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  1. Zydus Lifesciences Q4 results: Net profit grows 9% YoY, board approves ₹1,100 crore buyback plan; check dividend details

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Zydus Lifesciences Q4 results: Net profit grows 9% YoY, board approves ₹1,100 crore buyback plan; check dividend details

SUMMARY

Zydus Life Sciences' pharma business reported revenues of ₹1,752.8 crore, up 14% YoY, contributing 24% to consolidated revenues

Stock list

Following the earnings, shares of Zydus Lifesciences were trading at ₹1,046.30 apiece on the National Stock Exchange, gaining 5.57%. | Image: Zyduslife.com

Following the earnings, shares of Zydus Lifesciences were trading at ₹1,046.30 apiece on the National Stock Exchange, gaining 5.57%. | Image: Zyduslife.com

Zydus Lifesciences reported a 9% growth in consolidated net profit at ₹1,273 crore on Tuesday, May 19, for the fourth quarter of the financial year 2025-26 (Q4 FY26) as compared to ₹1,171 crore in the same period last year.

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The pharma major’s revenue from operations jumped 16% year-on-year (YoY) to ₹7,587 crore in the January-March period from ₹6,528 crore in the year-ago period.

The firm’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) increased 20% annually to ₹2,554 crore as against ₹2,126 crore in Q4 FY25. Its operating profit margin expanded to 33.66% in contrast to 32.56% on a yearly basis.

For FY26, Zydus Lifesciences reported revenue from operations of ₹27,148.4 crore, marking a 17% increase over the previous year. The company’s R&D investments stood at ₹2,273.2 crore, accounting for 8.4% of revenues.

EBITDA came in at ₹8,475.1 crore, up 20% year-on-year, with EBITDA margin improving by 80 basis points to 31.2%. Adjusted net profit stood at ₹5,456.4 crore, registering a growth of 15% compared to the previous year.

Commenting on the earnings, Managing Director Sharvil Patil said, “We closed FY26 on a strong note, delivering on our commitments — both on revenue growth and profitability. We are confident our pipeline will drive overall growth visibility while future growth engines begin to deliver. Our near-term priorities are clear: maintain consistent quality standards, integrate our recent acquisitions, and capture synergies swiftly. Finally, our strong balance sheet ensures we have the flexibility to invest in and strengthen our businesses further.”

Dividend details

Along with the earnings, Zydus Lifesciences’ board of directors has recommended a final dividend of ₹1 per equity share of ₹1 each (100%) for the financial year, subject to shareholders’ approval at the Annual General Meeting scheduled to be held on August 11, 2026.

Buyback plans

In a separate filing, Zydus Lifesciences said that its board has approved a buyback of up to 95.65 lakh fully paid-up equity shares of face value ₹1 each, representing up to 0.95% of the total paid-up equity share capital. The buyback will be undertaken at a price of ₹1,150 per share, payable in cash.

The company added that the total buyback size will not exceed ₹1,100 crore, which represents 5.16% and 3.84% of the aggregate of its fully paid-up equity share capital and free reserves based on the latest audited standalone and consolidated financial statements as of March 31, 2026, respectively.

Zydus Lifesciences has fixed May 29, 2026, as the record date to determine the entitlement and identify the equity shareholders eligible to participate in the buyback.

Segment business updates

Pharma business: Zydus Life Sciences' pharma business reported revenues of ₹1,752.8 crore, up 14% YoY, contributing 24% to consolidated revenues. The branded segment outpaced market growth with a 15% increase, while the chronic segment continued to grow at a faster pace, supporting overall business growth.
North America formulations business: The segment reported revenues of ₹2,952.3 crore, down 6% annually but up 5% sequentially, contributing 40% to consolidated revenues. In constant currency (CC) terms, the business posted revenues of $323 million. In the US generics market, the company filed three ANDAs, received approvals for nine ANDAs, and launched six new products during the quarter, it said.
International Markets formulations business: This segment of the drugmaker reported a 45% YoY increase in revenues at ₹804.1 crore, contributing 11% to consolidated revenues. The growth was broad-based across regions, with strong demand in both emerging markets and Europe, supported by focused execution.
API business: Registered revenues of ₹122 crore, down 6% YoY. The business accounted for 2% of consolidated revenues.

Following the earnings, shares of Zydus Lifesciences were trading at ₹1,046.30 apiece on the National Stock Exchange, gaining 5.57%.

About The Author

Ahana Chatterjee - image.jpg
Ahana Chatterjee is a business journalist with 7 years of experience across several leading news platforms. At Upstox, she covers stock markets and corporate news.

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