Neuland Laboratories Posts Impressive Q2 Results with Nearly Tripled Net Profit

Neuland Laboratories , a prominent player in the pharmaceutical industry, has reported robust financial results for the second quarter, showcasing significant growth across key metrics.

Financial Highlights

Metric	Q2 (Current Year)	Q2 (Previous Year)	Year-over-Year Change
Net Profit	₹969.00 million	₹328.00 million	+195.40%
Revenue	₹5.15 billion	₹3.10 billion	+66.10%
EBITDA	₹1.55 billion	₹622.00 million	+149.20%
EBITDA Margin	30.25%	20.02%	+10.23 percentage points

Strong Performance Across the Board

Neuland Laboratories has demonstrated remarkable growth in the second quarter, with its net profit nearly tripling compared to the same period last year. The company's net profit surged to ₹969.00 million, up from ₹328.00 million in the corresponding quarter of the previous year, marking a substantial increase of 195.40%.

Revenue Growth

The company's revenue also saw a significant uptick, rising to ₹5.15 billion from ₹3.10 billion year-over-year, representing a robust growth of 66.10%. This considerable increase in revenue indicates strong demand for Neuland's products and services in the market.

Improved Operational Efficiency

Neuland Laboratories' operational efficiency showed marked improvement, as evidenced by its EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) performance. The EBITDA rose to ₹1.55 billion, compared to ₹622.00 million in the same quarter of the previous year, reflecting a substantial increase of 149.20%.

Enhanced Profitability

The company's profitability metrics also showed significant enhancement. The EBITDA margin expanded to 30.25% from 20.02% year-over-year, an improvement of 10.23 percentage points. This increase in EBITDA margin suggests that Neuland Laboratories has successfully managed its operational costs while growing its revenue.

The strong financial results across all key metrics indicate that Neuland Laboratories has effectively capitalized on market opportunities and potentially improved its operational strategies. These results position the company well for continued competitiveness in the pharmaceutical sector.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-2.01%	-1.86%	+5.57%	+36.83%	+17.43%	+1,460.48%

Neuland Laboratories , a leading pharmaceutical manufacturer, has reported robust financial results for the second quarter of fiscal year 2026, showcasing significant growth across key metrics.

Financial Highlights

The company's consolidated net profit for Q2 FY26 surged to ₹969.00 million, marking a substantial 195% increase from ₹328.00 million in the corresponding quarter of the previous year. This impressive growth was accompanied by a significant rise in revenue, which reached ₹5,150.00 million, up from ₹3,100.00 million year-over-year, representing a 66% increase.

Operational Performance

Neuland Laboratories demonstrated strong operational efficiency, with EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) rising to ₹1,550.00 million from ₹622.00 million in the same quarter last year. The EBITDA margin improved significantly, reaching 30.25% compared to 20.02% in Q2 FY25, indicating enhanced profitability and operational effectiveness.

Key Financial Metrics

Metric	Q2 FY26	Q2 FY25	YoY Change
Revenue	₹5,150.00 million	₹3,100.00 million	+66%
EBITDA	₹1,550.00 million	₹622.00 million	+149%
EBITDA Margin	30.25%	20.02%	+1023 bps
Net Profit	₹969.00 million	₹328.00 million	+195%

Management Commentary

Mr. Sucheth Davuluri, Vice-Chairman and Chief Executive Officer of Neuland Laboratories, commented on the performance: "The record high revenue this quarter driven by CMS commercial projects led to the operating leverage reflected in the EBITDA margins, and we expect this momentum to continue through the rest of the year. Given the investments we are making, Neuland is well positioned to take advantage of the number of growth opportunities available to us in both the CDMO as well as the generic APIs space."

Mr. Saharsh Davuluri, Vice Chairman and Managing Director, added: "Customer interest in Neuland's capabilities continues to be on the rise as we see increased engagement with a diverse range of customers. Our reputation and track record as an agile partner is enabling not just new business but for greater share of business from existing customers. Our investments are going according to plan and helping to further differentiate Neuland as a partner of choice."

Business Segment Performance

The company's Custom Manufacturing Solutions (CMS) segment has been a key driver of growth, with commercial projects contributing significantly to the revenue increase. The Generic Drug Substances (GDS) segment also showed positive performance, with key molecules like Ezetimibe and Mirtazapine driving growth in the Prime segment.

Operational Highlights

Unit-2 received an Establishment Inspection Report (EIR) post FDA inspection in Q1 FY26.
One US Drug Master File (USDMF) was filed in Q2 FY26.
Unit-1 received the Sword of Honour from the British Safety Council for outstanding Health & Safety practices.

Financial Position

As of September 30, 2025, Neuland Laboratories reported a strong financial position with a net cash balance of ₹6.60 crore, improving from a net debt position of ₹94.30 crore at the end of Q2 FY25.

The company's robust performance in Q2 FY26 reflects its strategic focus on high-value segments and operational efficiency. With continued investments in capabilities and a strong order book, Neuland Laboratories appears well-positioned for sustained growth in the coming quarters.