Cohance Lifesciences reports mixed H1FY26 results amid strategic shifts

Cohance Lifesciences Limited announced its unaudited financial results for the quarter and half-year ended September 30, 2025. H1FY26 consolidated revenue from operations increased by 1.2% year-on-year to INR 11,049m, though Q2FY26 revenue declined by 8% year-on-year to INR 5,556m, primarily due to deferred shipments and destocking in key molecules. Adjusted EBITDA for H1FY26 was INR 2,630m, a decrease of 25.5%, with margins at 23.8%. Gross margins for H1FY26 improved to 73.8%, up from 70% in 1HFY25, driven by a favorable business mix and contributions from recent acquisitions.

The company's strategic focus on niche technologies, including ADC and Oligos, continues, with this segment’s revenue share crossing 17% in 1HFY26. Key achievements include securing US FDA approval for a Phase III drug with an innovator partner, progressing 9 active Phase 3 programs (with 2 US FDA-approved entering launch), and expanding ADC and Oligonucleotide platforms. Challenges include pharma destocking, delayed reloads of Phase 2-3 molecules, a Nacharam plant shutdown awaiting audit clearance, and slowdowns in biotech funding impacting NJ Bio project shipments. The company maintains its mid-to-long-term guidance of US$1bn revenue by 2030 with mid-30s EBITDA margins.