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Piramal Pharma has reported a remarkable increase in its consolidated net profit for the second quarter ending September 2024, posting over a four-fold jump to Rs 23 crore. This is a significant rise compared to the Rs 5 crore net profit the company achieved during the same period last fiscal year.
The Mumbai-based pharmaceutical firm also reported an increase in its revenue from operations, which grew to Rs 2,242 crore during the July-September quarter. This marks a solid improvement from the Rs 1,911 crore revenue reported in the corresponding period of the previous year, as per the company's official statement.
Nandini Piramal, Chairperson of Piramal Pharma, attributed this robust growth to the consistent performance of their Contract Development and Manufacturing Organisation (CDMO) business. "We continue to deliver healthy revenue growth along with a year-on-year expansion in our EBITDA margins. This has been driven primarily by strong growth in our CDMO segment, with an increase in innovation-related work and revenues from on-patent commercial projects," she said, according to PTI reports.
In a significant move to sustain this growth trajectory, Piramal Pharma has announced an $80 million expansion plan for its Lexington facility in the United States. The expansion aims to meet the rising global demand for sterile fill-finish capabilities and is expected to be completed by the end of fiscal year 2027.
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The company's Complex Hospital Generics (CHG) business has also shown steady growth, particularly in the volume of inhalation anaesthesia products in both the US and emerging markets. In response to rising global demand, Piramal Pharma is expanding its manufacturing capacities at its Dahej (Gujarat) and Digwal (Telangana) facilities.
Moreover, the company is investing heavily in portfolio expansion, focusing on differentiated and speciality products to drive long-term profitable growth. The India Consumer Healthcare (ICH) business continues to show strong performance, especially in the growth of its power brands and e-commerce sales.
To strengthen its market position, Piramal Pharma is transitioning from a pharmacy-dominant structure to an omnichannel consumer healthcare company, broadening its reach to cater to a wider audience.
Piramal Pharma's shares have also performed well in the stock market, with the stock price rising 11.74% to Rs 242.15 on the Bombay Stock Exchange (BSE) following the release of the quarterly results.
According to PTI reports, this growth reflects Piramal Pharma's strategic focus on innovation, capacity building, and diversification, positioning the company for sustained success in the global pharmaceutical landscape.
(With inputs from PTI)
