Alembic Pharma Q2FY27: Operating margin climbs to 22.21% as US formulations revenue rises 77% (NSE: APLLTD)
On 4 November 2026, Alembic Pharmaceuticals Ltd (APLLTD, BSE: 533573) reported consolidated revenue from operations of ₹2,603.48 crore for the quarter ended September 2026, a 36.3% year-on-year increase. Profit after tax rose 81.4% to ₹335.17 crore, and operating margin expanded to 22.21% from 17.02% in the same quarter last year (Q2FY27 results filing, BSE, 4 November 2026). The results show that the margin improvement came alongside a sharp acceleration in the US formulations segment, even though subsidiary losses continued to reduce group‑level profit.
Sequential margin shift from Q1FY27
The preceding quarter had already pointed toward a recovery. In Q1FY27, consolidated revenue was ₹2,149.77 crore (+25.7% YoY) and PAT ₹173.07 crore (+12.1% YoY). EBITDA margin stood at 16.1%, essentially flat year‑on‑year, while standalone operating margin jumped to 19.3% — indicating that the subsidiary portfolio held back consolidated margin (Q1FY27 results, BSE, 4 August 2026). The Q2 figure of 22.21% represents a marked expansion over both the year-ago period and the trailing quarter.
US formulations and API segments lead growth
The Q2 revenue growth was led by the US generics business. A separate sales update filed on 4 November 2026 shows US formulations revenue of ₹1,003 crore in Q2FY27, a 77% year-on-year rise. The active pharmaceutical ingredients (API) segment grew 39% to ₹436 crore in the same period. These two segments accounted for the bulk of the 36.3% consolidated revenue growth.
Product approval pipeline remains active
Throughout the year, Alembic received a series of USFDA approvals that expanded its ANDA portfolio. Among the final approvals disclosed in BSE filings:
- Oseltamivir Phosphate Oral Suspension (26 June 2026)
- Dapsone Gel, 5% (26 June 2026)
- Prucalopride Tablets (28 July 2026)
- Ciprofloxacin and Dexamethasone Otic Suspension (17 October 2026)
- Valganciclovir for Oral Solution (27 October 2026)
- Olopatadine Hydrochloride Ophthalmic Solution 0.7% (OTC) (4 November 2026)
Additionally, the company received tentative approvals for Binimetinib Tablets (19 June 2026, with the company stating it is the sole first applicant and “potentially eligible for 180 days of generic marketing exclusivity”) and, through partner NATCO Pharma, for Olaparib Tablets (18 July 2026). The Olaparib approval mentions a “USD 1.4 billion market” in the filing’s title; the filing does not provide a rupee conversion and therefore only the dollar figure is cited.
Management guidance raised for FY27
In the Q1FY27 earnings conference call held on 10 August 2026, management raised the full-year FY27 revenue growth outlook to “mid-teen” and upgraded the US generics guidance to “mid-to-high teens” (BSE filing, 10 August 2026). This is the stated target period the company has publicly set for itself; actual outcomes will become visible in subsequent quarterly reports.
Subsidiary drag persists
Both the Q1FY27 and Q2FY27 filings note that consolidated profit is lower than standalone profit because of losses in subsidiaries. In Q1, standalone operating margin was 19.3% against a consolidated figure of 16.1%; the Q2 filing’s commentary states that “subsidiaries diluted standalone profit” (BSE filing, 4 November 2026). The company has not provided a detailed segmental split for these subsidiary losses in the documents reviewed.
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The filing evidence
| Date | What the filing said | Detail | Source |
|---|---|---|---|
| 4 Aug 2026 | Q1FY27 consolidated revenue rose 25.7% YoY to ₹2149.77 crore and PAT rose 12.1% to ₹173.07 crore, but the trajectory is mixed as gross margin compressed on higher material intensity and the subsidiary portfolio dragged group profit below standalone. | filing | |
| 4 Aug 2026 | Q1FY27 consolidated revenue rose to ₹2149.77 Cr, +26% YoY, while EBITDA margin was 16.1% and PAT reached ₹173.07 Cr, +12% YoY; US formulations and API supplied the growth, but earnings grew slower than sales. | filing | |
| 4 Aug 2026 | Q1FY27 revenue rose 26% YoY to ₹2149.77 Cr and EBITDA rose 21% to ₹346.79 Cr, with US formulations up 49% and EBITDA margin recovering to 16.1% from 12% in Q4FY26. | filing | |
| 4 Aug 2026 | Q1FY27 consolidated revenue ₹2,149.77 Cr (+25.7% YoY), PAT ₹173.07 Cr (+12.1% YoY), OPM 16.1% (+10bps YoY) — revenue growth accelerated sharply on strong US generic sales, but margin expansion was modest as input costs rose; standalone OPM jumped to 19.3% (+650bps YoY), highlighting that group profitability was dragged by a subsidiary loss. | filing | |
| 4 Nov 2026 | Q2FY27 revenue rose 36.3% YoY to ₹2,603.48 crore and PAT rose 81.4% to ₹335.17 crore, with operating margin expanding to 22.21% from 17.02%, although subsidiaries diluted standalone profit. | filing | |
| 18 Jun 2026 | Alembic Pharmaceuticals appoints Mr. Sujit Jaysukh Bhayani as Non-Executive Independent Director for five years | The Board of Directors of Alembic Pharmaceuticals, via a circular resolution dated June 18, 2026, appointed Mr. Sujit Jaysukh Bhayani as an Additional Director (Non-Executive Independent Director) for a five-year term, effective immediately and subject to shareholder approval at the upcoming Annual General Meeting. | filing |
