Gland Pharma has published its financial results for the second quarter (Q2FY25) which ended on September 30, 2024.

Gland Pharma has reported a consolidated revenue of INR 14,058 million for Q2 FY25, marking a 2 percent increase compared to INR 13,734 million in Q2 FY24. The US market continues to be the largest contributor, generating INR 7,547 million, a 3 percent year-on-year growth. Europe, however, saw a slight decline of 1 percent with revenues at INR 2,459 million.

Commenting on the results, Srinivas Sadu, Executive Chairman and CEO of Gland Pharma, said, “We had a good first half of 2025 and are on course to achieve our outcomes for the full year. This quarter, we reported INR 14,058 million in revenue and INR 2,961 million in EBITDA, representing a 21 percent EBITDA margin. Although our overall EBITDA margin was affected by Cenexi, our base business maintained a steady 34 percent EBITDA margin. Our core regulated markets, particularly the United States, continue to perform well. Our overall performance is in line with expectations. Looking ahead, we remain focused on our strategic priorities, which include entering new markets and building a solid foundation for future growth.”

Remarkably, the Canada, Australia, and New Zealand segment showed a significant 45 percent growth, contributing INR 515 million. The Indian market remained steady with revenues of INR 874 million, while the rest of the world contributed INR 2,663 million, maintaining a flat growth trajectory.

In terms of business highlights, the company incurred R&D expenses of INR 493 million, accounting for 4.6 percent of the revenue. Regulatory activities were robust with 7 ANDAs filed and 8 approvals obtained in Q2 FY25, bringing the total ANDA filings in the US to 363, out of which 304 have been approved. Global product registrations stand at 1,726. The company invested INR 1,037 million in capital expenditure for the quarter.

The US market saw the launch of four new molecules, while in China, four products are under development with five already approved. The company’s portfolio of complex injectables continues to grow, with nine filings out of a targeted 19 products completed.

Six of these have already received approval, with a market potential of USD 7.3 billion. Gland Pharma also entered into a strategic cooperation with Dr. Reddy's Laboratories for biologics CDMO business, leveraging a state-of-the-art facility in Hyderabad.

The consolidated financial performance for Q2 FY25 shows a gross profit of INR 8,304 million, representing a 3 percent decline year-on-year, while the gross profit margin stood at 59 percent. The EBITDA for the quarter was INR 2,961 million, reflecting an 8 percent decrease, and the EBITDA margin dropped to 21 percent from 23 percent in the same quarter of the previous fiscal year.

The profit before tax (PBT) decreased by 11 percent year-on-year to INR 2,568 million, while the profit after tax (PAT) stood at INR 1,635 million, a 16 percent decline compared to the previous year. The PAT margin fell to 12 percent from 14 percent in Q2 FY24.