Jubilant Pharmova shares decline 6% after Q1 profits falls 45% YoY
Jubilant Pharmova shares fell after Q1 profit plunged 45% YoY to Rs 56 crore, despite revenue rising 17% to Rs 2,229 crore. The profit decline was attributed to weaker operating profitability and higher depreciation, while strong growth across segments, led by CDMO Sterile Injectables, boosted revenue.
Jubilant Pharmova's shares plummeted nearly 6% to Rs 908 following a 45% year-on-year drop in Q1 profits to Rs 56 crore. The decline was attributed to lower operating profitability and a rise in depreciation for Line 3 in Spokane. However, overall revenue rose 17% YoY to Rs 2,229 crore, driven by strong performance across all business segments.
Notably, CDMO Sterile Injectables showed particularly robust growth. EBITDA also decreased YoY, mainly due to unavailability of SPECT products in Radiopharmaceuticals and increased operating expenses, including remediation costs at the Montreal facility. The company remains optimistic about its future, projecting revenue to double from FY24 to FY30 with EBITDA margins expected between 23% and 25%.
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