Gland Pharma surges as Q2 PAT jumps 58% to Rs 291 crore
Revenue from operations increased 23.3% YoY to Rs 1,833.6 crore from Rs 1,486.9 crore. Sequentially, revenue rose 1.8% from Rs 1,800.3 crore.
Gross profit increased 24.7% YoY to Rs 1,163.8 crore from Rs 933.1 crore. Gross profit margin remained unchanged at 63% compared with the year-ago quarter, while it declined from 65% in Q1 FY27.
EBITDA increased 53.0% YoY to Rs 480.4 crore from Rs 313.9 crore. Sequentially, EBITDA declined 2.6% from Rs 493 crore. EBITDA margin improved to 26% from 21% a year ago but declined from 27% in the previous quarter.
Adjusted EBITDA rose 49.9% YoY to Rs 503 crore from Rs 335.5 crore. Adjusted EBITDA margin improved to 27% from 23% in Q2 FY26.
Profit before tax increased 51.8% YoY to Rs 430.9 crore from Rs 283.9 crore. Sequentially, PBT declined 0.9% from Rs 435 crore.
The CDMO business reported revenue growth of 30.8% YoY to Rs 822.7 crore, while Critical Injectables revenue increased 17.8% to Rs 1,010.9 crore. The two businesses contributed 45% and 55% of consolidated revenue, respectively.
On a geographical basis, US revenue increased 42.5% YoY to Rs 1,179.5 crore, while European revenue rose 30.3% to Rs 371 crore. Revenue from Canada, Australia and New Zealand declined 18.0% to Rs 40 crore. India revenue fell 41.8% to Rs 38.7 crore, while revenue from the rest of the world declined 21.1% to Rs 204.4 crore.
Research and development expenditure stood at Rs 107.7 crore during the quarter, accounting for 6% of consolidated revenue, compared with Rs 81.7 crore in Q2 FY26.
The company launched four molecules in the US during the quarter: Sugammadex, Erythromycin, Fluorouracil and Atropine Sulfate. It filed 11 ANDAs and received 10 approvals. Its cumulative US ANDA filings stood at 399, including 350 approved and 49 pending.
The company has launched six products from its in-house complex pipeline, with three more awaiting approval. It also has 15 products under co-development, comprising seven 505(b)(2) products and eight ANDAs, with commercialisation expected to begin in FY29.
Gland Pharma has filed 24 Ready-to-Use (RTU) infusion bag products and received approvals for 18. Another eight products are under development. The portfolio addresses an estimated US market opportunity of approximately US$640 million.
Executive chairman Srinivas Sadu said revenue growth was supported by strong execution across businesses. He highlighted expanding customer engagements, strategic partnerships and a robust opportunity pipeline in the CDMO business.
The company said technology transfer activities under its CDMO partnership with a global pharmaceutical company were progressing as planned. It also secured manufacturing contracts for microspheres and respiratory products.
On the regulatory front, two manufacturing facilities underwent US FDA audits. The VSEZ facility received zero observations, while the Dundigal facility concluded its inspection in October 2026 with four procedural observations.
Gland Pharma is an injectable-focused pharmaceutical company with operations across 60 countries. It primarily follows a contract development and manufacturing (CDMO) and business-to-business (B2B) model, specialising in the development, manufacturing and marketing of sterile injectables. Its product portfolio includes vials, ampoules, pre-filled syringes, lyophilised vials, dry powders, infusions, oncology and ophthalmic solutions.
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