Financial Highlights – Q2FY27 (Consolidated)

  • Revenue From Operations: Stood at ₹196.1 crore in Q2 FY27, a 9.0% quarter-on-quarter (QoQ) increase from ₹179.9 crore in Q1 FY27. Year-on-year comparison is not like-for-like due to the consolidation of Noumed Pharmaceuticals from November 12, 2025.
  • Gross Profit: ₹93.1 crore in Q2 FY27, up 26.4% QoQ from ₹73.7 crore. Gross Profit Margin improved to 47.5% from 40.9% in Q1 FY27, attributed to tighter inventory management and the introduction of first-in, first-out controls on a new ERP system.
  • EBITDA: ₹41.4 crore in Q2 FY27, up 67.4% QoQ from ₹24.7 crore. EBITDA Margin was 21.1% compared to 13.7% in Q1 FY27.
  • Depreciation and Amortisation: Rose to ₹25.1 crore from ₹8.1 crore in Q1 FY27 due to the capitalisation of the Unit III expansion, consolidation of Noumed assets and Saicriti Pharma, and amortisation of molecules acquired from Sai Prathyak Laboratories.
  • PAT (Profit After Tax): ₹10.5 crore in Q2 FY27, a 32.7% QoQ increase from ₹7.9 crore. PAT Margin was 5.4%.

Financial Highlights – H1FY27 (Consolidated)

  • Revenue From Operations: ₹376.0 crore for H1 FY27, representing approximately 50% of the FY27 revenue target of ₹750 crore.
  • Gross Profit: ₹166.7 crore with a Gross Profit Margin of 44.3%.
  • EBITDA: ₹66.1 crore with an EBITDA Margin of 17.6%.
  • PAT: ₹18.4 crore with a PAT Margin of 4.9%.

Key Business and Strategic Developments

  • Acquisitions Completed: The company has completed the acquisition of 60% stakes in Saicriti Pharma Private Limited and Prathyak Laboratories Private Limited using ₹98.8 crore of IPO proceeds (₹83.83 crore in Saicriti and ₹15 crore in Prathyak). A further ₹3.0 crore, originally for a research centre, was reallocated to general corporate purposes.
  • Saicriti Pharma Injectable Facility: Foundation works are underway at the Gummadidala site. The EU-GMP and USFDA-standard facility is targeted for completion in July 2027. Purchase orders have been placed for four process lines (liquid/lyophilised injectables, pre-filled syringes, dry powder filling, and ampoule filling). Upon completion, it will increase injectable capacity to approximately 154.66 million units, and existing Units I and II at Jeedimetla will be discontinued.
  • Sai Prathyak Laboratories: The 60% stake acquisition was completed on 5th October 2026 for ₹15 crore. The entity, now a direct subsidiary, consolidates all Group R&D with 28 research scientists and a portfolio of 174 molecules and 285 SKUs. It is expected to begin taking external CDMO development contracts in the next two quarters, with revenue from FY28. The company holds a right of first refusal to acquire the residual 40% at the same valuation.
  • Unit III Expansion: The expansion at the Bhongir facility is complete, increasing production capacity by 81% from 85.5 million to 155 million units per month. The expansion adds a high-capacity ointment tank, a dedicated capsule blending suite, and new liquid oral lines. Output is expected to ramp up from Q4 FY27, primarily serving Australia and New Zealand.
  • Noumed Pharmaceuticals: On 25th August 2026, Noumed renewed a three-year OTC supply agreement valued at AUD 30 million (approx. ₹204 crore). Combined with a 7.5-year, AUD 202 million agreement renewed on 1st July 2026, total contracted Australian OTC supply now stands at AUD 232 million (approx. ₹1,506 crore). Production is expected to progressively move in-house as the Adelaide facility commissions.
  • Adelaide Facility: Will begin operations in January 2027, with commercial supply expected from around April 2027. Until then, the company will support Noumed with bulk tablets from India.
  • Philippines Portfolio: 11 molecules and 22 SKUs were added or launched in the Philippines during Q2 FY27, led by cardiovascular therapies.

Management Commentary

Mr. Anil Kumar Karusala, Chairman and Managing Director, commented that Q2 FY27 showed improved profitability with sequential revenue growth and margin expansion. He noted that H1 performance is ahead of the guided 45:55 phasing for the year and reiterated that FY27 is a year of building, with performance improvements expected to show in FY28.

About the Company

The company is an integrated, IP-led pharmaceutical enterprise with operations in contract development and manufacturing and branded generics. Its portfolio includes 302 commercial products across nine therapeutic areas, supported by 599 approved registrations. It manufactures across five facilities in India and one in Adelaide, Australia.