Eris Lifesciences (ERIS) Q2 25/26 earnings summary

Executive summary

• Domestic branded formulations revenue grew 10% year-over-year in Q2 FY26, outpacing the Indian pharma market, with consolidated revenue up 7% and PAT up 39% year-over-year.

• Biocon segment margins improved to 32% in Q2, and DBF EBITDA margin expanded to 37.6%.

• International business delivered INR 83 crore revenue in Q2, with a 33% margin, though revenue declined 1% year-over-year due to EU-CDMO validation.

• Significant progress in European CDMO business, with an order book of INR 700-800 crore at Q2 end and first European CDMO order received.

• Unaudited standalone and consolidated financial results for Q2 and H1 FY26 were approved, with unmodified auditor opinions and key director re-appointments.

Financial highlights

• Q2 FY26 consolidated revenue: INR 792 crore; H1: INR 1,565 crore.

• Q2 EBITDA: INR 288 crore; H1 EBITDA: INR 565 crore.

• Q2 PAT: INR 134 crore, up 39% year-over-year; H1 PAT: INR 260 crore, up 40%.

• Basic EPS for Q2 FY26 was INR 8.82; cash EPS: INR 13.

• Interest expense reduced by 17% year-over-year in Q2.

Outlook and guidance

• Full-year revenue growth visibility at 12%, 50% above expected market growth.

• EBITDA growth expected at 15% for the year, with margins above 37%.

• International business revenue guidance for FY26: INR 375-390 crore; long-term targets of INR 700 crore by FY2028 and INR 1,000 crore by FY2030.

• Net debt-to-EBITDA ratio targeted below 1.5x by December 2026.

• Ongoing focus on core pharmaceuticals segment and operational optimization.