Limited reported an 8.7% year-on-year increase in consolidated net profit that stood at ₹1,272 crore for the quarter ended March 2026, impacted by a one-time expense related to the Mirabegron litigation settlement.
The board of directors approved a share buyback of up to ₹1,100 crore at ₹1,150 per share, representing a premium of around 16 per cent to the last closing price. It also recommended a final dividend of ₹1 per equity share for FY26, subject to shareholder approval.
Revenue from sale of products rose 18 per cent to ₹7,434 crore during the quarter, driven by strong growth in the consumer wellness and international formulations businesses. The Ahmedabad-based pharmaceutical major incurred an exceptional expense of ₹397.5 crore in the March quarter towards settlement of Mirabegron-related litigation. In the corresponding quarter last year, the company had reported an impairment charge of ₹219.6 crore related to goodwill and technical know-how.
Adjusted for exceptional items, net profit for the quarter stood at ₹1,592.9 crore, up 15% year-on-year, while EBITDA rose 20% to ₹2,554 crore. EBITDA margin improved 110 basis points to 33.7 per cent. “We closed FY26 on a strong note, delivering on our commitments — both on revenue growth and profitability,” said Sharvil Patel, Managing Director, Zydus Lifesciences.
Revenue from the pharmaceuticals business rose 3.1 per cent year-on-year to ₹5,776 crore in the fourth quarter, while consumer wellness revenues surged 54 per cent to ₹1,483 crore. Revenue from the medical technologies segment increased 9 per cent to ₹327 crore. Within the pharma business, the India formulations business registered 14 per cent growth to ₹1,753 crore, supported by strong traction in chronic therapies and specialty segments such as oncology and nephrology.
The North America formulations business, which accounted for 40 per cent of consolidated revenues, declined 6 per cent year-on-year to ₹2,952 crore, although it grew 5 per cent sequentially. International markets formulations business posted robust 45 per cent growth to ₹804 crore. The consumer wellness business continued to be a key growth driver, with revenues rising 61 per cent year-on-year to ₹1,463 crore. The company said skin and hair care brands grew 39.7 per cent, while food and nutrition brands rose 9.4 per cent.
For the full year FY26, revenue from sale of products increased 18 per cent to ₹26,718 crore, while consolidated net profit rose 11 per cent to ₹5,040 crore. Adjusted for exceptional items, full-year net profit rose 15 per cent to ₹5,456 crore, while EBITDA increased 20 per cent to ₹8,475 crore. EBITDA margin improved 80 basis points to 31.2 per cent.
The company’s R&D investments for FY26 stood at ₹2,273 crore, representing 8.4 per cent of revenues, while organic capital expenditure during the year stood at ₹1,714 crore.