Emcure Pharmaceuticals (EMCURE) Q2 25/26 earnings summary

Executive summary

• Achieved 13.4% year-over-year revenue growth to INR 2,270 crore and record quarterly profit of INR 251 crore, with 24.7% PAT growth in Q2 FY2026.

• Maintained strong momentum across all business segments, with domestic and international markets both outperforming industry growth rates.

• Strategic partnership with Novo Nordisk for Semaglutide (Poviztra) positions the company as an early entrant in India's obesity market.

• Completed full acquisition of Zuventus, enabling full business consolidation and expected backend synergies.

• EBITDA for the quarter reached INR 439 crore, up 15.2% year-over-year, with EBITDA margin at 19.3%.

Financial highlights

• Revenue from operations grew 13.4% year-over-year to INR 2,270 crore.

• Domestic business up 10.6% year-over-year to INR 1,031 crore; international business up 15.8% to INR 1,238 crore.

• Europe revenue rose 22.7% to INR 444 crore; Canada up 17.5% to INR 348 crore; emerging markets up 8.6% to INR 446 crore.

• Gross margin at 60.8% (vs. 60.6% last year); EBITDA margin at 19.3% (vs. 19% last year).

• PAT at INR 251 crore, up 24.7% year-over-year; PAT margin for Q2 FY26 was 11.1%.

Outlook and guidance

• On track to deliver high-level guidance set at the year's start, with expectations to grow above industry rates.

• Margin improvement of 150 basis points expected for the year, excluding impact from new in-licensing deals.

• Debt-free target shifted to end of next year (18-24 months) due to recent acquisitions.

• Focus remains on portfolio expansion in key markets through in-licensing and in-house development.

• Second half of the year expected to show stronger operating margin improvement versus last year.