Cipla Q4FY25 Results Preview: Strong show seen with margin boost; US biz, gRevlimid key triggers

Nifty Pharma major Cipla is likely to deliver a strong set of numbers for the quarter ended March 2025, with broad-based growth across geographies and improved margins, according to Zee Business Research. The Mumbai-based drugmaker is scheduled to announce its Q4FY25 earnings on May 13.

Strong topline, robust operational gains expected

Cipla’s consolidated revenue is expected to come in at Rs 6,740 crore, up 9.4 per cent year-on-year (YoY) from Rs 6,163 crore reported in Q4FY24. The growth will likely be supported by steady performance in the US, South Africa and domestic markets.

The company’s EBITDA is seen rising by 20.5 per cent YoY to Rs 1,585 crore, compared to Rs 1,316 crore in the same period last year. Margin is also expected to expand 220 basis points YoY to 23.5 per cent, primarily due to a richer product mix, including the contribution of gRevlimid and cost efficiencies.

Bottom-line likely to show steady growth

Cipla’s profit after tax (PAT) is estimated at Rs 1,050 crore, a growth of 11.8 per cent YoY, compared to Rs 939 crore in the year-ago quarter.

Key business verticals to drive growth

• US revenues are expected to grow in single digits, likely reaching around $230 million, supported by products like gRevlimid and Lanreotide.

• South Africa sales are seen growing by 20 per cent YoY, while domestic formulations (DF) may clock 10 per cent YoY growth.

• gRevlimid’s contribution is expected to play a key role in driving margin expansion.

What to watch

Management commentary on tariff pressure, Lanreotide supply and market share, and the outlook on new launches in the US will be closely tracked. Any updates on respiratory and chronic therapies in the domestic market will also be important for future earnings visibility.

Cipla stock has seen positive traction in recent weeks, reflecting bullish sentiment ahead of the results.