Cipla shares soars 8% as India business delivers double-digit growth; what analysts said

At around 1:14 PM, the stock was trading 6.76% higher at ₹1,417.40 per equity share.

The scrip has gained 4% in the past week and 17% over the month. However, on a year-to-date basis, it has lost 5%.

While the share hit a 52-week high of ₹1,673 apiece on October 23, 2025, it touched a year’s low of ₹1,165.70 on April 2, 2026.

Cipla Q4 results

The pharma major reported a 54.60% year-on-year (YoY) decline in its consolidated net profit to ₹554.64 crore in Q4 FY26, compared to posting a 54.60% year-on-year (YoY) decline in its consolidated net profit to ₹554.64 crore.

During the quarter and year ended 31st March 2026, the group recorded an impairment of ₹42.02 crore in the financial results in respect of associates, due to changes in certain business conditions and market dynamics, Cipla said in a regulaotry filing dated May 13.

Its revenue from operations dropped 2.8% YoY to ₹6,541.2 crore during the quarter under review, as against ₹6,729.69 crore in the January-March quarter of the 2024-25 fiscal year (Q4 FY25).

At an operational level, its EBITDA (earnings before interest, tax, depreciation and amortisation), also known as operating profit, stood at ₹997 crore in Q4 FY26, marking a 35.17% YoY decline from ₹1,538 crore in the same period of the preceding year.

Its EBITDA margin contracted to 15.2% for the reporting quarter from 22.8% YoY.

India business delivers double-digit growth

Cipla’s One India business grew at a robust 15% YoY with all three segments delivering double-digit growth in Q4 FY26.

The branded prescription business sustained growth momentum in key chronic therapies, trade generics continued their steady growth, and Cipla Health Ltd (CHL) anchor brands continued to grow.

North America business receives approval for first AB-rated gVentolin

Its North America business delivered an annual revenue of $780 million, bolstered by demand in differentiated assets and a steady base business.

During the year, the business advanced its portfolio with several key assets, including Liraglutide, Nintedanib, and Dapagliflozin. Notably, the business received regulatory approval for the first AB-rated gVentolin with CGT, representing the first commercial Metered Dose Inhaler (MDI) product to be manufactured from its US facility.

Africa business

It's one Africa business delivered a strong performance, achieving a healthy annual growth of 7% YoY in USD terms. In the private market, its secondary growth outpaced of 6.6% the market growth of 4.8%, propelled by an uptick in key therapies, new launches, and the expansion of the over-the-counter (OTC) portfolio.

Emerging Markets and Europe

The business surpassed the $400 million annual revenue milestone, driven by expansion across both direct-to-market (DTM) and business-to-business (B2B) categories, alongside consistent margin stability.

Dividend recommended

Cipla’s board of directors also recommended a final dividend of ₹13 per equity share, with a face value of ₹2 each for the financial year ending 31st March, 2026.

“The dividend is subject to the approval of the shareholders at the ensuing annual general meeting of the Company,” the firm added.

Furthermore, it fixed Friday, June 5, 2026, as the record date for the same.

What the CEO said

Commenting on the earnings, Achin Gupta, MD and Global CEO of Cipla, said: “I am pleased to share that we continue to make considerable progress across our focused markets. In FY26, we recorded our highest-ever yearly revenue of ₹28,163 crore, reflecting the strength of our core businesses despite certain markets facing near-term challenges.”

Its One-India business surpassed the ₹12,500 crore annual revenue milestone. Key therapies in the Branded Prescription business delivered robust double-digit growth, the Trade Generics business sustained the strong growth momentum and the anchor brands of the Consumer Health business maintained a leadership position, he stated.

“The US business posted an annual revenue of $780 million, supported by demand in our differentiated portfolio and a steady base business. In One Africa, we recorded a healthy annual growth of 7% YoY in USD terms, driven by firm performance across key markets. Emerging Markets and Europe crossed the $400 million+ annualised revenue threshold on the back of a deep market focus strategy,” Gupta said.

He added that going ahead, Cipla’s focus will be on growing its key markets, further building its flagship brands, investing in its future pipeline, and focusing on resolutions on the regulatory front.

What analysts said

The company’s management guided for a US exit run-rate of $1 billion in FY27, a material step-up from the current approximate $155 million quarterly run-rate. Cipla’s pipeline looked promising, with gVentolin, which is set to launch soon, gAdvair (1H), gSymbicort (2H), and select peptides, including a material one.

Cipla has a total market capitalisation of ₹1.15 lakh crore as of May 14, 2026, according to data on the NSE.