Marksans Pharma reported a record performance for the first quarter of FY27, with profitability reaching all-time highs as strong growth across key international markets lifted revenue and margins.

 

The company’s operating revenue rose 35.6% year-on-year to Rs. 841 crore in Q1FY27, while EBITDA more than doubled 112.8% to Rs. 213 crore. Profit after tax (PAT) surged 173.9% year-on-year to Rs. 159 crore.

 

The company also crossed a major balance-sheet milestone, with its cash balance reaching Rs. 1,058 crore as of June 30, 2026, despite completing the acquisitions of QliniQ B.V. and ABCnow in Europe during the quarter.

 

Mark Saldanha, Managing Director of Marksans Pharma, said, “Q1FY27 has been a strong start to the year, with an all-time high quarterly EBITDA of Rs. 213 crore and PAT of Rs. 159 crore, reflecting the strength of our underlying business and our continued focus on profitable growth.

 

“UK & Europe delivered their highest-ever quarterly revenue of Rs. 356 crore, growing at 74.7% YoY. More importantly, Europe is emerging as a significant new growth engine for the Group, with the acquisition of QliniQ and the establishment of our front-end presence across the region. 

 

"QliniQ contributed Rs. 44 crore in Q1FY27, marking an important first step in our European expansion. We also crossed Rs. 1,000 crore in cash balance for the first time, closing the quarter at Rs. 1,058 crore, despite the recent acquisitions of QliniQ and ABCnow. This provides us with the financial strength and flexibility to continue investing in organic growth while pursuing calibrated inorganic opportunities."

 

He added: "Looking ahead, our focus is clear: to carry this momentum forward, scale our businesses across geographies, accelerate new launches and further strengthen our European platform. We believe the combination of broad-based growth, expanding margins and a strong balance sheet positions Marksans well for the next phase of sustainable growth.”

 

 

The UK and Europe formulation business delivered its strongest-ever quarter, with revenue climbing 74.7% year-on-year to Rs. 356 crore.

 

The UK recorded its strongest quarter, supported by new product launches, continued market-share gains and a robust order pipeline. Meanwhile, Marksans' European expansion gained momentum following the acquisition of Netherlands-based QliniQ B.V., which contributed Rs. 44 crore in Q1FY27.

 

The company said EU revenue began ahead of its previously expected Q2FY27 timeline, underscoring the early contribution from its European platform.

 

 

The US and North America formulation business generated Rs. 377 crore in Q1FY27 revenue, up 15.1% year-on-year.

 

The region remained Marksans Pharma’s largest market, accounting for around 45% of consolidated revenue. Growth was supported by a healthy order book and new launches strengthening the product pipeline.

 

 

Revenue from the Australia and New Zealand businesses rose 53.7% year-on-year to Rs. 88 crore, driven by continued portfolio expansion and new product launches.

 

The Rest of the World (RoW) business reported revenue of Rs. 20 crore, down 36.8% year-on-year but up 6% sequentially. The sequential improvement marked the first improvement in four quarters.

 

Marksans said Middle East shipments were affected by delays, while improving geopolitical conditions could support a recovery in the coming quarters.

 

 

The company’s gross profit increased 38.9% year-on-year to Rs. 497 crore, with gross margin expanding to 59.1%.

 

EBITDA margin stood at 25.3%, while net margin reached 18.4%, reflecting the sharp improvement in profitability. EPS for the quarter stood at Rs. 3.5.

 

Cash generated from operations stood at Rs. 185 crore, while the company incurred net capital expenditure of Rs. 33 crore, resulting in free cash flow of Rs. 152 crore.

 

The working-capital cycle improved significantly to around 132 days in Q1FY27 from approximately 159 days in Q1FY26.

 

With Rs. 1,058 crore in cash and a net cash position of Rs. 1,031 crore, Marksans enters the rest of FY27 with a strengthened balance sheet.