Torrent Pharma Q2FY25 results: Net profit rises 17%, misses estimates

At an operational level, Torrent Pharma's earnings before interest, tax, depreciation, and amortisation stood at Rs 939 crore, with an Ebitda margin of 32.5 per cent

Torrent Pharma reported a 17 per cent year-on-year (Y-o-Y) rise in consolidated net profit for the September quarter (Q2 FY25) to Rs 453 crore, up from Rs 386 crore in the same period last year.

 

The company’s revenue from operations rose to Rs 2,889 crore in Q2 FY25, reflecting a 9 per cent Y-o-Y growth from Rs 2,660 crore in Q2 FY24.

 

However, the company missed analyst estimates, falling short of Bloomberg's projected net profit of Rs 494 crore and revenue of Rs 2,971 crore.

 

The company stated that its insulin revenues were impacted this quarter due to a scheduled shutdown in August for maintenance activities. The facility is expected to resume manufacturing in December 2024.

 

 

“The shortfall is significantly planned to be recovered in Q4 of this year, and consequently, there will not be any impact on a full-year basis,” the company said in a statement.

 

The company reported that its India business saw a year-on-year growth of 13 per cent in the September quarter, with revenue reaching Rs 1,632 crore, up from Rs 1,444 crore in Q1 FY24, driven by outperformance in focus therapies.

 

Torrent’s chronic business grew at 14 per cent, compared to the Indian Pharma Market (IPM)’s growth of 9 per cent. “The growth was driven by a strong revival in cardiac divisions and continued traction in anti-diabetes new launches,” the company said in its statement.

 

At an operational level, Torrent Pharma’s earnings before interest, tax, depreciation, and amortisation (Ebitda) stood at Rs 939 crore, with an Ebitda margin of 32.5 per cent.

 

On a sequential basis, the company recorded a 0.78 per cent decline in net profit, while its revenue grew by 1.04 per cent.

 

Torrent’s revenue from the Brazil market rose by 4 per cent Y-o-Y in Q2 FY25 to Rs 263 crore, up from Rs 252 crore in the same period last year. The company attributed growth to the performance of top brands, new launches, and growth in the generic segment.

 

Revenue in the USA market also rose by 8 per cent to Rs 268 crore, up from Rs 248 crore in Q2 FY24.

 

On Friday, Torrent Pharma’s shares closed at Rs 3,437.65 apiece, up 3.63 per cent on the Bombay Stock Exchange (BSE).