RPG Life Sciences Reports 13.5% Growth in Domestic Formulations, Outperforming Market

2 min read     Updated on 17 Oct 2025, 09:46 PM
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Reviewed by
Jubin VergheseScanX News Team
Overview

RPG Life Sciences Limited achieved 13.5% growth in domestic formulations during H1 FY26, surpassing the Indian pharmaceutical market's 7.4% growth. Q2 FY26 saw revenue increase by 5.5% year-on-year to ₹181.70 crore, despite a 9.6% decline in profit after tax. The company's domestic formulations segment contributed 71% to total sales. RPG Life Sciences announced strategic initiatives including new molecule launches, U.S. market entry plans, and API capacity expansion. However, the API segment faced challenges due to a fire incident at a manufacturing block.

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*this image is generated using AI for illustrative purposes only.

RPG Life Sciences Limited has reported a strong performance in its domestic formulations business, significantly outpacing the broader Indian pharmaceutical market growth rate. The company's financial results for the first half of FY26 reveal a robust trajectory in its core business segments, while also announcing plans for strategic growth initiatives.

Domestic Formulations Lead Growth

RPG Life Sciences achieved a 13.5% growth in its domestic formulations business during H1 FY26, compared to the Indian pharmaceutical market's growth of 7.4% for the same period. This performance underscores the company's strong market position and effective strategy in its home market.

Financial Highlights

For the quarter ended September 30, 2025 (Q2 FY26), RPG Life Sciences reported:

Metric Q2 FY26 Q2 FY25 YoY Change
Revenue from Operations ₹181.70 crore ₹172.20 crore +5.5%
EBITDA ₹43.60 crore ₹47.90 crore -9.0%
EBITDA Margin 24.00% 27.80% -380 bps
Profit Before Tax ₹38.20 crore ₹42.40 crore -9.8%
Profit After Tax ₹28.50 crore ₹31.50 crore -9.6%

Despite the year-on-year decline in profitability, the company has shown sequential improvement, with revenue growing by 7.6% compared to Q1 FY26.

Business Segment Performance

The company's performance across its three main business segments for H1 FY26 was as follows:

  1. Domestic Formulations: Contributed 71% to total sales, growing by 13.5% to ₹246.10 crore.
  2. International Formulations: Accounted for 19% of total sales, with a growth of 2.1% to ₹67.00 crore.
  3. APIs (Active Pharmaceutical Ingredients): Represented 10% of total sales but saw a decline of 34.2% to ₹34.50 crore, primarily due to a fire incident at one of its manufacturing blocks.

Strategic Focus and Future Outlook

Mr. Ashok Nair, Managing Director of RPG Life Sciences Ltd., commented on the results: "In Q2, we have further strengthened our growth trajectory, driven by disciplined execution and a clear strategic focus. Our domestic formulations business is delivering market-beating performance with a growth of 13.5% in H1 FY26 versus Indian Pharma Market which recorded a growth of 7.4% in H1."

The company is pursuing a transformation agenda focused on enhancing patient outcomes and expanding its presence in both emerging and regulated markets. RPG Life Sciences is also making progress in its International Formulations and API business, supported by new customer acquisitions and the launch of molecules that enhance its therapeutic footprint.

Strategic Growth Initiatives

RPG Life Sciences is positioning itself for sustained growth through multiple strategic initiatives:

  1. New Molecule Launches: The company plans to introduce new molecules to expand its product portfolio.
  2. U.S. Market Entry: RPG Life Sciences is preparing to enter the U.S. pharmaceutical market, a significant step in its global expansion strategy.
  3. API Capacity Expansion: The company intends to double its API capacity, strengthening its position in the global pharmaceutical supply chain.

Challenges and Opportunities

While the domestic formulations business has shown strong growth, the company faces challenges in its API segment due to the fire incident. However, RPG Life Sciences has received interim insurance payments and is confident of recovering the remaining losses in subsequent quarters.

