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Neuland Laboratories (524558) investor relations material

Neuland Laboratories Q2 25/26 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q2 25/26 earnings summary7 Nov, 2025

Executive summary

  • Q2 FY2026 revenue reached INR 516 crore, a 63.7% year-over-year increase, primarily driven by commercial CMS projects and improved operating leverage.

  • EBITDA margin improved to 30.4% with EBITDA at INR 156.9 crore, reflecting a favorable business mix and significant YoY growth.

  • Profit after tax rose to INR 96.5 crore from INR 32 crore in Q2 FY2025; EPS at INR 75.18.

  • Customer engagement remains strong across geographies, with a reputation for agility leading to new and expanded business opportunities, especially in CDMO and generic APIs.

  • Unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2025, were approved by the Board on November 7, 2025.

Financial highlights

  • Q2 FY26 total income was INR 516.1 crore, up 63.7% YoY; EBITDA at INR 156.9 crore, up 138.8% YoY; PAT at INR 96.5 crore, up 201.6% YoY.

  • Gross margin for the quarter was 60.1%, up from 56.3% in Q2 FY2025.

  • Working capital days stood at 155; net debt at -INR 6.6 crore, indicating a strong net cash position.

  • CapEx was INR 91 crore for the quarter and INR 170.7 crore for the first half of the year.

  • Basic and diluted EPS for Q2 FY26 was INR 75.49, compared to INR 25.60 in Q2 FY25.

Outlook and guidance

  • Management expects FY2026 to be a year of strong growth, with momentum from top CMS molecules and margin expansion likely to continue.

  • Commercialization of another molecule is anticipated this year, with new business expected over the next 12-18 months.

  • No explicit quarterly guidance provided, but optimism for sustained growth remains.

  • The company continues to focus on APIs and allied services as its primary business segment.

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