/images/ppid_59c68470-image-177918257487110484.webp)
/images/ppid_59c68470-image-177918011244424632.webp)
What is the story about?
Shares of Zydus Lifesciences Ltd. gained over 5% on Tuesday, May 19, after the company approved a ₹1,100 crore share buyback along with reporting a stronger-than-expected March quarter performance, with profit, revenue and margins beating Street estimates.
The company’s board approved the buyback of up to 95.65 lakh equity shares at ₹1,150 apiece through the tender offer route. Promoters will also participate in the buyback, with May 29, 2026, fixed as the record date for determining shareholder eligibility.
Price of the buyback is at a premium of 16% in comparison to the company's closing price on Monday.
Zydus Lifesciences reported a consolidated net profit of ₹1,272.5 crore for the March quarter, up 8.7% year-on-year and ahead of the CNBC-TV18 poll estimate of ₹997.5 crore.
Its revenue rose 16.2% year-on-year to ₹7,587 crore from ₹6,528 crore, also beating the CNBC-TV18 poll estimate of ₹7,086 crore.
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) increased 20.2% to ₹2,554 crore from ₹2,125.5 crore in the year-ago quarter, while EBITDA margin expanded to 33.7% from 32.6%. The EBITDA performance was sharply above the CNBC-TV18 poll estimate of ₹1,632.6 crore, while the margin exceeded expectations of 23%.
Excluding forex gains, EBITDA stood at ₹1,909 crore with a margin of 25.2%, both still higher than what the street had anticipated.
The company’s standalone financials included an exceptional item gain of ₹1,068 crore during the quarter related to impairment in the value of investment in Zydus VTEC Ltd., a wholly owned subsidiary.
The board also recommended a final dividend of ₹1 per equity share for FY26, subject to shareholder approval at the upcoming annual general meeting scheduled for August 11, 2026.
Shares of Zydus Life are trading 5.3% higher on Tuesday at ₹1,047 after the earnings announcement. The stock is up 14% so far in 2026.
Zydus Life's Buyback
The company’s board approved the buyback of up to 95.65 lakh equity shares at ₹1,150 apiece through the tender offer route. Promoters will also participate in the buyback, with May 29, 2026, fixed as the record date for determining shareholder eligibility.
Price of the buyback is at a premium of 16% in comparison to the company's closing price on Monday.
Zydus Life In Q4
Zydus Lifesciences reported a consolidated net profit of ₹1,272.5 crore for the March quarter, up 8.7% year-on-year and ahead of the CNBC-TV18 poll estimate of ₹997.5 crore.
Its revenue rose 16.2% year-on-year to ₹7,587 crore from ₹6,528 crore, also beating the CNBC-TV18 poll estimate of ₹7,086 crore.
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) increased 20.2% to ₹2,554 crore from ₹2,125.5 crore in the year-ago quarter, while EBITDA margin expanded to 33.7% from 32.6%. The EBITDA performance was sharply above the CNBC-TV18 poll estimate of ₹1,632.6 crore, while the margin exceeded expectations of 23%.
Excluding forex gains, EBITDA stood at ₹1,909 crore with a margin of 25.2%, both still higher than what the street had anticipated.
The company’s standalone financials included an exceptional item gain of ₹1,068 crore during the quarter related to impairment in the value of investment in Zydus VTEC Ltd., a wholly owned subsidiary.
The board also recommended a final dividend of ₹1 per equity share for FY26, subject to shareholder approval at the upcoming annual general meeting scheduled for August 11, 2026.
Shares of Zydus Life are trading 5.3% higher on Tuesday at ₹1,047 after the earnings announcement. The stock is up 14% so far in 2026.
