Piramal Pharma Q1 FY26 results: net loss narrows to ₹81.70 crore, revenue down 0.9%

How did Piramal Pharma perform in Q1 FY26?

On a consolidated basis, Piramal Pharma reported revenue of ₹1,934 crore for Q1 FY26, the April–June 2025 quarter, against ₹1,951 crore in Q1 FY25, a fall of ₹17.43 crore. EBITDA was ₹106.70 crore, down ₹97.79 crore from ₹204.49 crore, and the EBITDA margin was 5.5% against 10.5%, a decline of 5.0 percentage points. The company reported a net loss of ₹81.70 crore, compared with a net loss of ₹88.64 crore a year earlier, and basic EPS was negative ₹0.62 against negative ₹0.67.

Against the previous quarter, Q4 FY25, revenue fell ₹820.36 crore to ₹1,934 crore from ₹2,754 crore. EBITDA declined ₹454.29 crore to ₹106.70 crore from ₹560.99 crore and the margin was 14.9 percentage points lower at 5.5% against 20.4%. The company moved from a profit of ₹153.50 crore to a net loss of ₹81.70 crore, and basic EPS moved from ₹1.16 to negative ₹0.62.

On the standalone basis, revenue from operations was ₹969.88 crore, down 8.8% from a year earlier, and net profit after tax was ₹113.14 crore against ₹85.27 crore in Q1 FY25. The standalone result was reviewed by the statutory auditors and approved by the board on 28 July 2025.

What changed in Piramal Pharma's costs and profit?

Total expenses rose ₹72.28 crore to ₹2,110 crore from ₹2,038 crore in Q1 FY25. Cost of materials consumed was ₹524.35 crore, up ₹52.87 crore, employee cost was ₹618.59 crore, up ₹38.90 crore, and other expenses were ₹514.37 crore, up ₹21.78 crore. Depreciation rose ₹12.73 crore to ₹197.28 crore, while finance costs fell ₹20.81 crore to ₹86.15 crore.

Other income was ₹58.40 crore, up ₹38.86 crore from ₹19.54 crore. The company recorded an exceptional gain of ₹20.74 crore, described in the press release as one-time insolvency proceeds from a claim filed against a third-party supplier in the complex hospital generics business, with the NCLT in November 2023. Tax was ₹2.68 crore, down ₹40.88 crore from ₹43.56 crore. Profit before tax was a loss of ₹97.59 crore, against a loss of ₹67.48 crore a year earlier.

The press release cited inventory destocking in one large CDMO on-patent commercial product as the reason for the year-on-year revenue decline, adding that excluding that impact, revenue growth was in early double digits. It also said the margin was affected by inventory destocking, partly offset by improved profitability of overseas facilities in the CDMO business. It also reported slower growth in inhalation anaesthesia due to the phasing of institutional orders and lower intrathecal therapy sales due to the timing of shipment at the end of June.

How has Piramal Pharma done over the last 8 quarters?

Revenue over the last eight quarters reached its highest level in Q4 FY25 at ₹2,754.07 crore and its lowest in Q2 FY24 at ₹1,911.38 crore, before falling to ₹1,933.71 crore in Q1 FY26. The EBITDA margin peaked at 20.8% in Q4 FY24 and fell to a low of 5.5% in Q1 FY26, after standing at 10.5% in Q1 FY25 and 20.4% in Q4 FY25.

Net profit after tax was a loss of ₹88.64 crore in Q1 FY25, turned to a profit of ₹22.59 crore in Q2 FY25, slipped to ₹3.68 crore in Q3 FY25 and rose to ₹153.50 crore in Q4 FY25 before returning to a loss of ₹81.70 crore in Q1 FY26. The sequence shows revenue and profit moving in steps rather than in a steady direction, with the most recent quarter marking a fall from the Q4 FY25 peak in both revenue and profit.

What else did the company announce?

The board of Piramal Pharma met on 28 July 2025 and approved the unaudited financial results, on both a standalone and consolidated basis, for the quarter ended 30 June 2025. The meeting ran from 5:30 pm to 9.10 pm. The filing enclosed the unaudited financial results and limited review reports by the statutory auditors, and the company said it would publish the results in newspapers under Regulation 47 of the SEBI Listing Regulations.

The same-day filings also included the press release and investor presentation for the Q1 FY26 results, which were made available on the company's website. No dividend, fund raise or appointment was disclosed in the same-day filings provided.

What did Piramal Pharma's management say?

Nandini Piramal, chairperson, said excluding the impact of destocking in one large on-patent commercial product, the CDMO business delivered mid-teen revenue growth during the quarter with an improvement in EBITDA margin, especially at overseas sites. Management said growth in the CHG business is expected to pick up for the remaining part of the year given the timing of some institutional orders, and that the consumer business delivered growth in line with expectations, driven by power brands and e-commerce sales.

Management said the company believes it is on track to achieve its FY2030 aspirations of becoming a US$2bn revenue company with a 25% EBITDA margin and high-teen ROCE. On the call, the company flagged incomplete and inconsistent recovery in funding for emerging biopharma companies, leading to prolonged customer decision-making and slower growth in early-stage development projects, and said growth in intrathecal therapy is expected to recover in Q2 FY26. The earnings call was held on 29 July 2025, and the transcript was filed on 31 July 2025.

How did Piramal Pharma shares react?

By the next day's close, the stock was 1.6% lower from its pre-results close, against a 0.9% rise for the industry median, leaving it 2.5 percentage points behind the sector. By the fifth session, the stock was 5.4% lower from the pre-results close, compared with a 2.0% fall for the industry median, a gap of 3.4 percentage points. Over one month, the stock was 10.4% lower. Earlier results-day moves were 5.2% lower on 14 May 2025, 10.0% higher on 28 January 2025, 16.1% higher on 23 October 2024, 0.4% higher on 26 July 2024 and 1.6% higher on 10 May 2024.

How did other Pharmaceuticals companies do?

Among Pharmaceuticals companies, 151 were compared with a median revenue growth of 9.5%. Of the other companies, 43 grew slower than Piramal Pharma and 106 grew faster. Profit was higher at 91 peers, compared with 157 peers assessed for profit. The peer figures are as of 6 November 2026.