Strides Pharma reports strong Q2, H1 FY26 performance

Strides Pharma Science Limited recorded a strong Q2 FY26 with revenue growth of 4.6% year-on-year, gross margins up 14.6%, EBITDA increasing by 25.4%, and operational PAT surging 84%. For the first half of FY26, revenue grew 5.5%, gross margin increased 13.2%, and EBITDA saw a 20% rise, with operational PAT climbing 82.6%. The company reported Q2 gross margins of INR706 crores, a 500 basis point improvement from Q2 FY25, and H1 gross margins of INR1,381 crores, an improvement of 410 basis points over H1 FY25.

EBITDA for Q2 stood at INR232 crores with a 19% margin, marking a 25% year-on-year growth. H1 EBITDA reached INR450 crores with a 19.2% margin. Operational PAT for Q2 was INR140 crores, the highest ever reported quarterly PAT, with an operational EPS of INR15.2. H1 operational PAT was INR254 crores, with an operational EPS of INR27.6. Net debt at the end of Q2 was INR1,449 crores, reduced by INR73 crores despite a INR71 crores forex impact, improving the EBITDA to net debt ratio to 1.65x from 1.9x in March 2025.

The U.S. market grew 2% year-on-year to $73m, with 3 new products launched in H1 FY26, bringing the total commercialized products to 70. Other regulated markets saw a 16% year-on-year growth, while growth markets revenue reached $17m, up 7% year-on-year. The company aims for $400m in U.S. revenue by FY28.