Divi's Laboratories Q4 & FY25 Results: ₹2,209 Cr Profit, ₹30 Dividend, CMP ₹6,539 | Long-Term Outlook & Valuation | Profit From It

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Divi's Laboratories Q4 & FY25 Results: ₹2,209 Cr Profit, ₹30 Dividend, CMP ₹6,539 | Long-Term Outlook & Valuation

Created by Piyush Patel in Company Update 19 May 2025

🧪 Divi's Laboratories Q4 & FY25 Results: ₹2,209 Cr PAT | ₹30 Dividend | CMP ₹6,539 | Strong Capex-Led Growth

📌 Company Snapshot

Divi’s Laboratories is a leading manufacturer of Active Pharmaceutical Ingredients (APIs), intermediates, and nutraceuticals, known for its strong R&D, zero-debt status, and consistent dividend payouts. The company continues to strengthen its global leadership with expansion projects and technology adoption.

📊 Financial Highlights – FY25 (Standalone)

Metric	FY25	FY24	YoY Growth
Revenue from Operations	₹9,198 Cr	₹7,665 Cr	🟢 +20.0%
EBITDA (Est.)	₹3,736 Cr*	₹2,878 Cr*	🟢 +29.8%
Profit Before Tax (PBT)	₹2,929 Cr	₹2,132 Cr	🟢 +37.4%
Profit After Tax (PAT)	₹2,209 Cr	₹1,576 Cr	🟢 +40.2%
EPS (₹)	₹83.20	₹59.37	🟢 +40.2%

*EBITDA is derived for illustration; actual not separately stated.

💸 Valuation Metrics @ CMP ₹6,539

Metric	Value
PE Ratio (TTM)	~78.6x
EPS (FY25)	₹83.20
Dividend Yield	~0.46%
PBV (Book Value ₹2,914)	~2.24x

🧾 Q4 FY25 Summary

Metric	Q4 FY25	Q4 FY24	YoY Growth
Revenue from Operations	₹2,536 Cr	₹2,259 Cr	🟢 +12.3%
PAT	₹667 Cr	₹531 Cr	🟢 +25.6%
EPS	₹25.12	₹19.99	🟢 +25.6%

🏭 Operational Highlights

✅ New Greenfield Unit III at Kakinada commenced operations in Q4 FY25.

✅ Forex Gains: ₹48 Cr in FY25 (🟢 up from ₹28 Cr in FY24).

✅ Capex in FY25: ₹1,437 Cr towards expansion and infrastructure.

✅ Zero Debt: High liquidity with cash and bank of ₹3,696 Cr.

💰 Dividend Update

📌 Final Dividend: ₹30/share (🟢 1500% on ₹2 FV)

🗓️ Record Date: July 25, 2025

🏛️ AGM Date: August 11, 2025

💵 Dividend Yield: ~0.46% at CMP ₹6,539

💹 Cash Flow Insights (FY25)

Cash Flow Component	FY25	FY24
Net Cash from Operations	₹1,650 Cr	₹1,266 Cr
Net Investing Cash Flow	₹(803) Cr	₹(268) Cr
Net Financing Cash Flow	₹(797) Cr	₹(798) Cr
Net Cash Flow	₹50 Cr	₹200 Cr

💼 Key Management Changes

🔁 CFO Change: Mr. Venkatesa P. Pasumarthy to take over as CFO from August 1, 2025.

👏 Acknowledgment of Mr. L. Kishore Babu’s leadership over the years.

📈 Long-Term Outlook

Divi’s strategic expansions, robust cash flow generation, and zero-debt model make it a compelling pick for long-term wealth creation. The steady increase in exports, capacity building, and R&D strength positions the company well for future earnings growth.