 improved to 15%, up from 11% in the previous year. Adjusted ROCE, excluding acquisition-related amortisation, rose to 20%.
The domestic branded formulations (DBF) business – Eris' core segment – recorded a Q4 revenue of ₹602 crore, up 25% YoY. Organic growth contributed 10% YoY, with the rest coming from acquisitions. The EBITDA margin in the base business (excluding Biocon) jumped to 39.5% from 26.7% a year earlier.
The company also reported a 22% growth in insulin revenues despite supply disruptions in recombinant human insulin (RHI) products, which resulted in estimated sales losses of around ₹50 crore.
Eris said it is scaling up insulin production at its Bhopal facility, which began vial manufacturing in May 2025 and is expected to commence cartridge production in Q3 FY26. This is expected to significantly boost margins in the coming quarters.
Looking ahead, Eris has guided for DBF revenue in FY26 to reach ₹2,900–3,050 crore, implying a growth of 15%–21%, and consolidated revenue of ₹3,325–3,500 crore. Consolidated EBITDA is expected in the range of ₹1,190–1,255 crore, with margins at 36%.
The company also continues to invest in R&D and capacity expansion, including a new injectable block at its Ahmedabad campus with a capex of ₹100–120 crore. It expects regulatory approvals and commercialisation of exports from its Swiss Parenterals unit starting Q4 FY26.
Net debt stood at ₹2,222 crore at the end of FY25, and Eris aims to reduce it further to ₹1,800 crore by FY26, targeting a debt-to-EBITDA ratio of 1.5x.
Eris expects EPS growth of over 50% in FY26, supported by margin expansion, debt reduction, and product pipeline execution, including launches in the diabesity segment and GLP-1 therapies.
Shares of the company ended at a price of ₹1,434.90, down over 2% on the BSE.
