Gland Pharma (GLAND) Q3 24/25 earnings summary

Executive summary

• Q3 FY25 consolidated revenue was ₹13,841 million, down 10% year-over-year, with EBITDA at ₹3,600 million and a 26% margin, up from 23% last year.

• PAT increased 7% year-over-year to ₹2,047 million, with PAT margin improving to 15%.

• Base business revenue declined 8% year-over-year, but EBITDA margin improved to 39%.

• 13 new molecules launched in Q3 FY25, with 21% of total revenue from ROW markets.

• Cenexi Q3 FY25 revenue was €41 million, down 16% year-over-year, with negative EBITDA margin due to regulatory disruptions.

Financial highlights

• Gross margin improved to 67% in Q3 FY25 from 61% in Q3 FY24.

• 9M FY25 revenue was ₹41,916 million, up 2% year-over-year; 9M FY25 PAT was ₹5,120 million, down 12% year-over-year.

• Q3 FY25 other income was ₹585 million, mainly from interest and forex gains.

• Capex for Q3 FY25 was ₹1,379 million; 9M FY25 capex at ₹3,053 million.

• Cash conversion cycle improved to 78 days in 9M FY25.

Outlook and guidance

• Volume recovery expected in coming quarters as delayed shipments are planned for Q4.

• Cenexi targets positive EBITDA in the next fiscal year, driven by revenue above €200 million.

• Biologics CDMO collaborations expected to generate incremental revenue from next fiscal year.

• Commercialization of complex injectables co-developed with MAIA expected from FY27.

• GLP-1 CDMO contracts expected to generate revenue from FY26.