AJANTPHARM

Q4 FY25 Result Analysis

Ajanta Pharma reported a stable and efficient performance in both Q4FY25 and FY25, with consistent growth in revenue, profit, and strong cash generation. Q4FY25 Financial Highlights (YoY): Revenue: ₹1,170 crore vs ₹1,054 crore – up 11%, indicating steady growth across markets. EBITDA: ₹297 crore vs ₹278 crore – up 7%; margin at 25%, slightly down YoY but still strong. PAT: ₹225 crore vs ₹203 crore – up 11%; PAT margin stable at 19%. FY25 Financial Highlights (YoY): Revenue: ₹4,648 crore vs ₹4,209 crore – up 10%, reflecting solid full-year execution. EBITDA: ₹1,260 crore vs ₹1,172 crore – up 7%; EBITDA margin at 27%, showing operational discipline. PAT: ₹920 crore vs ₹816 crore – up 13%; PAT margin improved to 20%, driven by margin expansion or efficiency gains. Cash Flow & Returns: Cashflow from operations: ₹1,157 crore; EBITDA-to-CFO conversion of 92% highlights strong cash discipline. Free cash flow: ₹694 crore; FCF-to-PAT conversion of 75% indicates solid cash realization. Return ratios remain best-in-class: ROCE at 32% and RONW at 25% – underlining capital-efficient operations. Overall Assessment: Ajanta Pharma continues to deliver a healthy mix of growth and profitability with strong cash flow and return metrics. The company's focus on high-margin branded generics and controlled costs supports long-term value creation.