Poly Medicure reported robust Q3 FY26 consolidated revenue of INR494 crores, marking a 16.4% YoY growth. The company is successfully transitioning to high-complexity segments, underscored by the integration of recent acquisitions. Key regulatory milestones include DCGI approval for the IVL and DEB products. Management remains optimistic about sustained double-digit growth, supported by strategic global expansion and R&D investment.
Q3 FY26 Financial Highlights
Poly Medicure announced strong performance for the quarter ended December 2025. Consolidated revenue reached INR494 crores, representing approximately 16.4% year-on-year growth and 11.2% quarter-on-quarter growth.
Gross profit for Q3 stood at INR338 crores, achieving a gross margin of 68.4%, an increase of almost 300 bps YoY. Operating EBITDA for the quarter was INR119 crores (excluding INR6-7 crores in acquisition costs), yielding an operating EBITDA margin of 24.2%. On a standalone basis, operating EBITDA was INR112 crores with a margin of 26.8%.
The consolidated Profit After Tax (PAT) was INR71 crores, impacted by one-time extraordinary expenses of INR6.8 crores related to the Labor Code implementation and acquisition costs.
9-Month Performance Review
For the nine months ending December 2025, consolidated revenue was INR1,341 crores, reflecting 9.1% YoY growth. Gross profit was INR922 crores (68.8% margin), an increase of 190 bps YoY. Operating EBITDA for 9 months was INR345 crores (excluding INR9.7 crores in acquisition costs), resulting in a margin of 25.8%. PAT was INR256 crores, a 3.6% YoY growth, with a net margin of 17.7%.
Segmental Performance and Strategic Shifts
Domestic Market Focus
Domestic revenue showed strong year-on-year growth of 16.2% in Q3 FY26. The private market, which constitutes about 88% of domestic business, grew by an impressive 22.5%. Management is deliberately reducing exposure to the government business (which saw an 18% degrowth) due to lower pricing and payment delays, aiming for the private segment to eventually constitute 92%-93% of domestic sales.
International Business
International business revenue was INR342 crores, showing a 16.6% YoY growth, benefiting from the consolidation of the two new acquisitions. European revenue alone grew 25.7% YoY to INR162 crores. Management noted headwinds from Chinese dumping but remains optimistic, highlighting recent contract wins with the U.K.’s NHS.
Business Divestment and New Launches
The company is actively shifting from low-technology products to high-complexity areas like Cardiology, Critical Care, and Orthopedics, exemplified by the successful acquisitions of PendraCare and Citieffe Group. Furthermore, full regulatory approval was received from the DCGI for two next-generation products: the Intravenous Lithotripsy System (IVL) and Drug Eluting Balloon (DEB), both high-end technologies developed in-house.
In the Renal business, Q3 revenue reached INR45 crores (15.1% YoY growth). The full-year guidance for machine placements has been revised downward to around 450 units from an initial projection of 500-600, though management bids are in for over 600 machines for the next fiscal year.
Outlook and Forward Guidance
Management expects the second half (H2) revenue to end approximately 20% higher than H1 on a consolidated basis. For FY27, the standalone domestic business is projected to grow around 25%, while export business is guided for 12% to 15% growth. The company maintains a strong liquidity position of INR840 crores to fund organic and inorganic growth.
Significant capital expenditure of INR234 crores has been deployed in the first nine months to set up new plants in Mitrol, Haridwar, and Jewar, with facilities expected to be operational within 18 to 24 months.
Source: BSE
