Q2 FY27 Financial Highlights

  • Revenue: ₹8,671 crore (compared to ₹8,071 crore in Q1FY27, ₹8,805 crore in Q2FY26)
  • Gross Margin: 52.1% of revenues (49.4% excluding semaglutide API related impact)
  • SG&A Expenses: 32.4% of revenues
  • R&D Expenses: 6.0% of revenues
  • EBITDA Margin: 20.6% of revenues (15.4% excluding semaglutide API related impact)
  • Diluted EPS: ₹11.1
  • RoCE (Annualized): 9.5%
  • CAPEX: ₹186 crore
  • Cash Flow: ₹171 crore
  • Net Debt/Equity: -0.08 (Net Surplus adjusted for non-current cash & borrowings stood at ₹2,502 crore as of September 30, 2026)

Business Highlights & Strategic Updates

  • Partnership with Takeda: For India's first CDSCO-approved dengue vaccine, QDENGA; launch planned in private markets in H1 2027.
  • Expanded collaboration with Gilead Sciences: For investigational once-yearly lenacapavir for HIV prevention in 120 countries.
  • GARDP Foundation association: Secured Thai FDA approval for zoliflodacin for uncomplicated urogenital gonorrhoea treatment within 6 months of USFDA approval.
  • USFDA approval: Secured approval for rituximab biosimilar.
  • Product launches: Launched nivolumab biosimilar in India; generic semaglutide approved in 10 countries across Latin America, Africa, Middle East, Canada, and India.
  • CDMO business: Aurigene Pharmaceutical Services surpassed $100+ million in revenues in 12 months ended September 2026.

Regulatory & Compliance Updates

  • Semaglutide API: On track to resolve issue where certain batches were found to be out of specification.
  • Mirfield, UK API facility: Received 'VAI' classification following USFDA GMP inspection in September 2025.
  • FTO-SEZ Process Unit-02, Srikakulam, AP: Received Form 483 with 3 observations following PAI & GMP inspection in July 2026; responded within stipulated timeline.
  • Formulations facility FTO-3, Bachupally, Hyderabad: Received Form 483 with 4 observations following GMP inspection in August 2026; responded within stipulated timeline.
  • API facility in Mexico: Received Form 2953 with 2 observations following records assessment under Section 704(a)(4) of FD&C Act between July-September 2026; responded within stipulated timeline.
  • FTO-11, Pydibhimavaram, AP & FTO-9, Visakhapatnam, AP: Received Form 483 with 2 and 3 observations respectively following PAI in October 2026; to respond within stipulated timeline.

Segment Performance

North America:

  • Double-digit base business growth in Q2FY27, aided by new product launches, volume expansion, and favorable forex.
  • First-to-market launch of hospital drug sugammadex injection.
  • 12.4% growth vs 2.1% US Generics Market growth (excl. lenalidomide, per IQVIA MAT Aug'26).
  • 6 new launches in Q2FY27, 12 YTD.
  • 5 ANDA filings in Q2FY27, 10 YTD; 0 NDA filings in Q2FY27, 1 YTD.
  • 77 ANDAs and 3 NDAs pending approval as of September 2026 (includes 47 Para IVs & 27 FTFs).

India:

  • Moved up to #8 in Indian Pharmaceutical Market (IPM) for the quarter.
  • 21.0% growth vs 14.7% IPM growth (per IQVIA MAT Sep'26).
  • #9 rank in IPM MAT Sep'26.
  • Therapy leadership: #1 in Stomatologicals, #2 in Vaccines.
  • 4 new brand launches in Q2FY27, 11 YTD.
  • 24 brands in IPM Top 300, 16 ₹100 crore+ brands.
  • 4 brands in Top 50 new launches in IPM.
  • Distribution & promotion agreement with Novartis India terminated following change in its controlling shareholding.

Europe:

  • Generics launch momentum and forex gains partly offset by pricing pressure and NRT operating model changes.
  • NRT growth impact from post-integration operating model changes reported as profit neutral.

PSAI (Pharmaceutical Services & Active Ingredients):

  • Lower API volume offtake impacting growth.
  • CDMO business under Aurigene Pharmaceutical Services Limited delivered double-digit growth in Q2FY27.
  • APSL secured long-term manufacturing & supply agreement for USA, Europe, Canada & emerging markets with a leading global pharma company.

ESG Highlights

  • Awarded 'Silver' medal by FinanceAsia in 'Best Large Cap Company in India' category at Asia's Best Companies 2026.
  • Improved CRISIL ESG Rating to 73/100 for FY26 from 66/100 in FY25; only pharma company in leadership category.

Company Overview Metrics (as presented)

  • ~699 million patients reached globally
  • $3.6 billion Revenue
  • ~23% EBITDA Margin
  • ~16% RoCE
  • 27,500+ Employees globally
  • 64 Nationalities (Employees)
  • 88 Markets served
  • 33 Plants (Manufacturing & R&D)

Forward-Looking Statements

Presentation contains forward-looking statements subject to risks and uncertainties including general economic conditions, ability to implement strategy, currency changes, interest rates, government allocations, regulatory changes, competition, and political conditions. Refer to company's annual report on Form 20-F and other SEC filings for detailed risk information.

Non-GAAP Measures

Presentation contains non-GAAP financial measures adjusted from IFRS. Management believes these provide useful supplemental information about financial performance and enable comparison between periods.