Jubilant Pharmova Ltd reported a 21% decline in consolidated net profit to ₹119.3 crore in the March quarter, as compared to ₹151.3 crore in the corresponding period of the previous fiscal year. According to latest regulatory filings, the company's consolidated total revenue from operations stood at ₹2,290 crore during the quarter, compared to ₹1,928.8 crore in the year-ago period. The profit decline was impacted by exceptional items outgo during the quarter, with the company incurring exceptional items outgo of ₹13.7 crore. Total expenses during the quarter were higher at ₹2,124 crore from ₹1,731.3 crore in the corresponding period a year ago.
The company's CDMO-Sterile Injectables (CDMO-SI) business delivered strong 57% growth in the quarter and continues to be the key growth driver. As reported by ET Now, the CDMO business remains an attractive proposition with a pipeline of more than 10 molecules, including one large commercial oncology product. The strong performance in this segment has helped offset some of the challenges faced by the company. According to Chairman Shyam S Bhartia and Co-Chairman Hari S Bhartia, revenue growth is particularly driven by incremental revenue generation from the new and third line in CDMO sterile injectable business.
For the full financial year FY26, Jubilant Pharmova's consolidated profit declined significantly to ₹397.5 crore from ₹836.3 crore in FY25, representing a substantial year-on-year decrease. However, the company showed strong revenue growth with consolidated total revenue from operations reaching ₹8,279.6 crore compared to ₹7,234.5 crore in FY25. The company anticipates EBITDA margins to strengthen from H2 FY27 onwards post-stabilisation of production in Montreal, effectively offsetting higher depreciation costs and driving net profit growth.
Brokerage firm Nuvama Research has retained its 'BUY' rating on Jubilant Pharmova with a 12-month price target of ₹1,140, citing strong CDMO growth potential even as it cut near-term estimates due to ongoing issues at its Montreal facility. According to ET Now, with the stock recently closing at ₹1,006, the revised target suggests a potential upside of over 13% from current levels. The brokerage remains optimistic about the company's long-term growth prospects driven by strong momentum in its CDMO business.
The board has recommended a final dividend of ₹5 per equity share of face value of Re 1 each for the financial year ended March 31, 2026. As reported by ET Now, this dividend declaration provides additional value to shareholders despite the quarterly profit decline and challenging full-year performance.
