Leading 30 pharma players boost net earnings growth of 31 per cent in 2024-25

The leading 30 pharmaceutical companies, with revenues above Rs 2,500 crore, have registered robust net profit growth of 31 per cent during the financial year 2024-25 on account of new product launches, investments in research & development, capacity enhancement, partnerships and differentiated product portfolio. These players overcome problems like stiff competition in highly regulated markets, price erosion, external volatility, geopolitical uncertainties and global supply chain constraints.  With strong growth in profits, these companies declared handsome returns to investors in the form of dividends as well as improved returns from share market price movements. 

The revenues of Pharmabiz sample of top 30 pharmaceutical companies stepped up by 10.9 per cent to Rs. 3,50,133 crore during 2024-25 from Rs. 3,15,798 crore in the previous year. Out of 30 companies, 11 companies recorded revenues above Rs. 10,000 crore and 8 companies posted revenues of over Rs. 5,000 crore. Sun Pharmaceuticals maintained its top position with revenues of Rs. 52,041 crore which worked out the growth of 9 per cent. Dr Reddy’s Laboratories grabbed second spot with revenues of Rs. 31,632 crore from Rs. 27,140 crore in the previous year, registering 16.6 per cent growth. Aurobindo Pharma went down to third rank from its second rank with revenues of Rs. 31,378 crore in 2024-25 from Rs. 28,705 crore. Cipla maintained its position at fourth place with sales of Rs. 27,145 crore as against Rs. 25,447 crore. Zydus Lifesciences moved from sixth place in last year to fifth place with sales of Rs. 22,574 crore.

Indian pharma industry has put up good show during 2024-25 with strong basket of new products, contract manufacturing, focus on regulated markets and higher ANDA approvals from market authorities. These companies are engaged in building R&D pipeline as well as new investments in capacities.  Further, players are looking for new partnerships and exclusive licensing agreements and acquisition of additional capacities. Despite uncertainties regarding new tariffs and geographical situation, Indian pharma will enhance its presence in international market in the coming years. The stock market share price movements remained volatile during 2024-25 and the BSE healthcare index of 105 companies improved by 18.2 per cent to 41,423 points as at the end of March 2025. BSE Sensex improved to 77,414 points from 73,561 points during FY2024-25.