Alembic Pharmaceuticals Q2 FY27 results: net profit up 81.8% to ₹333.91 crore, revenue up 36.3%

How did Alembic Pharmaceuticals perform in Q2 FY27?

Alembic Pharmaceuticals reported consolidated Q2 FY27 revenue of ₹2,603 crore, compared with ₹1,910 crore in Q2 FY26 and ₹2,150 crore in Q1 FY27. Revenue rose 36.3% year on year and 21.1% from the previous quarter. The filing also reported standalone revenue of ₹2,391.65 crore, up 33.1%, and standalone profit after tax of ₹409.36 crore.

EBITDA was ₹563.26 crore, up ₹247.57 crore or 78.4% from Q2 FY26 and ₹231.40 crore or 69.7% from Q1 FY27. The margin was 21.6%, compared with 16.5% a year earlier and 15.4% in the previous quarter. Profit before tax was ₹439.31 crore, up ₹217.01 crore or 97.6% year on year, while profit after tax rose 81.8% to ₹333.91 crore.

Basic EPS was ₹17.05, up ₹7.65 or 81.4% from Q2 FY26 and ₹8.25 or 93.7% from Q1 FY27. Profit attributable to owners was ₹335.17 crore, compared with ₹184.71 crore in Q2 FY26 and ₹173.07 crore in Q1 FY27. The standalone profit before tax was ₹179.36 crore.

What changed in Alembic Pharmaceuticals' costs and profit?

Total expenses increased to ₹2,179.28 crore, up ₹484.52 crore or 28.6% from Q2 FY26. Cost of materials rose ₹136.50 crore or 29.5% to ₹599.64 crore, employee cost increased ₹66.21 crore or 15.1% to ₹503.75 crore, and other expenses rose ₹209.70 crore or 32.7% to ₹850.70 crore.

Finance costs were ₹38.26 crore, up ₹14.03 crore or 57.9%, while depreciation increased ₹24.73 crore or 32.5% to ₹100.80 crore. Other income rose ₹8.20 crore or 118.7% to ₹15.11 crore. There was no exceptional item in the quarter.

Tax expense increased ₹64.05 crore or 160.1% to ₹104.05 crore, while profit before tax rose ₹217.01 crore or 97.6% to ₹439.31 crore. The figures show higher revenue, other income and operating profit alongside higher expenses and tax; the filing did not state reasons for the changes.

Against Q1 FY27, total expenses rose ₹236.05 crore or 12.1%, while EBITDA rose ₹231.40 crore or 69.7%. The EBITDA margin consequently expanded 6.2 percentage points to 21.6%, and the net profit margin increased 4.8 percentage points to 12.8%.

How did the first half of FY27 go?

In H1 FY27, Alembic Pharmaceuticals reported consolidated revenue of ₹4,753.25 crore, up ₹1,132.38 crore or 31.3% from H1 FY26. Total income was ₹4,783.29 crore, an increase of ₹1,149.01 crore or 31.6%.

Profit before tax rose to ₹660.79 crore from ₹412.85 crore, an increase of ₹247.94 crore or 60.1%. Profit after tax was ₹506.27 crore, up ₹168.93 crore or 50.1%, while basic EPS increased to ₹25.86 from ₹17.25.

What do the balance sheet and cash flow show?

Total assets were ₹9,530.68 crore on 30 September 2026, compared with ₹8,762.59 crore on 31 March 2026. Total equity rose to ₹5,936.60 crore from ₹5,668.98 crore, while borrowings increased to ₹1,490.01 crore from ₹1,360.85 crore.

Cash and cash equivalents were ₹254.23 crore, up from ₹196.37 crore. Inventories increased to ₹2,653.73 crore from ₹2,510.64 crore, trade receivables to ₹1,896.15 crore from ₹1,466.30 crore, and trade payables to ₹1,159.08 crore from ₹835.08 crore.

H1 FY27 operating cash flow was ₹571.38 crore, compared with ₹402.92 crore in H1 FY26. Investing cash flow was negative ₹328.34 crore against negative ₹287.05 crore, while financing cash flow was negative ₹185.18 crore against negative ₹64.97 crore. Capital expenditure was ₹169.04 crore, compared with ₹234.17 crore.

How has Alembic Pharmaceuticals done over the last 8 quarters?

Revenue rose year on year in each of the last eight quarters. It reached ₹2,603.48 crore in Q2 FY27 from ₹2,149.77 crore in Q1 FY27, while the earlier eight-quarter low was ₹1,692.74 crore in Q3 FY25. Profit after tax was ₹333.91 crore in the latest quarter, up from ₹172.36 crore in Q1 FY27, and its earlier low was ₹131.95 crore in Q3 FY26.

The EBITDA margin reached 21.6% in Q2 FY27, compared with 15.4% in Q1 FY27 and a low of 12.3% in Q4 FY26. Revenue and profit both moved higher in the latest quarter, extending the year-on-year profit rise to three quarters.

What else did the company announce?

The board approved the consolidated and standalone unaudited financial results for the quarter and half year ended 30 September 2026, along with the statutory auditors’ limited review report. The results were recommended by the audit committee, and the statutory auditors’ review report was unqualified.

Alembic Pharmaceuticals also filed an investor presentation for Q2 FY27 on 4 November 2026. The presentation stated that all businesses registered double-digit growth and identified margin expansion in the base portfolio alongside funding for research and development, the specialty portfolio and the U.S. branded platform.

A separate same-day filing said the US Food & Drug Administration gave final approval for Alembic’s Olopatadine Hydrochloride Ophthalmic Solution USP, 0.7% over the counter. The company said the application was developed with Orbicular Pharmaceutical Technologies Pvt Ltd; no dividend, fund raise or appointment was disclosed in the cited filings.

What did Alembic Pharmaceuticals' management say?

Management said FY27 consolidated revenue growth guidance was raised to about 20–25% from mid-teens, while U.S. business revenue growth was expected to be up to 40% year on year. API revenue growth was upgraded to at least high-teens; India branded growth was expected to be close to double digits and ex-U.S. growth at mid-teens.

Management identified risks from the normalisation of exclusivity-led sales as recent U.S. launches lose exclusivity, the acute portfolio remaining below the Indian Pharmaceutical Market, freight, logistics and solvent inflation, long collection cycles on new U.S. launches, and uncertain product-level economics for FTF and shared day-one launches. No analyst concerns were recorded.

How did Alembic Pharmaceuticals shares react?

After the filing appeared, the stock rose 8.9% within five minutes, 15.2% within 15 minutes and 8.9% within 30 minutes. It closed the first trading session on the news 12.0% above the previous close of ₹804.70, compared with a 0.8% median rise for the other Pharmaceuticals stocks.

The stock’s reaction-day gain exceeded the industry median by 11.2 percentage points. Earlier results-day moves were 0.7% on 4 August 2026, negative 0.5% on 15 May 2026, 1.4% on 5 February 2026 and 2.3% on 4 November 2025. The stock was lower on the reaction day for each of the four earlier results listed before 4 November 2025.

How did other Pharmaceuticals companies do?

Sixty-six other Pharmaceuticals companies had filed for the quarter, with a median revenue growth of 19.8%. Fifty peers grew more slowly than Alembic Pharmaceuticals, while 15 grew faster. Of the 61 peers for which profit was compared, 44 reported higher profit.