Zydus Lifesciences Q2 Profit Slumps 27%,shares decline 3.5%

Zydus Lifesciences reported a sharp 27% decline in consolidated net profit for the July-September quarter, even as revenues rose strongly. Net profit fell to Rs 926 crore from Rs 1,261 crore a year earlier, as total expenses climbed 51%, outpacing the 29.2% growth in total revenue to Rs 7,910 ***** cost pressure was broad-based. Research and development expenses jumped 36.4%, while employee benefits costs rose 33.7%. EBITDA margin contracted sharply to 24% from 32.9% in the year-ago period, with EBITDA declining 6% year-on-year to Rs 1,895 ***** was supported by key markets. North America, the company’s largest geography, delivered 20.8% revenue growth to Rs 3,315 crore, driven by higher volumes and new generic launches. India, the second-largest market, grew 18%, aided by the chronic disease portfolio and market share gains.