Glenmark Pharmaceuticals (GLENMARK) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 consolidated revenue was ₹42,473.28 million; like-for-like growth was ~20%. Adjusted PAT was ₹4,852 million, while reported PAT was ₹2,638.30 million after exceptional items.

• FY27 guidance remained on track, supported by India growth, North America launches and Emerging Markets performance; management expects H2 operating leverage and stronger cash generation.

Financial highlights

• Q2 consolidated revenue from operations was ₹42,473.28 million versus ₹60,468.70 million YoY; H1 revenue was ₹82,658.11 million versus ₹93,113.10 million.

• Adjusted Q2 PAT was ₹4,852 million with an 11.4% margin; EBITDA was ₹8,638 million with a 20.3% margin. Core EBITDA margin excluding IGI was 21%.

• Consolidated Q2 PAT was ₹2,638.30 million versus ₹6,104.32 million YoY; H1 PAT was ₹7,466.58 million versus ₹6,574.05 million.

• Q2 R&D expense was ₹3,449 million, including ~₹1,870 million for IGI; Q2 CapEx was ₹2,621 million.

• Standalone Q2 revenue was ₹24,758.20 million and PAT ₹4,348.94 million; H1 revenue was ₹49,108.13 million and PAT ₹11,705.31 million.

Outlook and guidance

• Management expects gross debt to reach zero by FY27-end, H2 cash generation of ₹700–800 crore and year-end cash of ₹1,200 crore.

• Margin trajectory is expected to improve YoY, supported by H2 benefits from front-loaded field-force and oncology investments and a greater branded and innovative mix.

• Emerging Markets are expected to grow 15%–20% consistently over the next few years; oncology products are forecast to contribute $30–40 million next year.

• U.S. plans include Flovent 110 and ipratropium launches toward FY-end; three to four Monroe products are targeted for commercialization next year.

• Oncology franchise sales are projected at $100–150 million in FY2030 and peak sales of $400–500 million in 2035–36 for three assets, excluding ISB 2001.