GlaxoSmithKline Pharmaceuticals Q2 FY27 results: net profit up 30.4% to ₹335.88 crore, revenue up 20.8%

How did GlaxoSmithKline Pharmaceuticals perform in Q2 FY27?

GlaxoSmithKline Pharmaceuticals reported consolidated revenue of ₹1,184 crore for Q2 FY27, up 20.8% from ₹979.94 crore in Q2 FY26 and 26.1% from ₹938.44 crore in Q1 FY27. EBITDA was ₹402.07 crore, up 19.8% year on year, with margin at 34.0% against 34.3% in Q2 FY26 and 31.5% in Q1 FY27. Total income rose to ₹1,256.35 crore from ₹1,013.51 crore a year earlier.

Profit before tax increased 29.8% to ₹459.34 crore from ₹354 crore in Q2 FY26, while net profit rose 30.4% to ₹335.88 crore from ₹257.49 crore. Basic EPS was ₹19.83, compared with ₹15.07 a year earlier and ₹14.0 in Q1 FY27. Net profit margin was 28.4%, up 2.1 percentage points from Q2 FY26 and 3.1 percentage points from Q1 FY27.

On the standalone basis, Q2 FY27 revenue was ₹1,179.91 crore and profit after tax was ₹334.62 crore, up 21.2%. Profit before tax on that basis was ₹255 crore, while basic EPS after exceptional items was ₹19.76, compared with ₹15.06 in Q2 FY26.

What changed in GlaxoSmithKline Pharmaceuticals' costs and profit?

Total expenses rose 20.4% to ₹797.01 crore in Q2 FY27 from ₹662.15 crore in Q2 FY26. Cost of materials increased ₹13.79 crore to ₹128.92 crore, employee cost rose ₹32.14 crore to ₹170.19 crore, and other expenses increased ₹16.20 crore to ₹166.83 crore. Finance costs declined ₹0.02 crore to ₹0.49 crore, while depreciation fell ₹2.41 crore to ₹15.02 crore.

Other income increased ₹39.21 crore to ₹72.78 crore from ₹33.57 crore in Q2 FY26, while total income rose ₹242.84 crore to ₹1,256.35 crore. There was no exceptional item in Q2 FY27, compared with a ₹2.64 crore exceptional gain in Q2 FY26.

Tax expense increased ₹26.95 crore to ₹123.46 crore from ₹96.51 crore a year earlier. Despite the higher expense and operating costs, profit before tax rose ₹105.34 crore to ₹459.34 crore and net profit rose ₹78.39 crore to ₹335.88 crore. Management said the PAT margin improvement was helped by interest on an income-tax refund received during the quarter.

Management attributed the 50-basis-point decline in Q2 EBITDA margin to gross-margin dilution from currency depreciation and higher input costs, partially offset by price increases. It also said selling, general and administrative expenses as a percentage of sales reduced by 1% because of cost efficiencies.

How did the first half of FY27 go?

In the first half of FY27, consolidated revenue rose 18.9% to ₹2,122.01 crore from ₹1,785.11 crore in H1 FY26. Total income increased 20.2% to ₹2,238.55 crore from ₹1,862.4 crore, while profit before tax rose 23.5% to ₹781.79 crore from ₹632.98 crore.

Net profit for H1 FY27 was ₹573.06 crore, up 23.9% from ₹462.5 crore in H1 FY26. Basic EPS increased 24.5% to ₹33.83 from ₹27.17, with the increase in net profit amounting to ₹110.56 crore and the increase in profit before tax amounting to ₹148.81 crore.

What do the balance sheet and cash flow show?

At 30 September 2026, consolidated total assets stood at ₹3,968.58 crore, lower than ₹4,323.87 crore at 31 March 2026. Total equity was ₹1,881.05 crore against ₹2,284.69 crore, while the company reported no borrowings at either date. Cash declined to ₹650.75 crore from ₹1,102.05 crore, while inventories rose to ₹554.39 crore from ₹457.55 crore.

Trade receivables increased to ₹339.41 crore from ₹273.11 crore, while trade payables fell to ₹558.69 crore from ₹570.22 crore. In the first half, operating cash flow was ₹311.44 crore, compared with ₹183.74 crore in H1 FY26, and investing cash flow was ₹220.33 crore against ₹340.29 crore.

