The company's earnings before interest, taxes, depreciation and amortisation (EBITDA) fell by 56% YoY to Rs 170 crore in the quarter under review from Rs 219 crore in the year-ago period.

EBITDA margin for Q3FY23 stood at 10% compared to 25% in the corresponding period a year ago. The margin was 13% in the September quarter.

The company said that the EBITDA margin was impacted by higher operating expenses including raw material cost, energy prices, wage inflation and marketing cost.

The Contract Development and Manufacturing Organization (CDMO) segment revenues stood at Rs 1,021 crore in Q3 FY23, up 14% YoY and up 9% QoQ.

Its complex hospital generics segment posted revenues of Rs 514 crore in the said quarter, up 6% YoY and down 8% QoQ.

The Indian consumer healthcare business stood at Rs 214 crore in the said quarter, up 37% YoY and down 6% QoQ.

Nandini Piramal, chairperson, Piramal Pharma said, "Basis our recent increase in customer engagements and continued inflows of RFPs (Request for Proposals), we believe that the demand for CDMO services, especially for our differentiated offerings remain strong. We continue to maintain our quality track record with successful US FDA inspection at our Riverview facility. In our Complex Hospital Generic business, the Inhalation Anesthesia portfolio is seeing a healthy demand. Further, our India Consumer Healthcare business is delivering growth driven by power brands. Investment in e-commerce channel is also yielding good results.

We believe in the potential of our business and in-line with our aim to grow, the Board has approved the recommendation to allot equity shares for an amount not exceeding INR 1,050 Cr., subject to receipt of requisite regulatory approvals, market conditions and other considerations."

The company's board has approved a recommendation of a rights issue of equity shares for an amount not exceeding Rs 1,050 crore, subject regulatory approvals, market conditions, etc, the company said.

Piramal Pharma (PPL) offers a portfolio of differentiated products and services through end-to-end manufacturing capabilities across 17 global facilities and a global distribution network in over 100 countries. PPL includes Piramal Pharma Solutions (PPS), an integrated Contract Development and Manufacturing Organization; Piramal Critical Care (PCC), a Complex Hospital Generics business; and the India Consumer Healthcare business, selling over-the-counter products. In addition, PPL has a joint venture with Allergan, a leader in ophthalmology in the Indian formulations market. In October 2020, PPL received 20% strategic growth investment from the Carlyle Group.