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EquityWireEarnings Review: Aurobindo Pharma Q3 consol PAT growth highest in 5 quarters YoY
Earnings Review

Aurobindo Pharma Q3 consol PAT growth highest in 5 quarters YoY

This story was originally published at 20:59 IST on 9 February 2026
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Informist, Monday, Feb. 9, 2026

 

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--Aurobindo Pharma Oct-Dec consol net profit INR 9.10 bln 
--Analysts saw Aurobindo Pharma Oct-Dec consol net profit at INR 9.24 bln 
--Aurobindo Pharma Oct-Dec consol revenue INR 86.46 bln 
--Analysts saw Aurobindo Pharma Oct-Dec consol revenue at INR 84.54 bln 
--Aurobindo Pharma Oct-Dec consol PAT INR 9.10 bln vs INR 8.46 bln yr ago 
--Aurobindo Pharma Oct-Dec consol sales INR 86.46 bln vs INR 79.79 bln yr ago 
--Aurobindo Pharma Apr-Dec consol PAT INR 25.83 bln vs INR 25.82 bln yr ago 
--Aurobindo Pharma Apr-Dec consol sales INR 248.0 bln vs INR 233.4 bln yr ago 
--Aurobindo Pharma Oct-Dec R&D spend INR 4.09 bln, 4.7% of revenue 
--Aurobindo Pharma Oct-Dec consol EBITDA INR 17.73 bln vs INR 16.28 bln 
--Aurobindo Pharma Q3 US formulations revenue INR 37.39 bln vs INR 36.58 bln 
--Aurobindo Pharma Q3 Europe formulations sales INR 27.0 bln vs INR 21.2 bln 
--Aurobindo Pharma Oct-Dec API revenue INR 9.63 bln vs INR 10.06 bln year ago 
--Aurobindo Pharma Q3 consol EBITDA before R&D INR 21.63 bln vs INR 20.56 bln 
--Aurobindo Pharma Q3 consol EBITDA margin before R&D 25.0% vs 25.8% yr ago 
--Aurobindo Pharma Oct-Dec consol EBITDA margin 20.5% vs 20.4% year ago

 

By Narayana Krishna

 

HYDERABAD - Aurobindo Pharma Ltd. Monday reported a marginally lower-than-estimated net profit for the December quarter. The company reported a consolidated net profit of INR 9.10 billion, up 7.6% year-on-year and 7.3% quarter-on-quarter. However, the company's net profit growth was better than the last five quarters on the year-on-year basis.

 

The company's revenue for the quarter was at INR 86.46 billion, up 8.4% on year and 4.3% on quarter. The revenue growth for the quarter was better than the last two quarters on a year-on-year basis.

 

While the net profit of the company was slightly below the Street expectations, revenue beat the estimates. Analysts had estimated Aurobindo Pharma December quarter net profit a little over INR 9.24 billion and revenue INR 84.54 billion.

 

The company reported an exceptional cost of INR 653 million related to implementation of new labour codes.

 

While US operations reported a moderate growth during the quarter, Europe and emerging markets helped the company report healthy numbers.

 

"Q3 (Oct-Dec) reflected steady execution across Aurobindo's core businesses, supported by stable demand and the strength of our diversified product portfolio in key markets, including the US and Europe. Growth remained measured, with continued focus on operational discipline and a balanced approach to growth and profitability. As we progress our strategic initiatives, we remain cautious yet confident in our ability to support sustainable value creation over the medium term," Aurobindo Pharma said quoting K. Nithyananda Reddy, the vice-chairman and managing director.

 

Aurobindo Pharma's December quarter's total formulations revenue was up 10.4% on year at INR 76.8 billion. The company's US formulations business, which accounted for nearly 43% of the total sales, registered a 2.2% on-year growth to INR 37.4 billion. The company launched nine new products during the quarter and received seven new product approvals.

 

Aurobindo Pharma's Europe formulations revenue rose 27.4% on year to INR 27 billion. This region accounts for nearly 31% of the company's total revenue. The growth was led across all key markets in Europe, the company said.

 

In growth markets--which comprises South Africa, Indonesia, China, India, Brazil and Canada--the company's December quarter revenue growth was flat at INR 8.65 billion. India formulations, which is part of the growth markets segment, registered a revenue of INR 740 million. Aurobindo Pharma started its India formulations business in 2022 and is working to scale up the business.

 

Aurobindo Pharma's active pharmaceutical ingredients business revenue for the quarter fell 4.3% on year to INR 9.63 billion. This segment accounts for 11% of the company's total sales. The company's anti-retroviral formulations business, which is mainly tender-driven, reported 22.4% on year revenue growth at INR 3.76 billion.

 

Aurobindo Pharma's earnings before interest, tax, depreciation, and amortisation margin for the quarter marginally improved by 10 basis points on year to 20.5%, in line with analysts' projections. The company's December quarter EBITDA was at INR 17.73 billion against INR 16.28 billion a year ago, in line with the estimates.

 

The company's spending on research and development for the quarter was at INR 4.09 billion, 4.7% of the revenue. EBITDA before the R&D was at INR 21.6 billion.

 

The total expenses for the quarter rose by 7% on year to INR 74.3 billion. Finance cost fell by INR 21.7% on year to INR 927 million. The input costs were marginally up by nearly 1% on year to INR 27.5 billion. Employee benefit expenses for the quarter rose 16% on year to INR 13 billion.

 

For Apr-Dec, Aurobindo Pharma reported a consolidated net profit of INR 25.83 billion on a revenue of INR 248 billion. On Monday, Aurobindo Pharma shares ended at INR 1,203.70 on the National Stock Exchange, up 1% from their previous close.  End

 

US$1 = INR 90.75

 

Edited by Akul Nishant Akhoury

 

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