Marksans Pharma (MARKSANS) Q3 25/26 earnings summary

Executive summary

• Q3 FY26 operating revenue reached INR 754 crore, up 10.6% YoY, driven by strong execution, robust US order book, and seasonal demand, with margin expansion from lower raw material costs and favorable currency movements.

• UK business stabilized after prior pricing pressures, aided by new launches and currency tailwinds.

• New subsidiaries were established in Ireland and Canada to strengthen global presence and support long-term growth.

• Standalone and consolidated unaudited financial results for the quarter and nine months ended 31 December 2025 were reviewed and approved by the Board, with auditors expressing an unmodified conclusion.

Financial highlights

• Q3 FY26 consolidated revenue: INR 754.4 crore (up 10.6% YoY); 9M FY26 revenue: INR 2,094.8 crore (up 9.54% YoY); US & North America: INR 412.4 crore (up 16.9% YoY); UK & EU: INR 258.2 crore (flat YoY); Australia/NZ: INR 61.4 crore (up 30.1% YoY).

• Gross profit: INR 438.2 crore (up 14.3% YoY); gross margin: 58.1% (up 184 bps YoY); EBITDA: INR 160.7 crore (up 23.2% YoY); EBITDA margin: 21.3% (up 217 bps YoY).

• Profit after tax: INR 113.7 crore (up 8.2% YoY); EPS: INR 2.5.

• Cash from operations (9M): INR 263.2 crore; Capex: INR 97 crore; R&D spend: INR 62 crore (3% of revenue); cash balance: INR 824.2 crore; company remains debt-free.

• Standalone revenue for the quarter: INR 3,397.29 million; standalone profit after tax: INR 609.12 million.

Outlook and guidance

• US order book remains strong at $220M+, supporting optimism for near-term growth; targeting 20% growth in US for the upcoming year.

• Strategic goal to reach INR 4,000 crore revenue in 2–3 years, with INR 5,000 crore as the next milestone.

• Management expects growth momentum to continue for the rest of FY26, aiming for INR 3,000 crore revenue in the near term.

• Europe and Canada expected to contribute meaningfully in 3–5 years, with 2026 as a turning point for Europe via M&A.

• Employee costs expected to stabilize as hiring plateaus and capacity utilization rises.