Emcure Pharmaceuticals sees 22.8% revenue growth amid strong overseas sales and pipeline progress, with expectations of stabilising domestic growth and advancing biologics innovation.
Emcure Pharmaceuticals said revenue rose 22.8% year on year to ₹2,580 crore in the quarter ended June, underpinned by broad-based strength across its overseas markets and a solid contribution from its Indian business. The Mumbai-based drugmaker also reported EBITDA of ₹508 crore, up 25.8%, while profit after tax climbed 35.4% to ₹292 crore, reflecting improved operating leverage even as gross margin eased because of a heavier mix of lower-margin export business.
International sales were the standout, rising 34.2% as Europe, Canada and the rest of the world all delivered strong gains. In a conference call, management said the overseas business benefited in part from anti-retroviral drugs, which made up about two-thirds of rest-of-world revenue in the quarter, and it expects that segment to settle at roughly half to 55% of the mix over the full year. Executives also said currency movements accounted for about 6% to 7% of the reported growth, implying a lower constant-currency increase than the headline figure.
The domestic franchise was more restrained. Excluding in-licensed products, Emcure said organic growth in India was about 6% to 7%, below the broader market, although management stressed that the numbers were not flattered by channel fill. The company said new launches contributed 1% to 2% of domestic growth, with pricing adding 4% to 5% and the rest coming from volume. Chief executive Satish Mehta said the business is moving through the final stage of its post-Zuventus restructuring, with management expecting growth to move closer to the industry rate from the current quarter and to outpace it in the second half of FY27 on easier comparisons.
The company also pointed to pipeline progress, including more than 15 product approvals in the quarter and full ownership of its biotech arm, Genova. Management said research and development spending should stay in the 4% to 5% range of revenue this year, supporting work in biologics, complex injectables and novel delivery systems. On semaglutide, Emcure said the Canadian filing is due this quarter, though the launch has been delayed by a partner issue. Chief financial officer Tajuddin Shaikh said net debt rose because of working-capital needs and acquisition-related payouts, but the company still expects to become net cash by the end of FY28.
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