Gland Pharma shares jump 4% after Q2 profit jumps 58%, revenue rises 23% YoY

Shares of Gland Pharma gained 3.89% to Rs 3,254.60 during Monday's trading session after the pharmaceutical company reported a strong performance for the September 2026 quarter, with revenue rising 23% year-on-year (YoY) and net profit surging 58%.

The stock also touched a fresh 52-week high of Rs 3,345 during the session.

Gland Pharma reported a 23% YoY increase in its Q2 revenue from operations to Rs 1,834 crore, from Rs 1,487 in the corresponding quarter of the previous year. Net profit for the September 2026 quarter rose 58% YoY to Rs 290.8 crore, compared with Rs 183.7 crore in the same quarter last year.

The company's adjusted EBITDA increased 50% year-on-year, while the adjusted EBITDA margin stood at 27%. Its profit after tax (PAT) margin also expanded by approximately 350 basis points during the quarter.

Business segment performance

Gland Pharma's CDMO business contributed 45% to overall revenue and recorded 31% year-on-year growth in Q2 FY27. Meanwhile, its Critical Injectables business accounted for the remaining 55% of revenue, registering growth of 18% during the quarter.

The company continued to invest in research and development, with total R&D expenditure reaching Rs 107.7 crore in Q2 FY27, equivalent to 6% of consolidated revenue. This was higher than Rs 81.7 crore reported in the year-ago quarter. The expenditure was primarily directed towards complex product development and increasing the number of regulatory filings.

During the September quarter, Gland Pharma launched four molecules in the US market: Sugammadex, Erythromycin, Fluorouracil and Atropine Sulfate.

The company also filed 11 Abbreviated New Drug Applications (ANDAs) and received 10 approvals during Q2 FY27. With these additions, its cumulative US ANDA filings reached 399, of which 350 had been approved and 49 were awaiting approval.

Management commentary

Commenting on the quarterly performance, Srinivas Sadu, Executive Chairman of Gland Pharma, said the company delivered another quarter of strong growth, supported by improved execution across its businesses. He highlighted the 31% growth in the CDMO segment, driven by expanding customer engagements, strategic partnerships and a strong opportunity pipeline.

He also noted that continued investments in manufacturing capabilities, innovation and capacity expansion would help the company capitalise on increasing global outsourcing opportunities and create long-term shareholder value.

Gland Pharma share price

Gland Pharma shares have gained approximately 30% over the past three months. The stock currently commands a market capitalisation of around Rs 51,928 crore.

On the technical front, according to Trendlyne data, the stock is trading above seven of its eight simple moving averages (SMAs), indicating strength across most of its tracked moving-average indicators.

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