At a Glance (Excerpt Only)Indiaās second-largest listed pharma company, Aurobindo Pharma, is grinding profits in the generics space globally. But despite strong numbers, the stock hasnāt kept pace ā thanks to flat profit CAGR, capex cycles, and low payout. Time to inject fresh capitalā¦ or just patience?
š 1. Financial Performance Snapshot (FY21āFY25)
| Metric | FY21 | FY22 | FY23 | FY24 | FY25 | 5Y CAGR |
|---|---|---|---|---|---|---|
| Revenue (ā¹ Cr) | 24,775 | 23,455 | 24,855 | 29,002 | 31,724 | 5.1% |
| Net Profit (ā¹ Cr) | 5,334 | 2,647 | 1,928 | 3,169 | 3,484 | -8.1% |
| Operating Profit Margin | 21% | 19% | 15% | 20% | 21% | Stable |
| ROCE | 18% | 13% | 9% | 14% | 14% | Weakening |
| ROE | 20%+ | 11% | 8% | 11% | 11% | Weakening |
| EPS (ā¹) | 91.05 | 45.2 | 32.9 | 54.15 | 59.49 | -8% CAGR |
š§Salt in wound: Net profit isstill35% below FY21 levels despite ā¹7,000 Cr+ increase in annual sales.
š§¬ 2. Whatās Working?
ā Strong US Generics
Business: Largest Indian generic player in the US marketā Europe Revenue Base: Top 10 in 8 countries ā not just āme tooā statusā Biosimilars Pipeline: Recent UK MHRA approval forDyrupegunder CuraTeQ is a boosterā Steady Capex: ā¹8,000 Cr+ added in gross fixed assets over 5 years
ā ļø 3. Whatās Broken?
š§»Profitability Cliff: Margins had collapsed to 15% in FY23 from 21% in FY20 ā only now reboundingšPromoter Holding Stagnant
