Mankind Pharma (MANKIND) Q2 25/26 earnings summary

Executive summary

• Q2 FY26 consolidated revenue grew 21% year-over-year to INR 3,697 crore, with H1 FY26 revenue at INR 7,268 crore, driven by strong chronic segment and BSV consolidation despite GST and monsoon disruptions.

• EBITDA margin for Q2 FY26 was 25%, with reported EBITDA at INR 924 crore, up 8.7% year-over-year.

• Profit after tax for Q2 FY26 decreased 21.3% year-over-year to INR 520 crore, mainly due to higher finance and depreciation costs and non-recurring items.

• Board approved unaudited standalone and consolidated results for Q2 and H1 FY26, reflecting BSV acquisition and OTC business transfer.

• Cash and cash equivalents as of September 30, 2025, stood at INR 327.77 crore (consolidated).

Financial highlights

• Q2 FY26 consolidated revenue: INR 3,697 crore (21% YoY growth); H1 FY26: INR 7,268 crore (23% YoY growth).

• Gross margin for Q2 FY26 was 71.3%, down 20 bps YoY due to GST-related discounts.

• Standalone net profit for Q2 FY26 was INR 458.90 crore; consolidated net profit was INR 520.18 crore.

• Cash flow from operations in H1 FY26 rose 44% YoY to INR 1,637 crore.

• Capex for Q2 FY26 was INR 163 crore, 4.4% of revenue.

Outlook and guidance

• Management expects growth recovery in H2 FY26 as GST-related disruptions subside, with sustainable long-term growth led by base business, specialty chronic, OTC, and BSV portfolio.

• BSV full-year growth guidance maintained at 18%-20%, domestic at 12%-15%+, and international at 18%-20%+.

• EBITDA margin guidance for FY26 remains at 25%-26%, likely at the lower end.

• R&D spend guidance maintained at 2.5%-3% of sales for the year.

• Management expects no material impact from ongoing income tax proceedings.