The company's focus on building a future-ready pharmaceutical enterprise, embracing innovation, and delivering sustainable value to stakeholders positions it well for future growth. With its strong performance in the domestic market and strategic initiatives in international markets, RPG Life Sciences appears poised to capitalize on emerging opportunities in the pharmaceutical sector.

Historical Stock Returns for RPG Life Sciences

1 Day5 Days1 Month6 Months1 Year5 Years
-1.22%-1.73%-5.07%+3.45%-18.58%+507.49%
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RPG Life Sciences Reports Strong Q2 FY26 Results; CFO Resigns

1 min read     Updated on 17 Oct 2025, 06:18 PM
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Reviewed by
Ashish ThakurScanX News Team
Overview

RPG Life Sciences announced Q2 FY26 results with revenue growth of 5.50% YoY to Rs. 18,168 lakhs. Profit After Tax surged 777.40% to Rs. 3,685 lakhs, boosted by exceptional income from insurance proceeds. EBITDA decreased by 9%. Domestic Formulations contributed 71% to H1 FY26 sales. The company's CFO, Mr. Vishal Shah, resigned effective October 23, 2025. Strategic initiatives include focus on mega brands, ESG, and global expansion.

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*this image is generated using AI for illustrative purposes only.

RPG Life Sciences Limited , a leading integrated pharmaceutical company, has announced its unaudited financial results for the second quarter and first half of the fiscal year 2026, ending September 30, 2025. The company reported growth in revenue and profit, alongside the resignation of its Chief Financial Officer.

Financial Highlights

RPG Life Sciences demonstrated financial performance in Q2 FY26:

Particulars (in Rs. Lakhs) Q2 FY26 Q2 FY25 YoY Change
Revenue from Operations 18168.00 17221.00 +5.50%
EBITDA 4357.00 4787.00 -9.00%
Profit Before Tax 4945.00 1509.00 +227.70%
Profit After Tax 3685.00 420.00 +777.40%
Earnings Per Share (Rs.) 22.28 2.54 +777.20%

The company's revenue from operations grew by 5.50% year-on-year to Rs. 18168.00 lakhs in Q2 FY26. Despite a decrease in EBITDA, RPG Life Sciences reported an increase in profit before tax and profit after tax, primarily due to exceptional items.

Segment Performance

  • Domestic Formulations: This segment contributed 71% to the total sales in H1 FY26, delivering growth.
  • International Formulations: Accounting for 19% of total sales, this segment saw improvements in new products, customers, and markets contributions.
  • API (Active Pharmaceutical Ingredients): Contributing 10% to total sales, this segment's growth was impacted by a fire incident in one of the manufacturing blocks earlier in the year.

Exceptional Items

The company reported exceptional income of Rs. 1122.00 lakhs in Q2 FY26, related to insurance proceeds from a fire incident that occurred at one of its manufacturing blocks in January 2025. This contributed to the increased profitability for the quarter.

CFO Resignation

RPG Life Sciences announced the resignation of its Chief Financial Officer, Mr. Vishal Shah, effective October 23, 2025. Mr. Shah cited personal reasons for his departure. The company stated that it is in the process of identifying a suitable replacement for the CFO position.

Management Initiatives

The company's investor presentation highlighted several strategic initiatives:

  • Focus on building mega brands and expanding product portfolios
  • Emphasis on sustainable operations and ESG initiatives
  • Continued efforts in digitalization and innovation projects
  • Expansion of global presence with capex infusion

Outlook

RPG Life Sciences appears positioned for future growth, with a focus on chronic and specialty therapies, expansion of its global footprint, and investments in plant upgrades and capacity expansion. The company's debt-free status and improved credit rating underscore its financial stability.

Historical Stock Returns for RPG Life Sciences

1 Day5 Days1 Month6 Months1 Year5 Years
-1.22%-1.73%-5.07%+3.45%-18.58%+507.49%
RPG Life Sciences
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