Marksans Pharma's credit rating upgraded to CARE AA-; outlook stable

CARE Ratings Limited has upgraded the rating for Marksans Pharma Limited's long-term bank facilities from CARE A+; Positive to CARE AA-; Stable. The short-term bank facilities rating was reaffirmed at CARE A1+. This upgrade, effective October 8, 2025, covers long-term bank facilities amounting to ₹135.00 crore and short-term facilities of ₹120.75 crore.

The improved rating is attributed to a 21% growth in total operating income (TOI) in FY25, reaching ₹2,646.20 crore, and sustained healthy profitability with a PBILDT margin of 21.01%. Marksans Pharma also completed major capital expenditure at its acquired Teva Pharma facility in Goa and expanded its product pipeline, strengthening its business profile.

The company's capital structure remains comfortable with an overall gearing of 0.13x as of March 31, 2025, and a strong liquidity position, including ₹704.57 crore in free cash and bank balance. Marksans Pharma operates in over 50 countries, with a significant presence in regulated markets, diversifying revenue streams and mitigating geographical risk.