Strides Pharma Science Limited has announced robust financial results for FY26, with operational PAT surging 50% YoY to ₹5,181 million. Driven by strong performance in ex-US markets and a 310bps expansion in gross margins, the company reported total annual revenue of ₹48,587 million. The Board has recommended a dividend of ₹5 per share for the financial year, reflecting the firm’s focus on sustainable, profitable growth and operational efficiency.
Annual Financial Highlights
Strides Pharma delivered a strong performance throughout FY26, characterized by significant profitability improvements. The company achieved an EBITDA of ₹9,253 million, reflecting a 15.3% increase year-over-year. The EBITDA margin expanded to 19.0%, an improvement of 140bps. This growth was largely supported by a 6.4% rise in total revenue to ₹48,587 million and a gross margin expansion of 310bps, reaching 59.7%.
Quarterly Performance Analysis
For the final quarter, Q4FY26, the company reported a revenue of ₹13,235 million, marking an 11.2% growth compared to the same period last year. Operational PAT for the quarter stood at ₹1,357 million, up 20% YoY, with an operational EPS of ₹14.7. While the US market remained stable despite a weaker flu season, the ex-US markets continued to be a key driver of growth.
Strategic Growth in Ex-US Markets
The company’s strategy in Ex-US markets yielded a strong 21% YoY growth, helping to offset challenges in other segments. The Other Regulated Markets (ORM) segment recorded revenue of $186 million, while Growth Markets saw a 22% YoY increase. Looking ahead, Strides remains committed to its long-term aspiration of achieving ~$400 million in North America revenue by FY28, supported by a robust pipeline and ongoing investments in complex portfolios like controlled substances and nasal sprays.
Balance Sheet and Operational Discipline
The company maintains a focus on financial discipline, evidenced by a Net Debt/EBITDA ratio of 1.55x. Despite an adverse currency impact, the reported Net Debt stands at ₹14,365 million. Operational cash flow for the year was ₹7,025 million, reflecting the company’s ability to generate steady returns while funding ₹4,179 million in capital expenditure and growth initiatives.
Source: BSE
