Laurus Labs reported a strong performance for the first half of FY27, with revenue growing 31% year-on-year to ₹4,233 crore. This growth was driven by robust CDMO momentum and the Affordable Medicines division. EBITDA increased by 72% to ₹1,406 crore, with margins expanding significantly. The company also announced key investments in technology platforms to strengthen its integrated CDMO offering.
Laurus Labs Delivers Strong H1 FY27 Performance
Laurus Labs has announced robust financial results for the first half of the financial year 2027 (H1 FY27), with total revenue reaching ₹4,233 crore, marking a significant 31% increase compared to the same period last year. This impressive growth trajectory is primarily attributed to sustained momentum in the CDMO (Contract Development and Manufacturing Organization) segment, bolstered by commercial supplies, and steady performance from the Affordable Medicines division.
Key Financial Highlights
The company’s Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) saw a substantial rise of 72% year-on-year, reaching ₹1,406 crore. EBITDA margins improved to 33.2%, an increase of 780 basis points, reflecting operational leverage and higher CDMO revenue contributions. Net Profit surged by 126% to ₹809 crore, with margins at 19.1%.
Strategic Investments and Capacity Expansion
Laurus Labs is strategically investing in expanding its capabilities. The company has announced investments in two key technology platforms aimed at strengthening its Integrated CDMO offering, specifically in Oligonucleotides and peptide-resins. These moves are expected to enhance its competitive positioning in high-growth modalities. Furthermore, Capital Expenditure (CAPEX) as a percentage of revenue reached 20%, underscoring the company’s commitment to expanding its manufacturing network and niche capabilities.
Divisional Performance Overview
The CDMO segment demonstrated strong growth, with revenue increasing by 71% to ₹1,774 crore. Within CDMO, Small Molecules saw a 77% rise. The Affordable Medicines (AM) division grew by 13% to ₹2,459 crore, driven by API and FDF businesses. The company’s pipeline continues to expand, with a focus on advancing capabilities in areas such as Gene Therapy, ADC, and Cell Therapy.
Quality and Compliance Standards
Laurus Labs continues to uphold the highest standards of quality and compliance, evidenced by 54 successful inspections by major regulators like the US FDA, WHO, EU EMA, and Japan PMDA. The company also maintains over 1460 quality audits and inspections by global customers and regulators since its inception.
Outlook and Future Strategy
The company is focused on accelerating growth across its portfolio, including large-scale peptides API manufacturing, a large-scale API facility (Unit -7), enzyme fermentation capacity enhancement, and a commercial Gene & ADC platform. Laurus Labs intends to invest over ₹3,000 crore over FY27 and FY28 for manufacturing network and capability expansion, aligning with its strategy to strengthen integrated scientific capabilities.
Source: BSE