| 19 Jun 2026 | Alembic Pharmaceuticals receives USFDA tentative approval for Binimetinib Tablets, 45 mg, with potential 180-day exclusivity. | Alembic Pharmaceuticals received tentative approval from the USFDA for its ANDA for Binimetinib Tablets, 45 mg, a kinase inhibitor used in combination therapy for melanoma and NSCLC. The company is the sole first applicant with a Paragraph IV certification, potentially eligible for 180 days of generic marketing exclusivity upon final approval. | filing |
| 26 Jun 2026 | Alembic Pharmaceuticals receives USFDA final approval for Oseltamivir Phosphate Oral Suspension, 6 mg/mL, a generic version of Tamiflu. | Alembic Pharmaceuticals received final approval from the USFDA for its Abbreviated New Drug Application (ANDA) for Oseltamivir Phosphate for Oral Suspension, 6 mg/mL, which is therapeutically equivalent to Tamiflu Oral Suspension by Hoffmann-La Roche. | filing |
| 26 Jun 2026 | Alembic Pharmaceuticals receives USFDA final approval for Dapsone Gel, 5% | Alembic Pharmaceuticals announced that it has received final approval from the USFDA for its Abbreviated New Drug Application (ANDA) for Dapsone Gel, 5%, which is therapeutically equivalent to Aczone Gel, 5% (Almirall, LLC) and is indicated for topical treatment of acne vulgaris. | filing |
| 18 Jul 2026 | Alembic Pharma's partner NATCO receives USFDA tentative approval for Olaparib Tablets (generic Lynparza), a USD 1.4 billion market drug | Alembic Pharmaceuticals announced that its partner NATCO Pharma has received tentative approval from the USFDA for Olaparib Tablets, 100 mg and 150 mg, a generic version of AstraZeneca's Lynparza. Alembic will distribute the product in the U.S. while NATCO will manufacture it. The Para IV patent litigation is ongoing. | filing |
| 28 Jul 2026 | Alembic Pharma receives USFDA final approval for Prucalopride Tablets, targeting a $100 million market | Alembic Pharmaceuticals received USFDA final approval for its ANDA for Prucalopride Tablets (1 mg and 2 mg), generic versions of Takeda's Motegrity, used for chronic idiopathic constipation. | filing |
| 10 Aug 2026 | Alembic Pharma's Company Secretary & Compliance Officer Ms. Manisha Saraf resigns effective August 10, 2026. | Ms. Manisha Saraf, Company Secretary & Compliance Officer (KMP) and Nodal Officer, has resigned from Alembic Pharmaceuticals with effect from the close of business hours on August 10, 2026, to pursue a new opportunity. | filing |
| 10 Aug 2026 | Alembic Pharma raises FY27 revenue growth outlook to mid-teen, driven by upgraded US generics guidance to mid-to-high teens and broad-based Q1 momentum | filing | |
| 17 Oct 2026 | Alembic Pharma receives USFDA final approval for Ciprofloxacin and Dexamethasone Otic Suspension, expanding its pipeline with a $110 million addressable market. | Alembic Pharmaceuticals received USFDA final approval for its ANDA for Ciprofloxacin and Dexamethasone Otic Suspension, a generic equivalent of Sandoz's Ciprodex, indicated for acute otitis media and externa, targeting a $110 million US market (IQVIA MAT Jun 2026). | filing |
| 27 Oct 2026 | Alembic Pharma receives USFDA final approval for Valganciclovir for Oral Solution, 50 mg/mL. | Alembic Pharmaceuticals received USFDA final approval for its Abbreviated New Drug Application for Valganciclovir for Oral Solution, 50 mg/mL, a generic version of Valcyte. The product is used to treat CMV retinitis in AIDS patients and prevent CMV disease in high-risk transplant patients. | filing |
| 4 Nov 2026 | Alembic Pharma receives USFDA final approval for Olopatadine Hydrochloride Ophthalmic Solution 0.7% (OTC). | Alembic Pharmaceuticals received final USFDA approval for its Abbreviated New Drug Application (ANDA) for Olopatadine Hydrochloride Ophthalmic Solution USP, 0.7% (OTC), a therapeutic equivalent to Pataday Once Daily Relief by Alcon, used for temporary relief of itchy eyes due to allergens. | filing |
| 4 Nov 2026 | Alembic Pharma reports strong Q2 FY27 results with revenue up 36% and PAT up 81% YoY. | Alembic Pharmaceuticals reported consolidated Q2 FY27 results with revenue from operations rising 36% YoY to ₹2,603 Cr and profit after tax surging 81% YoY to ₹335 Cr, driven by a 77% jump in US formulations revenue to ₹1,003 Cr and a 39% rise in API to ₹436 Cr. EBITDA margin expanded to 22%. | filing |
Quick answers
- What did Alembic Pharma disclose?
- On 4 November 2026, Alembic Pharmaceuticals Ltd (APLLTD, BSE: 533573) reported consolidated revenue from operations of ₹2,603.48 crore for the quarter ended September 2026, a 36.3% year-on-year increase.
- What are the key numbers?
- The preceding quarter had already pointed toward a recovery. In Q1FY27, consolidated revenue was ₹2,149.77 crore (+25.7% YoY) and PAT ₹173.07 crore (+12.1% YoY).
- What does Alembic Pharma say comes next?
- In the Q1FY27 earnings conference call held on 10 August 2026, management raised the full-year FY27 revenue growth outlook to “mid-teen” and upgraded the US generics guidance to “mid-to-high teens” (BSE filing, 10 August 2026).
Research and educational content only. Not investment advice. Drafted from regulatory filings and published automatically — see our editorial policy.