Results Overview

Piramal Pharma Limited reported standalone and consolidated results for Q2 and H1 FY27 ending 30 September 2026. Revenue from operations rose 28% YoY to ₹2,617 cr in Q2 (vs ₹2,044 cr in Q2 FY26) and 23% YoY to ₹4,887 cr in H1 (vs ₹3,977 cr in H1 FY26). The CDMO segment generated ₹1,424 cr in Q2 (+36%) and ₹2,611 cr in H1 (+28%). Complex Hospital Generics (CHG) delivered ₹849 cr in Q2 (+32%) and ₹1,592 cr in H1 (+24%). Piramal Consumer Healthcare (PCH) posted ₹359 cr in Q2 (+13%) and ₹706 cr in H1 (+14%).

EBITDA increased 72% YoY to ₹385 cr in Q2 and ₹669 cr in H1, expanding EBITDA margins to 14.7% in Q2 (from 11.0%) and 13.7% in H1 (from 9.8%). Net profit after tax turned to a modest ₹5 cr in Q2 from a loss of ₹99 cr a year earlier (+105%) and narrowed to a loss of ₹64 cr in H1 from a loss of ₹181 cr in H1 FY26 (+64%). Other income fell 45% in Q2 to ₹36 cr, while total income rose 26% YoY to ₹2,653 cr.

Profitability and Cost Structure

Material cost rose 29% YoY to ₹906 cr in Q2 and 26% YoY to ₹1,758 cr in H1. Employee expenses increased 17% YoY to ₹714 cr in Q2 and 13% YoY to ₹1,390 cr in H1. Other expenses grew 13% YoY to ₹648 cr in Q2 and 10% YoY to ₹1,195 cr in H1. Interest expense was ₹88 cr in Q2 and ₹176 cr in H1, while depreciation was ₹233 cr and ₹457 cr respectively. Share of profit of associates contributed ₹18 cr in Q2 and ₹37 cr in H1. Tax expense rose 44% YoY to ₹77 cr in Q2 and 149% YoY to ₹139 cr in H1, reflecting higher profitability.

Balance Sheet Highlights

As of 30 September 2026, total equity stood at ₹8,165 cr (vs ₹8,162 cr on 31 March 2026). Net debt increased to ₹4,859 cr from ₹4,164 cr, bringing total assets to ₹13,023 cr. Net fixed assets grew to ₹10,448 cr, tangible assets to ₹4,923 cr, intangible assets (including goodwill) to ₹4,254 cr, and CWIP to ₹1,271 cr. Net working capital improved to ₹2,260 cr.

Operational and Commercial Highlights

  • CDMO: Added 22 customers in H1, hosted 110 customer audits, expanded Phase III pipeline to 28 molecules (up from 25 in March 2026), innovation‑related revenues grew 24% and on‑patent manufacturing revenues rose 39% YoY. Acquired a controlling stake in Yapan Bio, progressed Lexington expansion for sterile fill‑finish, commissioned a new microbiology laboratory, and ADC services revenue jumped 51% YoY.
  • CHG: Retained a 48% value share in the US sevoflurane market, integrated Kenalog® contributing to Q2 revenue, held the #1 position in the US intrathecal baclofen market, and continued investments in 505(b)(2) and specialty generics.
  • PCH: Power Brands grew 21% YoY in H1, accounting for 53% of PCH sales; e‑commerce grew 32% YoY, representing 28% of sales. Launched the “Vizible” range under Lacto Calamine and spent roughly 11% of PCH sales on media and trade promotion. The Bayer distribution agreement expires December 2026; transition is being jointly managed with no material impact on FY27 guidance.

Outlook

Management upgraded FY27 guidance, now expecting revenue growth of 19‑20% for the full year, accompanied by materially higher profitability, citing strong H1 performance, a healthy order book, and continued operating discipline.

Governance Statement

The company completed 12 regulatory inspections and 110 customer audits in H1 without any “Official Action Indicated” classification from the US FDA. Exceptional items include one‑time insolvency proceeds from a claim against a third‑party supplier of the CHG business, adjudicated by the NCLT in November 2023.

Investor Call

A conference call to discuss the results is scheduled for 28 October 2026 at 10:00 AM IST, with dial‑in numbers provided for India, the USA, the UK, Singapore, and Hong Kong.