Indian Pharma Revenues Set For Moderate Growth in FY2025: ICRA

Revenues of Indian pharmaceutical companies are projected to grow by 9-11% in the current financial year, a moderation from last year’s 13-14% increase. Key drivers include sales from the US, European, and emerging markets, as well as steady domestic demand according to an ICRA report.

Revenues of Indian pharmaceutical companies are projected to grow by 9-11% in the current financial year, noted rating agency ICRA. This marks a moderation from last year's increase of 13-14%.

Growth will be fueled by a 9-11% surge in the US market, 7-9% in European and domestic markets, and 11-13% from emerging markets, the report added. Despite challenges, ICRA has maintained a Stable outlook for the industry due to steady export and domestic demand.

Kinjal Shah, Senior Vice President at ICRA, said operating margins should stay stable at 23-24%, driven by increased revenue, higher contribution from complex generics, and softer raw material prices. The previous year’s growth was affected by changes in the National List of Essential Medicines (NLEM) and erratic monsoons.