Rubicon Deep-Dive
DIVISLAB · NSE · Hyderabad

Divi's Laboratories

One of the world's largest API makers with a high-margin custom-synthesis (CDMO) arm serving innovators; benefiting from China+1 and new contrast-media/peptide capex.

Reported data + modeled fieldsAPI
What this shows

A full research profile for one company — what it does, how its financials have trended, how the market values it, and a balanced bull/bear/base investment memo.

How to use it

Scan the top row for the headline numbers, read the charts for trends, check the three gauge scores, then read the auto-generated memo at the bottom. Sources for every figure are linked at the very bottom.

Key terms
EBITDA
Earnings before interest, tax, depreciation & amortisation — a proxy for operating cash profit.
PAT
Profit After Tax — the bottom-line net profit.
FCF
Free Cash Flow — cash left after running the business and capital spending.
ANDA
Abbreviated New Drug Application — the US FDA filing to sell a generic drug.
Market Cap
₹1.8L Cr
Revenue
₹9.4K Cr
+10.0%5Y CAGR
EBITDA Margin
32%
ROCE
22%
P/E
68x
42.0x EV/EBITDA
5Y Return
+10%

Revenue

₹ crore · FY

EBITDA

₹ crore · FY

Margins

EBITDA & PAT margin %

R&D Spend

₹ crore · FY

Free Cash Flow

₹ crore · FY

Revenue Mix

By geography / segment

Quality Score

Growth Score

Regulatory Risk

Snapshot

Sub-segmentGeneric API + Custom Synthesis (CDMO)
Facilities3
D/E0.00
R&D % sales2.5%
FDA observations1

Business Model

How the company makes money

Large-scale generic APIs + custom synthesis for innovators (contrast media, carotenoids).

Growth driver

Custom synthesis ramp + contrast media + GLP-1 capex

Primary risk

Customer concentration & high valuation

Peer Group

Click to compare

PeerRev CAGREBITDA%ROCEP/E
Divi's Laboratories10%32%22%68x
Laurus Labs18%20%17.8%83x
Neuland Laboratories53%22%19%60x
Suven Pharmaceuticals (now Cohance Lifesciences)-2%19%8.4%83x
Syngene International-5%29%10.1%48x

Investment Memo

Auto-generated from the data layer — illustrative, not advice

Bull case
  • Custom synthesis ramp + contrast media + GLP-1 capex underpins a 10% 5Y revenue CAGR.
  • Premium 32% EBITDA margin with 22% ROCE signals durable economics.
  • Clean balance sheet (D/E 0.00) funds growth internally.
Bear case
  • Customer concentration & high valuation.
  • Pricing/NLEM exposure on the domestic book can cap realisation.
  • Valuation at 68x P/E prices in continued execution — little margin for error.
Base case

Divi's Laboratories screens as a high-quality api franchise. With revenue of ₹9.4K Cr growing ~10% and 32% EBITDA margins, the base case is steady compounding driven by custom synthesis ramp + contrast media + glp-1 capex, while watching customer concentration & high valuation.

Valuation view

Trades at 68x P/E, 42.0x EV/EBITDA and 10.6x P/B. A premium to the sector — justified only if growth and returns hold.

What to track
  • 1 India IPM outperformance & chronic mix
  • 2 Gross-margin trajectory & new-launch contribution
  • 3 R&D productivity (filings/approvals per ₹ of R&D)
  • 4 Capital allocation — capex payback & M&A discipline
Sources & provenance · FY25 / mid-2026

Mix = generic API ~47% / custom synthesis (CDMO) ~53%. No formulations/ANDAs. Near debt-free.