Strides Pharma Science Limited reported strong Q3 FY26 results, driven by significant growth in its Ex-U.S. markets, which now contribute 47% of the company’s revenue. Gross margins exceeded 60%, and operational PAT increased by 38% year-over-year. The company is optimistic about sustaining this performance, focusing on profitability, geographical diversification, and balance sheet strength. Peter Hardwick has been appointed as CEO of North American Business.
Financial Highlights
Strides Pharma Science Limited reported a 3.6% revenue growth in Q3 FY26. Excluding the institutional business, revenue growth reached 8.6%. The company’s gross margin crossed 60%, aided by a better business mix. EBITDA increased by over 12% year-over-year, and operational PAT grew by 38%.
For the quarter, EBITDA grew 12% year-on-year to Rs. 236 crores, with EBITDA margins at 19.8%. Operational PAT stood at Rs. 128 crores, with an operational PAT margin of 10.7%, representing a 39% year-on-year growth. Operational EPS reached Rs. 13.9 per share.
Ex-U.S. Market Performance
The Ex-U.S. markets contributed 47% of the revenue for Q3 FY26, demonstrating 20% year-on-year growth. Revenue from these markets reached $64 million in the quarter. The company’s ORM (Other Regulated Markets) segment recorded approximately $48 million in revenue, a 21% year-over-year growth.
U.S. Market Update
U.S. revenue remained largely flat at $70 million compared to the same quarter last year. The company discontinued 8 products that did not meet profitability thresholds and experienced slower than expected quota allocations. Peter Hardwick has been appointed as the new CEO of North American Business.
Balance Sheet and ESG
The company’s debt/EBITDA ratio stands at 1.59x. The overall debt has been reduced by approximately Rs. 170 crores. The ESG score improved from 75 to nearly 80, reflecting a continued focus on responsible growth and governance.
Source: BSE
