Ajanta Pharma (AJANTPHARM) Q1 26/27 earnings summary

Executive summary

• Q1 FY 2027 revenue rose 25% year-over-year to INR 1,626 crore, with profit after tax up 31% to INR 334 crore.

• Interim dividend of INR 32 per share declared, totaling INR 400 crore payout.

• Branded generics contributed 66% of total revenue, with strong growth in India, US, and Africa segments.

• US generics revenue surged 57% year-over-year, driven by new launches and approvals.

• Board approved unaudited consolidated and standalone results for the quarter ended 30 June 2026.

Financial highlights

• Gross margin at 80% for Q1 FY27, up 100 bps sequentially; EBITDA margin at 28% (adjusted, ex-FX loss).

• Adjusted EBITDA (excluding forex loss): INR 454 crore, up 21% year-over-year.

• EPS for the quarter was INR 26.75 (basic), up from INR 20.44 in Q1 FY 2026.

• ROCE at 37% and RONW at 28% for the quarter.

• Working capital efficiency improved: receivable days down to 94, inventory days to 72.

Outlook and guidance

• Full-year revenue growth targeted in high teens for overall business, with India and Asia guided for mid- to high-teens growth.

• Africa branded and institutional businesses expected to deliver high double-digit growth.

• U.S. business guidance: mid-single-digit growth for FY 2027, with price erosion expected.

• Focus on new product launches, expanding into new countries and therapies, and 8-12 ANDA filings annually in the US.

• EBITDA margin guidance at 27% ±100 bps, excluding forex loss; CapEx for FY 2027 expected at INR 400 crore.