Shares of Aurobindo Pharma fell following the US FDA’s warning to its subsidiary Eugia Pharma Specialities, though the company reports robust quarterly profits and maintains current US shipments remain unaffected.
Aurobindo Pharma shares fell after the company disclosed that the US Food and Drug Administration had issued a warning letter to Unit-I of Eugia Pharma Specialities, its wholly owned subsidiary. The plant, a formulation manufacturing facility, had already been classified as Official Action Indicated after an earlier inspection, and the latest step raises fresh compliance pressure even as the company insists there is no disruption to current shipments to the United States.
In a filing, Aurobindo said Unit-I contributes about 2% of group revenue and that existing supplies to the US market remain unaffected. The company added that it is working with the regulator and continuing to strengthen compliance. The warning letter follows the earlier inspection of the facility in February, when the FDA identified four observations and later communicated the OAI status in May, according to disclosures cited by market reports.
The regulatory development came alongside a strong set of first-quarter numbers. Aurobindo reported a 25% rise in consolidated net profit to Rs 1,032 crore for the quarter ended June 30, 2026, while revenue reached a record Rs 9,150 crore, up 16% from a year earlier. K Nithyananda Reddy, vice-chairman and managing director, said the company had started FY27 with “healthy growth” across its businesses, supported by disciplined execution and a diversified product portfolio.
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