Financing cash outflow narrowed to ₹983.07 crore in H1 FY27 from ₹722.95 crore in H1 FY26. Capital expenditure was ₹26.7 crore, compared with ₹17.04 crore in the earlier first half. Management said the company would continue strengthening and optimising the balance sheet.

How has GlaxoSmithKline Pharmaceuticals done over the last 8 quarters?

Revenue rose year on year in each of the last four quarters, while profit rose year on year in each of the last eight quarters. In the latest quarter, revenue reached ₹1,183.57 crore after ₹938.44 crore in Q1 FY27, and net profit increased to ₹335.88 crore from ₹237.18 crore.

Q2 FY27 revenue was the highest in the eight-quarter trend and net profit was also the highest, at ₹1,183.57 crore and ₹335.88 crore respectively. EBITDA margin was 34.0%, below the trend peak of 35.7% in Q3 FY26 but above Q1 FY27's 31.5%.

The trend's revenue low was ₹805.17 crore in Q1 FY26, while net profit bottomed at ₹205.01 crore in the same quarter. The EBITDA-margin low was 30.7% in Q3 FY25, and the latest reading of 34.0% indicated a recovery from Q1 FY27.

What else did the company announce?

The board approved the un-audited standalone and consolidated financial results for the quarter and half year ended 30 September 2026, together with the auditors' limited review report. The meeting was held on 3 November 2026 and concluded at 6.00 p.m.

The board appointed Sandeep Seth as Head of Ethics & Compliance effective 3 November 2026. It also approved the appointment of Walker Chandiok & Co LLP as statutory auditors for a first term of five consecutive years, from FY2027-28 through FY2031-32, subject to shareholder approval. No dividend or fund-raising decision was disclosed in the same-day filings.

What did GlaxoSmithKline Pharmaceuticals' management say?

Management said the key priorities were to deliver competitive performance from the established portfolio, advance the innovative portfolio, accelerate R&D and pipeline-product launches, simplify operations, and use AI and technology to improve agility. It also said the innovation portfolio increased to 7% of total sales from 3% a year earlier, supported by oncology launches, adult vaccines and new respiratory products.

Management said GSK India continued to hold leadership positions in general medicines and vaccines. It reported general-medicines growth led by Augmentin, Calpol, Neosporin and T-Bact, continued leadership in established vaccines, and that Shingrix sales doubled as healthcare professionals and organisations helped shape the adult-immunisation category.

For 2026, management said it was establishing adult immunisation as a category through Shingrix and driving growth through the CVMD opportunity. It also said it would accelerate R&D and pipeline-product launches, although the presentation did not specify a launch calendar.

Management identified currency depreciation and higher input costs as pressures on Q2 gross margin, with price increases providing only a partial offset. It also said representative-market growth was largely price-driven, with 3.5% price growth and 2.3% volume growth, while the 260-basis-point rise in PAT margin was helped by interest on an income-tax refund received during the quarter. No specific analyst questions were disclosed in the presentation.

How did GlaxoSmithKline Pharmaceuticals shares react?

After the filing appeared after market hours, the stock fell 1.2% within five minutes and 2.4% by both 15 and 30 minutes. On the reaction day, it closed 1.8% below the previous close, and by the next day's close it was down 2.9% from that pre-results close. No five-session movement was available.

Past results-day moves were mixed: the stock fell 0.5% on 3 August 2026 and 1.5% on 13 May 2026, rose 1.2% on 9 February 2026 and 0.3% on 6 November 2025, and fell 7.5% on 1 August 2025. Earlier reaction-day moves were positive on 13 May 2025, 14 February 2025 and 29 October 2024.

How did other Pharmaceuticals companies do?

Among 71 Pharmaceuticals companies that had filed for the quarter, the median revenue growth was 18.9%. GlaxoSmithKline Pharmaceuticals recorded revenue growth of 20.8%. Of the other companies, 37 grew more slowly than the company and 34 grew faster than the company.

Of the 66 peers for which profit was compared, 48 reported higher profit. The peer comparison was compiled as of 6 November 2026.