Gland Pharma (GLAND) Q1 26/27 earnings summary

Executive summary

• Achieved record quarterly revenue of ₹18,003 million in Q1 FY27, up 20% year-over-year, with PAT rising 47% to ₹3,170 million and PAT margin at 18%.

• Growth driven by robust CDMO and B2B performance, each contributing 50% of revenue, supported by new product launches, increased volumes, and improved capacity utilization.

• Adjusted EBITDA rose 37% year-over-year to ₹5,102 million, with margin improving to 28%.

• R&D investments focused on complex product development and filings, supporting long-term growth.

• Strategic agreements and collaborations signed, including a major global supply deal and partnerships for sterile APIs and liposomal products.

Financial highlights

• Revenue from operations: ₹18,003 million (up 20% YoY, up 3% QoQ); gross profit: ₹11,759 million (65% margin).

• Adjusted EBITDA: ₹5,102 million (28% margin, up 37% YoY); reported EBITDA: ₹4,930 million (27% margin).

• PAT: ₹3,170 million (up 47% YoY, 18% margin).

• R&D expenditure: ₹772 million, 4% of revenue, up 16% YoY.

• Cash and cash equivalents: ₹35,466 million; net cash position: ₹32,939 million.

Outlook and guidance

• Targeting 15% CAGR over the next four years, with potential to reach 20% depending on contract execution and capacity approvals.

• CDMO and B2B expected to remain balanced at 50/50 for next two years; CDMO may become dominant by 2030.

• Commercialization of new CDMO partnerships expected to contribute significant revenue from 2029.

• Cenexi guidance maintained at near EUR 200 million revenue and high single-digit margins for FY 2027.

• Focus on complex injectables and co-development partnerships to drive future growth.