Neuland Laboratories announced its financial results for the quarter and nine months ended December 31, 2025. Total Income for Q3FY26 stood at ₹447.8 crore, marking an 11.4% year-over-year growth. However, EBITDA for the quarter was ₹85.0 crore, reflecting a slight 5.9% decline YoY, attributed to shifts in product mix and increased operating expenses. Management expressed confidence in long-term growth opportunities.
Neuland Laboratories Q3 FY26 Performance Highlights
Neuland Laboratories Limited announced its unaudited financial results for the quarter ended December 31, 2025 (Q3FY26). The company reported a Total Income of ₹447.8 crore for the quarter, demonstrating a 11.4% increase compared to the ₹401.9 crore reported in Q3FY25. For the nine-month period (9MFY26), the cumulative Total Income reached ₹1264.5 crore.
Profitability Metrics Analysis
The company’s operational profitability metric, EBITDA, for Q3FY26 was reported at ₹85.0 crore, which is a 5.9% decrease from the ₹90.3 crore recorded in the same period last year. Consequently, the EBITDA Margin contracted significantly, falling to 19.0% in Q3FY26 from 22.5% in Q3FY25. Profit After Tax (PAT) for the quarter stood at ₹40.4 crore, marking a 60.2% decline year-over-year from ₹101.4 crore in Q3FY25.
Management Commentary on Performance
Mr. Sucheth Davuluri, Vice-Chairman and CEO, noted that while quarterly revenues met expectations, the subdued EBITDA margins were a direct result of changes in the product mix and elevated operating expenses. He emphasized that investments continue to be driven by a long-term view to capitalize on upcoming growth opportunities.
Mr. Saharsh Davuluri, Vice Chairman and Managing Director, highlighted increasing customer interest in Neuland’s capabilities as a commercial NCE drug substance manufacturer, noting that current investments are strengthening engagement with existing clients while attracting new partners seeking specialized niche capabilities.
Quarter-on-Quarter Comparison (Q3FY26 vs Q2FY26)
When compared sequentially to Q2FY26, the financial results showed substantial dips across key metrics. Total Income decreased by 13.2% (from ₹516.1 crore to ₹447.8 crore). EBITDA saw a significant sequential drop of 45.8%, leading to an EBITDA Margin contraction of 1140 basis points (bps) to reach 19.0%.
Earnings Call Details
The management is scheduled to discuss these results during a one-hour Earnings Call at 17:30 hrs. IST on Monday, February 9, 2025. A transcript of the call will subsequently be uploaded to the company website.
Source: BSE
