GlaxoSmithKline Pharmaceuticals Limited (GSK Pharma) reported a 2.6% year-on-year decline in revenue for the second quarter of fiscal year 2026, primarily due to supply chain disruptions and GST reform impacts. Despite these challenges, the company managed to improve its EBITDA margins and maintain market share in key segments.

Financial Performance

GSK Pharma's Q2 FY2026 financial results showcase a mixed performance:

Key Highlights

• Supply Chain Disruption: A fire incident at a key contract manufacturing organization (CMO) impacted revenue by approximately ₹40.00 crores.
• GST Reform Impact: Transitionary effects of GST reforms resulted in a ₹30.00-32.00 crores revenue impact.
• Margin Improvement: Despite revenue challenges, EBITDA margins improved by 250 basis points to 34.4%, driven by cost savings and better product mix.
• Market Share: The company maintained its market share at 27.6%.
• Oncology Launch: GSK Pharma launched its oncology business on August 15, 2025, introducing Jemperli for endometrial cancer and Zejula for ovarian cancer.

Segment Performance

• General Medicines: Faced headwinds due to supply issues and softer market growth in acute segments.
• Vaccines: Demonstrated strong double-digit growth in both pediatric and adult segments.
• Specialty Products: Nucala and Trelegy grew over 20%.

Management Commentary

Bhushan Akshikar, Managing Director of GSK Pharma, stated, "Moving forward from Q3 onwards, we definitely expect to not only stabilize but start building the inventories. We have very robust business continuity plans in place."

Juby Chandy, Chief Financial Officer, added, "We will be able to sustain the margins. We are seeing stable prices on raw materials and hence we will be able to sustain the gross margins."

Future Outlook

• The company remains committed to its double-digit growth ambition for the coming quarters.
• Supply constraints are expected to be resolved from Q3 onwards.
• GSK Pharma continues to focus on expanding its presence in specialty areas, including oncology.
• The company is participating in 16 global trials of its assets in India, aiming to accelerate the launch of innovative medicines and vaccines.

As GSK Pharma approaches its 102nd year of operations in India, it continues to navigate challenges while maintaining its focus on growth and innovation in the pharmaceutical sector.

GlaxoSmithKline Pharmaceuticals Limited (GSK India) has reported a competitive performance for the second quarter of fiscal year 2025-26, with a strategic focus on strengthening its vaccine and oncology portfolios. The company's financial results, released on November 6, 2025, highlight its efforts to expand adult immunization and launch next-generation respiratory and oncology therapies.

Financial Highlights

For Q2 FY26, GSK India reported:

The company's revenue growth was impacted by supply constraints and transitory effects of GST changes. However, GSK India demonstrated strong profitability with sustained leadership in anti-infectives, dermatology, and vaccines.

Strategic Focus Areas

GSK India is concentrating on three key areas to drive growth:

1. Focus on Growth: Implementing sharper strategies for key brands to gain market share in General Medicines and Established Vaccines.

2. Innovation: Scaling the Oncology division as the next frontier of innovation, driving access through cutting-edge therapies and enhancing patient experience.

3. Agility: Creating adult immunization as a category for Shingles vaccines.

Portfolio Performance

• General Medicines: Key brands delivered competitive performance, with many outperforming their represented markets and gaining share.
• Vaccines: The Pediatric Vaccines portfolio saw 13% growth, led by brands such as Boostrix, Varilrix, Infanrix, Havrix, and Fluarix.
• Shingrix: The adult vaccine showed strong performance, driven by partnerships with healthcare professionals and organizations, and leveraging digital initiatives.
• Oncology: GSK's entry into the Oncology segment with the launch of specialized therapies Jemperli (Dostarlimab) and Zejula (Niraparib) has been well-received by healthcare professionals.

Market Position

GSK India maintains a strong market position:

• The company's key promoted brands hold a 27.6% market share in their represented markets.
• GSK continues to lead the overall vaccine market with established products.

Innovation and Digital Engagement

GSK India is focusing on innovation-led brand equity and digital medical engagement:

• Approximately 400,000 unique healthcare professionals were reached through face-to-face and digital interactions.
• The company recorded about 5 million touchpoints (face-to-face and digital) with healthcare professionals.

Oncology Portfolio Expansion

GSK's oncology portfolio is showing promising early results:

• Jemperli is indicated for second-line monotherapy in patients with dMMR/MSI-H Endometrial Cancer.
• Zejula is used as maintenance monotherapy for patients with advanced or recurrent Ovarian Cancer.
• These products address critical unmet needs in gynecological cancers in India.

Outlook

Bhushan Akshikar, Managing Director of GSK India, stated, "Within two months of launch, our Oncology portfolio is impacting patients by addressing a critical unmet need in gynaecological cancers in India. Together, these assets represent meaningful progress in women's cancer care. Moving ahead, we remain focused on ensuring that cutting-edge innovative treatments are both available and accessible to those who need them the most, supported by our comprehensive patient support and financing initiatives."

GSK India continues to evolve its culture to ensure its people develop, thrive, and do the right thing. The company's focus on innovation, agility, and strategic growth in key areas positions it well for future challenges in the competitive pharmaceutical landscape.

Additional Developments

The Board of Directors has approved an investment of ₹1.74 crore for a Solar Power project at the company's Nashik plant under the Group Captive mechanism. This move aligns with GSK's commitment to sustainability and optimizing energy costs.

As GSK India navigates the evolving healthcare landscape, its strategic initiatives in oncology, vaccines, and digital engagement are expected to play crucial roles in shaping its future growth trajectory.