Laurus Labs Q4 results: Profit soars 208% to Rs 234 crore; key highlights

Laurus Labs on Thursday reported a 208 per cent year-on-year (YoY) rise in net profit at Rs 234 crore for the March quarter compared with Rs 76 crore in the same quarter last year. Revenue for the quarter grew 19 per cent YoY to Rs 1,720 crore from Rs 1,440 crore in the corresponding quarter last year.

Ebitda, Laurus Labs said, grew 84 per cent YoY to Rs 477 crore against Rs 259 crore in the year-ago quarter. It included one-time gain of Rs 59 crore from sale of land, translating to Re 0.9 positive EPS impact (net of tax). 

Ebitda margin for the quarter expanded to 27.7 per cent from 18 per cent, the company said in a BSE filing. 

Following the development, the Laurus Labs stock was trading 1.6 per cent lower at Rs 640.05. 

Executive Director & Chief Financial Officer V V Ravi Kumar said despite the ongoing macroeconomic challenges, Laurus Labs witnessed high level of demand for its offerings. 

"For Q4, we delivered Rs 1,720 crore in revenues, growth of 19 per cent and Rs 477 crore, Ebitda grew 84 per cent, resulting in 27.7 per cent margin. Gross margins remained healthy at 55 per cent due to favorable CDMO mix and process optimization measures. The fundamentals of our business remain healthy," Kumar said.

Kumar said his company delivered FY25 revenues of Rs 5,554 Cr, representing 10 per cent growth. Ebitda for the year stood at Rs 1,115 crore, growth of 40 per cent. 

"The Ebitda margin of 20.1 per cent has substantially improved, supported by continuing operating leverage within CDMO business. Going ahead, we remain confident in our growth expectations as we look forward to execute on
long lead programs, new assets ramp up with revenue increasing over FY25 with continued focus on operational excellence," Kumar said. 

He said the capital allocation strategy on the company remain unchanged, prioritizing investments into high value business opportunities. 

Satyanarayana Chava, Founder & Chief Executive Officer commented; “We delivered a very good Q4 results and continued our transformative progress, reflecting robust demand for our CDMO offerings and meeting complex customer needs, supported by growth in FDF division. These results demonstrate the strength of our business model and give us confidence in our outlook. We are deepening our cooperation with major clients, and augmenting it with promising BD and capacity creation."

"Our business remains well positioned to evolve into a well-diversified CMO/CDMO company with promising pipeline, enabling several technology platforms and commercial excellence, thanks to team commitment to the unified vision of delivering high quality integrated solution and securing our long-term growth potential,” he said.