1. Opening Hook
Just when the Street was busy debating whether pharma APIs are “dead money,” Alivus Life Sciences quietly walked in and flipped the script. CDMO came back from its mid-year vacation, margins stretched like yoga instructors, and management suddenly sounded… confident. Almost suspiciously confident.
This wasn’t a blow-out quarter driven by one lucky molecule. It was more like multiple engines firing together—CDMO recovery, Non-GPL grinding higher, and costs finally behaving themselves. Even the balance sheet decided to show off with cash doing absolutely nothing except existing impressively.
Of course, management swears this is all “as planned.” Sure. Because plans always work exactly on time in pharma.
Read on—because the real fun begins once we translate management optimism into plain English and see what actually moved the needle. 😏
2. At a Glance
- Revenue up 14.4% QoQ: CDMO woke up, had coffee, and remembered how to bill clients.
- EBITDA margin at 36.4%: Margin expansion so strong even raw material inflation blinked first.
- PAT up 15.5% QoQ: Profits finally decided to follow revenues, not ghost them.
- CDMO revenue up 100% QoQ: From “where did the orders go?” to “oh, there they are.”
- Cash at ₹7,330 Mn: Balance sheet flexing without
- saying a word.
3. Management’s Key Commentary
“The CDMO business recovered as expected, delivering the turnaround we had planned.”
(Translation: Yes, it was bad earlier—and yes, this is the bounce we promised.) 😏
“Non-GPL business grew 16% YoY during 9MFY26, in line with guidance.”
(Translation: We said ‘steady growth,’ not fireworks—and we delivered exactly that.)
“We expect high single-digit revenue growth for FY26.”
(Translation: Don’t expect moonshots, expect consistency.)
“Margin expansion is driven by new launches and operational efficiencies.”
(Translation: Product mix improved and factories stopped misbehaving.)
“Advanced-stage discussions are ongoing for select CDMO projects.”
(Translation: Pipeline looks real, but please don’t ask for names.)
“Our focus remains on sustainable, long-term value creation.”
(Translation: No reckless capex, no YOLO expansions—calculated moves only.)
4. Numbers Decoded
| Metric | Q3FY26 | QoQ | YoY |
|---|---|---|---|
| Revenue | ₹6,729 Mn | +14.4% | +4.8% |
| Gross Margin | 58.9% | +120 bps | +330 bps |
| EBITDA Margin | 36.4% | +340 bps | +510 bps |
| PAT | ₹1,503 Mn | +15.5% | +9.7% |
| Free Cash Flow (9M) | ₹2,207 Mn | — | — |
