Granules India Limited (GRANULES)
₹825.35 +1.65% last close, 16 Oct
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, Granules India's revenue was ₹1,477 Cr (+22.0% year on year, +0.4% on the previous quarter), and net profit ₹180 Cr (+59.3% year on year); the operating margin was 22.9%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹1,477 | +22.0% | +0.4% |
| Operating profit | ₹339 | +37.2% | -3.7% |
| Net profit | ₹180 | +59.3% | -10.9% |
| EPS (₹) | 7.26 | +56.5% | -10.7% |
| Operating margin | 22.9% | — | — |
GRANULES delivery percentage
NSE end-of-day data for
On Fri, 16 Oct 2026, 48.47% of the GRANULES shares traded on NSE were taken to delivery, against the stock's own 20-session average of 50.22%. That is close to its usual level.
Delivery in the last 5 sessions: 58.1% · 44.1% · 46.7% · 43.0% · 48.5%
A description of what the exchange published, not a recommendation. Names such as "accumulation" or "long buildup" label a pattern in the numbers. How delivery is analysed
📢 Recent Corporate Announcements
Granules India Limited has submitted an ANDA with a Paragraph IV certification for Ruxolitinib Extended-Release Tablets. Based on the filing timeline, the company believes it is eligible for sole first-to-file status, which could grant 180 days of generic marketing exclusivity under U.S. law upon approval. The filing represents Granules' ongoing push into higher-value, technically complex generic formulations in the U.S. market. However, the application remains subject to FDA review, Paragraph IV litigation risks, and final determination of exclusivity status.
- Submitted Paragraph IV certification for Ruxolitinib Extended-Release Tablets ANDA
- Potential eligibility for 180 days of generic drug exclusivity under U.S. law upon approval
- Serves as part of company's portfolio expansion across its 10 manufacturing facilities globally
- Follows Granules' base of 91 total US FDA approvals as of recent filings
Granules India released the transcript of its 'Granules India 2.0' investor webinar held on September 29, 2026. Management highlighted that complex generics rose from 1% of overall revenue in FY20 to 33% in FY26, accounting for 45-50% of finished dosages. The company is advancing two sole first-to-file ANDAs (Generic Lumryz and Generic Dyanavel) targeting a combined US market size exceeding $350 million. In addition, CFO Mukesh Surana noted that FY26 was burdened by ~₹100 crore in abnormal costs, including ~₹60 crore for US FDA remediation consultancy and related logistics.
- Complex generics contribution increased from 1% of revenue in FY20 to 33% in FY26 (45-50% of finished dosages)
- Filed two sole first-to-file ANDAs (Generic Lumryz and Generic Dyanavel) addressing an aggregate US market >$350 million
- Pipeline includes 4-5 additional first-to-file opportunities planned to commercialize between FY30 and FY34
- Incurred ~₹100 crore in abnormal expenses in the prior year, including ~₹60 crore for US FDA remediation consultancy and failure-to-supply costs
Granules India Limited has incorporated a wholly owned foreign subsidiary named TRITON FARMACEUTICA DO BRASIL LTDA in Brazil. The new entity is formed to manufacture, promote, sell, and distribute pharmaceuticals and related products in Brazil. The subsidiary has not yet started business operations, and the acquisition cost is currently not disclosed/not applicable. This move aligns with Granules' ongoing strategy to expand its finished dosages and PFI footprint across Latin American markets.
- Incorporated wholly owned foreign subsidiary named TRITON FARMACEUTICA DO BRASIL LTDA in Brazil
- Entity established to manufacture, promote, sell, and distribute pharmaceutical products in Brazil
- Acquisition cost and consideration listed as Not Applicable; operations have not yet commenced
- Approval process falls under the Reserve Bank of India (RBI) automatic route
Granules India has scheduled an investor webinar organized by IIFL Capital on September 29, 2026, to discuss its 'Granules 2.0' transformation journey. The company noted that finished formulations now contribute approximately 75% of revenue, while legacy-5 product concentration has dropped from ~85% in FY23 to below 50% in FY26. Management will also discuss growth avenues including controlled substances, oncology opportunities from FY28, and a targeted $100M peptide CDMO revenue goal over the next 4-5 years via Senn Chemicals.
- Webinar organized by IIFL Capital scheduled for September 29, 2026, at 4:30 p.m. IST
- Formulations now account for ~75% of total revenue
- Legacy-5 product concentration reduced from ~85% in FY23 to <50% in FY26
- Targeting a USD 100m revenue opportunity in peptide CDMO over the next 4-5 years
Granules India Limited has allotted 2,49,82,906 equity shares of face value Re. 1/- each to promoter group members upon conversion of warrants. The conversion was executed at an issue price of ₹585 per share, representing total proceeds of ₹1,461.50 crore (including the initial 25% upfront subscription). This equity infusion is substantial, equivalent to ~28.4% of TTM revenue (₹5,140 Cr) and ~7.1% of the company's current market cap. The total paid-up equity share capital expands from 24,77,96,921 to 27,27,79,827 shares, leaving 17,094 non-promoter warrants outstanding.
- Allotment of 2,49,82,906 equity shares at an issue price of ₹585 per share upon warrant conversion
- Total consideration received stands at ₹1,461.50 crore (receipt of remaining 75% balance)
- Paid-up share capital increases from ₹24,77,96,921 to ₹27,27,79,827
- Promoter group member Ms. Chigurupati Uma Devi allotted 2,48,80,342 shares, raising her stake from 3.73% to 12.51%
- Only 17,094 non-promoter warrants remain outstanding for conversion
Granules India announced that its promoter group has remitted the balance 75% subscription amount of ₹1,093 crore towards preferential convertible warrants. Consequently, 2,49,14,530 warrants are fully paid and eligible for conversion into equity shares. The capital infusion turns the company into a net cash surplus position on a consolidated basis, significantly exceeding its existing total debt of ₹828 crore. The proceeds will provide growth capital to accelerate business initiatives and capital expenditure ahead of schedule.
