Morepen laboratories has secured a landmark multi-year Contract Development and Manufacturing Organization (CDMO) mandate worth approximately ₹825 crore (USD 91 million) from a leading global pharmaceutical major. This announcement, made on February 23, 2026, marks one of the most significant single CDMO mandates in the company's history as it expands its global manufacturing footprint.

Deal Structure and Timeline

The supplies under this mandate are expected to commence within the next 4-5 months, with execution scheduled through Q1 of the following financial year, subject to customary operational and regulatory processes.

Strategic Expansion into CDMO Segment

Built on over four decades of API manufacturing expertise and regulatory credibility, Morepen's CDMO platform enables deeper collaboration with global pharmaceutical innovators through structured, multi-year supply programs. The mandate reflects the company's growing capabilities in regulated markets, supported by internationally accredited facilities including USFDA, WHO-GMP, and EU approvals.

With integrated development-to-commercial manufacturing capabilities, Morepen is positioned to support complex scale-ups and long-duration supply frameworks. The company continues to evaluate capacity enhancement and technology investments aligned with its expanding CDMO opportunity pipeline.

Management Commentary

Mr. Sushil Suri, Chairman & Managing Director, highlighted the significance of this milestone: "This mandate represents an important milestone in the evolution of Morepen's manufacturing platform. It reflects the confidence global customers place in our quality systems, regulatory track record, and execution capabilities."

He further added: "We view CDMO as a natural extension of our established API strengths, creating additional avenues of scale, stability, and long-term value creation while continuing to reinforce our core businesses."

Mr. Kushal Suri, President – International Growth (API), emphasized the company's execution capabilities: "This level of customer confidence reflects company's proven ability to qualify, execute, and deliver under regulated-market expectations. We drove the program end-to-end with technical, regulatory, and commercial scale-up, and delivered a solution built for quality, continuity, and scale."

Market Positioning and Capabilities

Global pharmaceutical companies are increasingly consolidating supplier networks and partnering with compliant, scalable, and reliable manufacturing platforms capable of long-term supply continuity. Morepen's vertically integrated API capabilities, regulatory track record, and operational scale position it well to serve this evolving demand.

The company operates as a vertically integrated, innovation-led pharmaceutical and healthcare company delivering high-quality APIs, branded generics, medical devices, and consumer wellness products to over 90 countries worldwide. With high installed API capacities and a 14 million-strong glucometer user base, Morepen maintains a strong presence in India's health-tech sector.

Morepen Laboratories Limited has delivered steady financial performance in Q3FY26, reporting consolidated net profit growth of 3.07% year-on-year. The pharmaceutical company's results for the quarter ended December 31, 2025, demonstrate resilient operational execution amid evolving market conditions.

Financial Performance Overview

The company's consolidated financial results show consistent growth across key metrics for Q3FY26:

Income from operations (net) reached ₹48416.10 crores in Q3FY26, marking a 6.93% increase from ₹45278.07 crores in the corresponding quarter of the previous year. Other income contributed ₹380.56 crores compared to ₹533.69 crores in Q3FY25.

Operational Efficiency and Cost Management

Total expenditure for the quarter stood at ₹45254.54 crores, up from ₹42291.17 crores in Q3FY25. The company maintained operational discipline across various cost categories:

Profit before tax reached ₹3542.12 crores in Q3FY26, maintaining consistency with ₹3520.59 crores achieved in Q3FY25. Tax expenses totaled ₹792.57 crores compared to ₹851.74 crores in the previous year quarter.

Nine-Month Performance Analysis

For the nine months ended December 31, 2025, consolidated performance showed mixed results:

The company recorded exceptional income of ₹2582.54 crores during the nine-month period, contributing to overall profitability. Total comprehensive income for the nine months reached ₹7895.82 crores.

Corporate Structure and Subsidiaries

Significant changes occurred in the corporate structure during FY26. Dr. Morepen Limited ceased to be a subsidiary effective July 31, 2025, following reduction in Morepen Laboratories' shareholding to 19.96% from 80%. Consequently, Dr. Morepen Limited and its step-down subsidiaries Total Care Limited and Quick Med Private Limited are no longer included in consolidated results from that date.

The current subsidiary structure includes wholly-owned subsidiaries Morepen Rx Ltd., Morepen Devices Limited, Morepen Bio Inc. (USA), and Morepen Labs FZCO (UAE), along with majority-owned Morepen Medipath Limited (60%) and Sigmacheck Health Private Limited (60%).

Standalone Results Highlight Core Operations

Standalone financial results for Q3FY26 showed strong performance with net profit of ₹2349.58 crores compared to ₹2268.64 crores in Q3FY25, representing 3.57% growth. Standalone total income reached ₹46150.43 crores, up 13.08% from ₹40812.87 crores in the corresponding previous quarter.

The Board of Directors approved these unaudited financial results in their meeting held on February 10, 2026, following review by the Audit Committee and limited review by statutory auditors.