Zydus Lifesciences (ZYDUSLIF IN) – Q1FY27 Result Update – Strong revenue growth across India and EM markets – ACCUMULATE
Published on 12 Aug 2026
Zydus Lifesciences (ZYDUSLIF) Q1 EBITDA was largely in line with our estimates aided by higher revenues across key markets. The company has managed transition well of gRevlimid sales decline with new niche launches. Further company is working on a robust pipeline of complex products, including injectables, 505(b)2, transdermals, NCE, biosimilars and vaccines, they are expected to materialize over the next 2–3 years. We expect US sales to growth at 5% CAGR over FY26-28E despite sales erosion in some of key products. Mgmt have guided for 2-3 high value launches over FY27E/28E, timely launch will be key to sustaining momentum in US sales. Our FY27/28E EPS broadly remain unchanged. We maintain our ‘Accumulate’ rating with TP of INR 1,200, valuing at 25x FY28E EPS.
