Zydus Lifesciences Ltd reported a 36% year-on-year decline in consolidated net profit to ₹939.8 crore for the first quarter of FY27, even as revenue from operations grew 22% to ₹8,017 crore, as profitability came under pressure during the quarter.The pharmaceutical major had reported a consolidated net profit of ₹1,466.8 crore in the year-ago period. Consolidated EBITDA declined 7.6% year-on-year to ₹1,929.4 crore, while EBITDA margin contracted sharply to 24.1% from 31.8% a year earlier. The company said its tax expenses for the quarter were not directly comparable with other reported periods as the parent had recognised a ₹51.5 crore gain in the March 2026 quarter from the remeasurement of deferred tax assets and liabilities following its adoption of the concessional tax regime under Section 115BAA of the Income Tax Act.Revenue growth during the quarter was led by the consumer wellness and international formulations businesses, while the North America formulations business remained under pressure. The pharmaceuticals business registered revenue growth of around 10% year-on-year. Within this, India formulations revenue rose 20% to ₹1,815.8 crore, accounting for 23% of consolidated revenue. Zydus said the India business continued to outperform the Indian pharmaceutical market, with growth across super-specialty, chronic and acute segments.The North America formulations business, which accounted for 40% of consolidated revenue, recorded revenue of ₹3,097.9 crore, down 3% year-on-year but up 5% sequentially. In constant-currency terms, the business reported revenue of $327 million. The company said its US base business continued to gain market share, supported by volume expansion and new product launches. During the quarter, Zydus filed five abbreviated new drug applications (ANDAs), received approvals for nine ANDAs, including four tentative approvals, and launched 11 new products in the US.On the specialty side, Zydus launched NUFYMCO (ranibizumab) injection, its first biosimilar in the US market, and completed the acquisition of Assertio Holdings, strengthening its presence in the US specialty pharmaceutical market. The company’s international markets formulations business was another key growth driver, with revenue rising 34% year-on-year to ₹973.5 crore.The consumer wellness business recorded a 67% year-on-year jump in revenue to ₹1,429.2 crore and accounted for 18% of consolidated revenue. Domestic consumer wellness revenue grew 5%, with skin and hair care brands rising 35% and food and nutrition brands growing 16%. Seasonal brands, however, declined amid a softer summer season.Zydus’ medical technologies business also saw a sharp increase in revenue, reaching ₹282.8 crore in the quarter, compared with ₹2 crore in the year-ago period. Zydus continued to expand through acquisitions during the quarter. Zydus completed the acquisition of Assertio Holdings on June 16, 2026, for approximately $166.4 million on a fully diluted basis. Zydus Managing Director Sharvil Patel said the company was advancing towards an innovation-led and patient-centric business, with its branded portfolio now accounting for more than 55% of revenue. The company expects the share of branded sales in the US to increase further with the planned launch of Saroglitazar.Published on August 11, 2026