Gland Pharma Q1 FY27 result: Net profit jumps 47% YoY; CDMO business contributed 50% of total revenues

The pharmaceutical firm’s revenue from operations grew 19.5% to ₹1,800 crore in the June quarter, as against ₹1,506 crore registered in the year-ago period.

The company's operating profit, also known as earnings before interest, taxes, depreciation, and amortisation (EBITDA), jumped 33% to ₹489 crore as compared to ₹368 crore in the corresponding quarter of the previous fiscal year.

Its EBITDA margin expanded to 27.16% in the reporting quarter from 24.44% in Q1 FY26.

For Q1 FY27, the firm’s total research and development (R&D) expenses were at ₹77 crore, representing 4% of consolidated revenue. The R&D expenditure was mainly focused on complex product development and the number of filings.

Gland Pharma said it launched four molecules in the US during the quarter, including multi-vitamin and leucovorin calcium. The company also filed three ANDAs and received seven approvals in Q1 FY27.

It added that its cumulative ANDA filings in the US stood at 389, of which 342 have been approved while 47 remain pending.

Commenting on the results, Gland Pharma Executive Chairman Srinivas Sadu said, “Our strong start to FY27 reflects the successful execution of our CDMO strategy and the resilience of our B2B business model. Growth was driven by recent product launches from CDMO portfolio and strong customer demand for our diversified product mix. We continue to strengthen our growth platform through a robust CDMO pipeline including investments in differentiated technologies and capacity expansions, which position us well for sustainable long-term growth.”

Gland Pharma’s revenue growth was led by strong performance in the US market, where revenue rose 32% YoY to ₹981 crore, and Europe, which grew 20% to ₹395 crore.

The India business recorded a 12% yearly increase to ₹67 crore, while the rest of the world segment grew 2% to ₹304 crore. However, revenue from Canada, Australia and New Zealand declined 28% YoY to ₹53 crore during the quarter.

The firm also said its CDMO business contributed 50% of total revenues and recorded a 20% YoY growth in Q1 FY27.

Gland Pharma said it has entered into a CDMO partnership with a global pharmaceutical company, with the annualised revenue potential estimated at around $90–100 million once all products are commercialised.

The company added that technology transfer activities are planned to be completed within two years, with revenues expected to commence from calendar year 2029.

The B2B segment also accounted for 50% of revenues, growing 19% year-on-year during the quarter. The company added that this includes B2C revenue of ₹15 crore in Q1 FY27, compared with ₹14.7 crore in Q1 FY26 and ₹14.7 crore in Q4 FY27.

On Monday, Gland Pharma shares settled at ₹2,667.30 apiece on the National Stock Exchange, rising 2.55%. The earnings, however, came after market hours.