Bharat Parenterals navigates Q2 FY26 with strategic upgrades, expanded margins

Bharat Parenterals Limited reported standalone revenue from operations of INR 41.7 crores in Q2 FY26, a decline from INR 64.5 crores in Q2 last year and INR 94.4 crores in Q1 FY26. This anticipated decline was attributed to a planned one-month production break for general injectables line upgrades, temporary softness in institutional offtake, and deferred export dispatches expected in Q3. Despite lower volumes, gross margins expanded sharply to 44.1%, up from 33.5% last year, reflecting a shift towards higher-value products and improved efficiency.

Consolidated performance showed revenue of INR 64.6 crores, a 10% year-on-year decline, but gross profit rose 26% to INR 37.7 crores, with margins expanding to 58.3%. Innoxel Lifesciences, a subsidiary, achieved US FDA approval for its Vadodara facility and secured 7 new strategic partnerships valued at $1.85 million. The company expects strong recovery in H2 FY26, with standalone revenue growth guidance of 12% to 14% and EBITDA margins of 15% to 17%. Innoxel is projected to reach EBITDA breakeven in FY26, with commercial CMO supplies commencing in Q1 FY27.