Shares of Divi's Laboratories Ltd. are in focus on Monday, October 19, following positive regulatory developments for the company's key partnership. According to reports from CNBC TV18, the weight loss drug Orforglipron (Foundayo) received a positive opinion from the Committee for Medicinal Products for Human Use (CHMP) in Europe. This development positions Divi's Laboratories as the likely intermediate supplier for Eli Lilly's oral weight loss drug, creating significant market interest in the pharmaceutical company's prospects. The US Food and Drug Administration (USFDA) had previously approved Foundayo for weight-loss on April 1, 2026, and the drug has already generated $98 million in global sales in the second quarter of 2026, divided between $67 million in the US and $31 million in the UAE.
The company demonstrated robust financial growth in the first quarter of the current fiscal year, with consolidated net profit rising 65.6% to ₹902 crore from ₹545 crore in the previous year. As reported by CNBC TV18, this performance exceeded analyst estimates of ₹657 crore. Revenue operations increased 27.8% to ₹3,080 crore from ₹2,410 crore in the first quarter of the last fiscal, surpassing estimates of ₹2,911 crore. The company's EBITDA increased 72.2% to ₹1,255 crore from ₹729 crore, significantly ahead of the CNBC-TV18 poll of ₹915 crore. The strong quarterly results reflect the company's operational efficiency and market positioning in the pharmaceutical sector.
According to CNBC TV18, shares of Divi's Laboratories ended the previous session 1.3% higher at ₹9,144.5 apiece. The stock has shown mixed performance with a 2.8% decline in the past month but maintains strong year-to-date gains of 44.1%. The company has not yet disclosed when it will report earnings for the September quarter. The positive regulatory opinion for Orforglipron, combined with the company's strong financial performance, has generated analyst interest in Divi's Laboratories as a potential beneficiary of Eli Lilly's weight loss drug market entry. The company's position as the likely intermediate supplier for Foundayo, along with its robust financial metrics, continues to support investor confidence in its pharmaceutical partnership strategy.
