Biocon (BIOCON) Q1 25/26 earnings summary

Executive summary

• Achieved 15% year-over-year revenue growth in Q1 FY26, driven by strong performance across all business segments and major regulatory milestones, including US FDA approval for biosimilar insulin aspart and launches in Canada and Europe.

• Completed INR 4,500 crore Qualified Institutions Placement, the first equity raise since IPO, to strengthen financials, increase stake in Biocon Biologics, and provide exit to private equity investors.

• Expanded manufacturing capacity with new injectables and GLP-1 facilities in India and the US, with commercial supply expected in FY 2027.

• Earned gold rating in EcoVadis 2024 sustainability assessment and global recognition for Syngene as one of the world's most sustainable companies.

• Board approved unaudited financial results for the quarter ended June 30, 2025, with no auditor qualifications; final dividend of Rs. 0.50 per share recommended.

Financial highlights

• Operating revenue at INR 3,942 crore, up 15% year-on-year, led by biosimilars (+18%), CRDMO (+11–17%), and generics (+6%).

• Core EBITDA at INR 1,003 crore, up 11% year-on-year, with a 25% margin; reported EBITDA margin at 21%.

• Net profit before exceptional items was INR 31 crore, down 91% year-on-year due to a high base from a one-time divestment gain in Q1 FY25.

• Consolidated net profit for the quarter was Rs. 892 million, down from Rs. 8,618 million year-over-year, reflecting absence of prior period one-time gains.

• R&D investments at INR 205 crore (7% of revenues, excluding Syngene); Generics R&D at 10% of segment revenue.

Segment performance

• Biosimilars: Revenue up 18% YoY to INR 2,458 crore; EBITDA up 36% YoY to INR 645 crore; margin at 24% with 300 bps expansion; strong performance in North America and Europe.

• Generics: Revenue from operations at INR 697 crore (+6% YoY); growth driven by new launches in EU and US; profitability impacted by ramp-up costs and higher interest/depreciation from recent capex.

• CRDMO (Syngene): Revenue at INR 874 crore (+11–17% YoY), EBITDA at INR 224 crore (+19% YoY), margin at 25%; successful transition of pilot programs to long-term contracts.

• Oncology biosimilars in US maintain 27% market share; Yesintek (ustekinumab) gains strong early uptake and formulary coverage.

• Biosimilars contributed Rs. 960 million to segment profit before tax, while Generics posted a loss of Rs. 670 million; CRDMO segment delivered Rs. 1,013 million in profit before tax.