Submission of earning call transcript .
Awaiting price reaction for this filing.
Aurobindo Pharma reported record FY25 revenues of Rs. 31,724 crores (up 9% YoY) and EBITDA of Rs. 6,605 crores at a 20.8% margin, with Q4 FY25 revenues at Rs. 8,382 crores (up 11% YoY) and EBITDA of Rs. 1,792 crores at a 21.4% margin. The formulation business drove growth, contributing 87% of Q4 revenue, with US formulations at Rs. 4,072 crores (up 13% YoY, US$ 470 million) and Europe formulations at Rs. 2,147 crores (up 17% YoY, €236 million). The company moved to a net cash position of US$ 42 million from a net debt of US$ 84 million as of December 2024, supported by improved working capital. Management guided for high single-digit revenue growth for FY26 (excluding transient products), with an aim to maintain current EBITDA margins, while awaiting clarity on US tariff announcements expected in July 2025. FY26 is expected to be muted due to Eugia-3 remediation and Revlimid tail-off, but FY27 is expected to be strong with multiple settlement-based launches in oncology and biosimilar contributions building toward 2028.
Strong FY25 results with record revenues, improved margins, and a swing to net cash provide a positive backdrop, but the muted FY26 outlook, US tariff uncertainty, and Eugia-3 remediation issues may temper near-term investor enthusiasm. Shareholders may see this as a stable performer with long-term growth optionality from biosimilars, Pen-G, and CDMO businesses.