1. Opening Hook
Cipla’s Q3 concall felt like a farewell speech, a succession plan, and a damage-control briefing rolled into one. Revlimid finally packed its bags, Lanreotide tripped over a USFDA cable, and margins decided to take the stairs down instead of the elevator. Yet, management showed up smiling, armed with peptides, inhalers, and optimism strong enough to qualify as a chronic therapy.
India kept humming, the US stumbled but didn’t faceplant, and R&D bills arrived with no discounts applied. Somewhere between “temporary disruption” and “largest product after Revlimid,” Cipla asked investors to stay calm and read the footnotes.
Stick around—because the real story isn’t the quarter gone by, but the pipeline that management swears will make everyone forget Revlimid ever existed.
2. At a Glance
- Revenue flat YoY at ₹7,074 cr – Revlimid exited stage left; base business tried to clap politely.
- EBITDA margin at 17.7% – When high-margin drugs leave, spreadsheets start sweating.
- R&D spend up 37% YoY – Innovation is expensive, especially when you buy APIs in bulk.
- PAT at ₹676 cr – Includes a ₹276 cr labour-code surprise, courtesy of policy updates.
- Net cash ₹10,229 cr – Still rich enough to absorb a few regulatory
- hiccups.
3. Management’s Key Commentary
“We delivered revenues of over ₹7,000 crores despite the known drop in generic Revlimid sales.”
(Translation: Revlimid is gone, please stop asking about it 😏)
“Respiratory crossed ₹5,000 crores for the first time in IPM.”
(Translation: Inhalers are paying the bills now 😮💨)
“Lanreotide resupply is expected in H1 FY27.”
(Translation: Short-term pain, long-term prayers 🙏)
“R&D investments were 7% of revenue this quarter.”
(Translation: Margin today, molecules tomorrow 🧪)
“FY26 EBITDA margin guidance to land around 21%.”
(Translation: Q4, please cooperate 😬)
“Some upcoming respiratory launches could be among our largest products.”
(Translation: We promise, this time it’s really big 😏)
4. Numbers Decoded
| Metric | Q3 FY26 | Decoded Take |
|---|---|---|
| Revenue | ₹7,074 cr | Flat YoY, but structurally cleaner |
| EBITDA Margin | 17.7% | Revlimid hangover + R&D binge |
| Gross Margin | 62.8% | Mix issues and R&D materials dragged it |
| R&D Spend | ₹494 cr | Pipeline being force-fed |
| Net Cash | ₹10,229 cr | Balance sheet still flexing |
