IPCA Laboratories Limited , a leading Indian pharmaceutical company, has announced robust financial results for the second quarter of fiscal year 2026, demonstrating significant growth across key metrics.

Financial Highlights

The company reported a strong performance for Q2 FY26:

• Standalone net total income increased by 7% to Rs. 1,952.24 crore
• Consolidated net total income rose by 9% to Rs. 2,584.36 crore
• Standalone net profit surged by 25% to Rs. 304.74 crore
• Consolidated net profit grew by 23% to Rs. 282.57 crore

Segment-wise Performance

IPCA Laboratories showed growth in various segments:

• Indian formulations income increased by 8% to Rs. 1,018.90 crore
• Exports income rose by 7% to Rs. 813.65 crore
• API (Active Pharmaceutical Ingredients) segment saw a significant 28% growth

Profitability Improvements

The company demonstrated improved operational efficiency:

• Standalone EBITDA margin (before forex gain/loss, other income, and exceptional items) expanded to 25.46% in Q2 FY26 from 22.89% in Q2 FY25
• Consolidated EBITDA margin (before forex gain/loss, other income, and exceptional items) improved to 21.68% in Q2 FY26 from 19.10% in Q2 FY25

Revenue Breakdown

Management Commentary

Premchand Godha, Executive Chairman of IPCA Laboratories, stated, "We are pleased with our performance in Q2 FY26, which reflects our strong market position and operational efficiency. The growth in our domestic formulations and export segments, particularly in APIs, demonstrates the resilience of our business model."

Future Outlook

While IPCA Laboratories has not provided specific guidance for the future, the company's strong performance in Q2 FY26 positions it well for continued growth. The significant increase in API exports and the improvement in EBITDA margins suggest that the company is effectively managing its costs and expanding its market presence.

IPCA Laboratories Ltd , a prominent player in the Indian pharmaceutical sector, has announced a strategic move to streamline its operations. The company's board has approved the sale of its drug intermediates and active pharmaceutical ingredients (APIs) manufacturing unit to Suleshvari Pharma Private Limited for ₹22.15 crore.

Transaction Details

The sale involves the transfer of IPCA Laboratories' manufacturing facility located at GIDC Industrial Estate, Ankleshwar, Gujarat. This slump sale includes all rights, title, and interest in the leasehold land, factory buildings, plant & machinery, employees, and associated business.

Financial Impact

Despite the divestment, IPCA Laboratories has stated that this transaction will not have any material impact on the company's overall business and financials.

Strategic Rationale

The decision to sell this manufacturing unit aligns with IPCA Laboratories' ongoing initiative to optimize its manufacturing facilities. By reducing the number of smaller manufacturing units, the company aims to minimize operational and administrative costs, potentially improving overall efficiency.

About the Buyer

Suleshvari Pharma Private Limited, the acquiring entity, is a company incorporated under the Companies Act, 2013. It operates in the same sector as IPCA Laboratories, focusing on the development, manufacture, distribution, and sale of drug intermediates and bulk drugs. Importantly, Suleshvari Pharma is not related to IPCA Laboratories' promoter or promoter group, and the transaction does not fall under related party transactions.

Regulatory Compliance

The sale is subject to necessary approvals, including consent from GIDC for the transfer of leasehold rights on the land. IPCA Laboratories has confirmed that this transaction is outside the scheme of arrangement and complies with SEBI's Listing Obligations and Disclosure Requirements (LODR) Regulations.

This strategic move by IPCA Laboratories reflects the company's focus on operational efficiency and cost optimization in an increasingly competitive pharmaceutical landscape.