Blue Jet Healthcare reported Q3 FY26 Revenue from Operations at Rs. 1,924 mn, marking a 16% increase QoQ, though EBITDA margin compressed to 24%. The 9M FY26 performance showed a 3% YoY revenue increase to Rs. 7,127 mn. Business updates confirmed land possession near Vizag, execution of an R&D center lease in Hyderabad, and receipt of CARE A1+ and A+ credit ratings, reinforcing stability and growth initiatives across all three primary business segments.
Q3 FY26 Performance Highlights (QoQ Comparison)
Blue Jet Healthcare announced its financial results for the quarter ended December 31, 2025. For Q3 FY26, the Revenue from Operation stood at Rs. 1,924 mn, an increase of 16% compared to Q2 FY26 (Rs. 1,655 mn). However, profitability metrics saw a decline sequentially: EBITDA was Rs. 469 mn (24% Margin), down 15%, and PAT was Rs. 402 mn (21% Margin), down 23%.
The company noted that the Gross Margin for Q3 FY26 was 52%, slightly lower than the standard trend due to a change in product mix and a one-time inventory write-off. The lower EBITDA margin was attributed to lower sales volume operating leverage, a one-time Rs. 6 mn impact from Labour Code Implementation, and engagement with a Foreign Consultant.
Q3 FY26 vs. Q3 FY25 (YoY Comparison)
Year-over-year, Q3 FY26 revenue decreased by 39.7% to Rs. 1,911 mn (Total Revenue). EBITDA saw a significant drop of 62% YoY to Rs. 469 mn (24.4% Margin) from Rs. 1,240 mn (39.0% Margin) in Q3 FY25. Similarly, PAT fell 59.4% YoY to Rs. 402 mn.
The YoY decrease in revenue was attributed primarily to lower sales volumes in the Pharma Intermediates & API and Artificial Sweeteners segments. The Gross Margin for Q3 FY26 was 52% versus 55% in Q3 FY25, impacted by product mix changes and inventory write-offs.
Nine Months Ended FY26 Performance (YoY Comparison)
For the nine months ended December 31, 2025 (9M FY26), Revenue from Operation grew by 3% YoY to Rs. 7,127 mn (compared to Rs. 6,895 mn in 9M FY25). EBITDA decreased by 6% YoY to Rs. 2,228 mn (31% Margin) from Rs. 2,378 mn (34.5% Margin). PAT declined by 6% YoY to Rs. 1,835 mn.
The revenue increase in 9M FY26 was driven by higher sales in the Pharma Intermediates (PI) segment (up 11.0%). Gross Margin for the 9-month period stood at 53% versus 55% in 9M FY25, due to product mix. Other income saw a substantial boost, increasing by 34% [Rs 457 mn] due to higher net foreign exchange gains and treasury income.
Key Business Updates (Q3 & 9M FY26)
The company highlighted several significant operational developments:
- The company completed possession of a land parcel near Vizag by executing the sale deed.
- A lease agreement was executed and registered for establishing a R&D center in Hyderabad, covering 57,240 sq.ft. for a period of 10 years.
- CARE assigned the company ratings of A1+ [Short term] and A+ [Long term] for its bank facilities, indicating a very strong degree of safety regarding timely payment obligations.
Historical Financial Context (Last Five Years)
Reviewing long-term trends, Revenue from Operations (FY21 to FY25) demonstrated a CAGR of 26.2%, reaching Rs. 10,300 mn in FY25. The Pharma Intermediates & API segment showed explosive growth historically, with a CAGR of 82.4% across the relevant periods shown.
Segment Performance Snapshot (FY25)
As of FY25, the revenue contribution was distributed as follows:
- Pharma Intermediates & APIs: 45.10% contribution, with 28 commercialized products.
- Contrast Media Intermediates: 39.40% contribution, with 19 commercialized products.
- High Intensity Sweeteners: 13.00% contribution, with 4 commercialized products.
Strategic Focus Moving Forward
Blue Jet Healthcare’s growth strategy centers on five core pillars:
- Focus on operational efficiency and mitigation of supply chain risks.
- Continue to forward integrate into more advanced intermediates for Contrast Media.
- Leverage long-standing customer relationships to enter adjacencies in the pharma intermediate and API category.
- Build additional production capacity to meet anticipated customer demand increases.
- Continue to invest in R&D infrastructure and capabilities.
Contrast Media Forward Integration Benefits
Forward integration in Contrast Media offers key benefits, including capturing a larger wallet share with existing customers, achieving higher realization and profitability per unit, and potential for moving up the value chain. This is underpinned by strong product development capabilities and a focus on molecules with outsourcing or alternate sourcing needs for advanced intermediates.
Shareholder Structure
As of December 31, 2025, the Promoter holding constituted a dominant 79.8% of the shareholding, leaving a 20.2% free-float. The company’s Market Capitalization (BSE) stood at Rs. 9,197 Cr, with 17,34,65,425 shares outstanding.
Source: BSE
