Synopsis: Laurus Labs Limited reports 25.67% YoY revenue growth and a 179.34% YoY net profit surge in Q3 FY26 results.
This mid-cap Pharma stock, engaged in developing and manufacturing APIs, formulations, and biotech products for global pharma clients in anti-retroviral, oncology, and generics, jumped 5.50 percent after the company reported December quarterly results with a 179 percent YoY increase in net profit.
With a market capitalization of Rs. 54,525.51 crores, the share of Laurus Labs Limited has reached an intraday high of Rs. 1,059.95 per equity share, rising nearly 5.5 percent from its previous day’s close price of Rs. 1,004.95. Since then, the stock has retreated and is currently trading at Rs. 1,010 per equity share.
Q3 FY26 Result Walkthrough
Coming into the quarterly results of Laurus Labs Limited, the company’s consolidated revenue from operations increased by 25.67 percent YOY, from Rs. 1,415.05 crore in Q3 FY25 to Rs. 1,778.29 crore in Q3 FY26, and grew by 7.55 percent QoQ from Rs. 1,653.47 crore in Q2 FY26.
Further, the company’s EBITDA has increased by 70.18 percent, from Rs. 285 crore in Q2 FY25 to Rs. 485 crore in Q2 FY26. Laurus Labs Limited reported R&D spending of Rs. 69 crore in Q3 FY26, accounting for 3.9 percent of its revenues, reflecting continued focus on innovation and development.
In Q3 FY26, Laurus Labs Limited’s consolidated net profit increased by 179.34 percent YOY, reaching Rs. 253.11 crore compared to Rs. 90.61 crore during the same period last year. As compared to Q2 FY26, the net profit has increased by 30.64 percent, from Rs. 193.75 crore.
The basic earnings per share increased by 173.10 percent and stood at Rs. 4.67 as against Rs. 1.71 recorded in the same quarter in the previous year, FY2025. Laurus Labs Limited’s revenue and net profit have grown at a CAGR of 14.42 percent and 7.02 percent, respectively, over the last five years.
In terms of return ratios, the company’s ROCE and ROE stand at 9.15 percent and 7.45 percent, respectively. Laurus Labs Limited has an earnings per share (EPS) of Rs. 12.7, and its debt-to-equity ratio is 0.46x.
Revenue Mix of Q3 FY26
Laurus Labs Limited reported Q3 FY26 revenues of Rs. 1,778 crore, with Generic APIs contributing 41 percent, Generic FDF 34 percent, CDMO-Small Molecules 23 percent, and Bio products 2 percent.
Laurus Labs Limited derived ~75 percent of Q3 FY26 revenue from Generics and ~25 percent from CDMO & Bio segments. While the Generics segment grew 6 percent YoY, the CDMO business declined 6 percent YoY, reflecting softer custom manufacturing demand during the quarter.
Future Outlook FY26
Laurus Labs Limited remains well-positioned for healthy operational growth in FY26, supported by strong revenue momentum from the CDMO business, ramp-up of growth projects, and steady performance in Generics.
EBITDA margins are expected to improve, aided by better asset utilization and a favorable product mix. The company continues to maintain balance sheet discipline while pursuing planned CAPEX investments to support long-term growth and operational excellence.
Company Overview
Laurus Labs Limited was established in 2005 and is headquartered in Hyderabad, India. The company engages in developing and manufacturing active pharmaceutical ingredients, formulations, and biotechnology products. It leads in anti-retroviral, oncology, and hepatitis C therapies, alongside custom synthesis for global pharma clients.
With facilities certified by USFDA and EU GMP, the company emphasizes research-driven innovation, backward integration, and affordable generics across cardiovascular, gastro, and other segments, serving over 60 countries through strategic R&D and sustainable practices.
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