RPG Life Sciences, a small-cap pharmaceuticals firm backed by Harsh Goenka, witnessed a remarkable 12% increase in its stock price on Tuesday, April 29, following the announcement of impressive profits and a generous dividend for its investors. The company revealed its earnings for the March 2025 quarter after market hours on Monday, showcasing a staggering 786% rise in profit after tax (PAT), amounting to ₹117.35 crore compared to ₹13.24 crore in the same quarter the previous year.
Impressive Earnings Performance
The robust performance was highlighted by a sequential increase as well. The Q4 PAT soared 236% from ₹34.93 crore reported in the December 2024 quarter. This growth demonstrates RPG Life Sciences’ strong operational capabilities, even in a challenging market environment.
- March 2025 PAT: ₹117.35 crore
- March 2024 PAT: ₹13.24 crore
- December 2024 PAT: ₹34.93 crore
Revenue Growth and Market Trends
In addition to profit figures, the company’s revenue from operations rose by 12.67% year-on-year (YoY), reaching ₹143.09 crore in Q4 FY25, up from ₹126.99 crore in Q4 FY24. However, there was a 17% decline on a quarter-on-quarter (QoQ) basis from ₹172.71 crore in the previous quarter.
At the close of the March 2025 quarter, Harsh Goenka held 26,915 shares, representing a 0.16% stake in RPG Life Sciences, further solidifying his role as a promoter.
Generous Dividend Declaration
In a move that delighted shareholders, RPG Life Sciences announced a dividend payout of ₹24 per share. This includes a final dividend of ₹20 per equity share—a significant 250% of the face value—and a special dividend of ₹4 per equity share, reflecting exceptional profits from a land assignment for the fiscal year 2024-25. This proposal awaits approval at the upcoming Annual General Meeting.
- Final Dividend: ₹20 per share
- Special Dividend: ₹4 per share
According to Trendlyne, the company had already declared a total equity dividend of ₹16 per share over the last year, translating to a dividend yield of 0.72% based on current market prices.
Stock Performance and Future Outlook
Following the positive earnings news, RPG Life Sciences saw its stock surge to a daily high of ₹2366.60, a rise from its previous closing of ₹2108.80. The firm currently boasts a market capitalization of ₹3,660 crore and has proven to be a lucrative investment, with shares climbing 41.24% over the past year and an astonishing 163% over the last two years.
For long-term investors, the stock has shown remarkable appreciation, with increases of 766% over five years and an incredible 1470% over the past decade.
RPG Life Sciences continues to be a compelling option for investors seeking strong growth in the pharmaceuticals sector. With a solid financial foundation and promising future prospects, the company’s performance will be closely monitored in the coming quarters.
