Piramal Pharma Ltd on Tuesday (January 28) reported a 63.4% year-on-year (YoY) decline in net profit at ₹3.7 crore for the third quarter that ended December 31, 2024.
In the corresponding quarter of the previous fiscal, Piramal Pharma posted a net profit of ₹10.1 crore, the company said in a regulatory filing. The company's revenue from operations increased 12.5% to ₹2,204.2 crore as against ₹1,958.6 crore in the corresponding period of the preceding fiscal.
At the operating level, EBITDA surged 25.8% to ₹337.7 crore in the third quarter of this fiscal over ₹268.4 crore in the corresponding period in the previous fiscal.
EBITDA margin stood at 15.3% in the reporting quarter as compared to 13.7% in the corresponding period in the previous fiscal. EBITDA is earnings before interest, tax, depreciation, and amortisation. Piramal Pharma maintained a net-debt to EBITDA-ratio of 2.8x.
The Contract Development and Manufacturing Organization (CDMO) business showed high-teen revenue growth for 9MFY25, driven by continued traction in on-patent commercial manufacturing and the generic API business. The business benefited from timely capacity expansions and targeted business development efforts, leading to year-on-year growth in requests for proposals (RFPs).
However, customer decision-making processes have been prolonged. The CDMO business also saw a year-on-year improvement in EBITDA margin, driven by a better revenue mix, improved procurement strategies, cost optimization, and a focus on operational excellence.
In the Complex Hospital Generics (CHG) segment, Piramal Pharma reported healthy sales growth in the Inhalation Anesthesia (IA) business in the US, primarily driven by order wins for Sevoflurane and Isoflurane. The company is progressing with capacity expansions at its Dahej and Digwal facilities to capitalize on IA opportunities in the rest of the world (RoW) markets. Production output has been increasing on a month-to-month basis.
The India Consumer Healthcare (ICH) segment also performed well, delivering double-digit revenue growth in both Q3FY25 and 9MFY25, despite the tepid consumer demand in the broader industry.
The company’s Power Brands grew by 19% year-on-year during 9MFY25, with significant contributions from Little’s, Polycrol, and CIR. Power Brands accounted for 48% of the total ICH sales. Excluding the i-range, which was impacted by regulatory price controls, growth in Power Brands was approximately 26% for 9MFY25.
The results came after the close of the market hours. Shares of Piramal Pharma Ltd ended at ₹218.95, down by ₹5.05 or 2.25% on the BSE.