- Promoter group paid balance 75% warrant subscription amount of ₹1,093 crore
- 2,49,14,530 warrants are now fully paid and eligible for conversion into equity shares
- Inflow moves the company into a net cash surplus position on a consolidated basis
- Capital inflow of ₹1,093 crore represents ~5.1% of market cap (₹21,468 Cr) and ~24.8% of net worth (₹4,399 Cr)
Promoter Dr. Krishna Prasad Chigurupati sold 1,72,00,000 equity shares of Granules India on September 11, 2026, through block deals and the open market. Following the stake sale, aggregate Promoter and Promoter Group holding reduced from 38.02% to 31.08% (37.39% on a diluted basis). Dr. Chigurupati's individual holding fell from 31.00% to 24.06%. The proceeds will be used to fund the second tranche of the company's ongoing preferential issue and finance strategic growth initiatives.
- Promoter Dr. Krishna Prasad Chigurupati sold 1,72,00,000 equity shares via block deal & open market on September 11, 2026
- Aggregate Promoter and Promoter Group stake decreased from 38.02% to 31.08% (37.39% on a diluted basis)
- Individual promoter holding reduced by 6.94% from 31.00% to 24.06%
- Institutional buyers included Capital Group, ChrysCapital, Kotak Mahindra Life Insurance, and Allspring
- Sale was executed to fund the second tranche of the company's ongoing preferential issue
Granules India Limited has notified the exchanges that management will meet with a group of analysts, investors, and funds on September 18, 2026, in Hyderabad. The company confirmed that no unpublished price-sensitive information (UPSI) will be discussed during the interaction. The schedule remains tentative and subject to changes. With a market cap of ₹21,807 crore and TTM revenue of ₹5,140 crore, such institutional interactions are routine disclosure obligations under SEBI listing regulations.
- Meeting scheduled with analysts/investors/funds on September 18, 2026
- Meeting location set for Hyderabad
- Filing confirms no unpublished price-sensitive information will be shared
- Intimation filed pursuant to Regulation 30 of SEBI LODR Regulations, 2015
Granules India announced that its Chief Strategy Officer has resigned from his corporate role effective August 13, 2026, pursuant to an internal transfer. He will take over as the Chief Executive Officer of Ascelis Peptides Private Limited, a wholly owned subsidiary of the company. This leadership transition places focused executive management at Ascelis Peptides, which forms a key pillar of Granules' peptide growth strategy.
- Resignation from Chief Strategy Officer role effective August 13, 2026
- Appointed as Chief Executive Officer of wholly owned subsidiary Ascelis Peptides Private Limited
- Internal transfer approved by the management rather than an external departure
Granules India has internally transferred its Chief Strategy Officer, Mr. Sanjay Kumar, to the role of CEO at its wholly-owned subsidiary, Ascelis Peptides Private Limited, effective August 13, 2026. This move provides dedicated leadership to the company's peptide and specialized segments, which are central to its 15-20% growth target. Ascelis Peptides is a critical but currently loss-making unit, having reported an EBITDA loss of INR 20 Cr. The transition follows Granules' significant investments in the space, including the INR 450 Cr acquisition of Senn Chemicals AG.
- Mr. Sanjay Kumar transitions from Group Chief Strategy Officer to CEO of Ascelis Peptides on August 13, 2026
- Ascelis Peptides is a 100% wholly-owned subsidiary focused on the high-margin peptide portfolio
- The parent company maintains a TTM revenue of Rs 4,474 Cr with a 21.6% operating margin
- Management aims to address the INR 20 Cr EBITDA loss previously reported by the Ascelis unit
- The move supports the integration of the INR 450 Cr Senn Chemicals acquisition into the CDMO vertical
Granules India concluded its 35th Annual General Meeting on August 6, 2026, with shareholders approving all proposed resolutions. A final dividend of ₹1.75 per equity share for FY 2025-26 was ratified, representing a payout of approximately 8.3% of the TTM EPS of ₹20.97. The meeting also confirmed the re-appointment of Ms. Priyanka Chigurupati as Executive Director with 99.68% majority. Total attendance was 67 members, and the voting process was conducted via remote e-voting and electronic voting during the meeting.
- Final dividend of ₹1.75 per equity share approved for the financial year 2025-26
- Total of 1,83,956 shareholders were on record as of the July 30, 2026 cut-off date
- Resolution for adoption of FY26 audited financial statements passed with 99.9979% majority
- Re-appointment of Ms. Priyanka Chigurupati as Executive Director approved with 17,58,26,229 votes in favor
- AGM proceedings concluded within 64 minutes, involving 67 participating members
Granules India reported its strongest Q1 ever, with revenue growing 22% YoY to ₹1,477 cr and PAT surging 60% to ₹180 cr. The company is successfully shifting its product mix, with complex generics now accounting for 50% of finished dosages, up from 39% a year ago. Financial health is robust with ROCE improving to 18% and the company becoming virtually debt-free with a Net Debt/EBITDA of 0.07x. Management confirmed that remediation at the Gagillapur facility is complete, with 9 product applications currently awaiting regulatory clearance to launch.
- Revenue grew 22% YoY to ₹1,477 cr, representing approximately 33% of the previous TTM revenue in a single quarter.
- PAT increased 60% YoY to ₹180 cr, supported by healthy gross margins of 65.6%.
- Complex generics share of finished dosages rose to 50%, compared to 39% in the same quarter last year.
- Peptide CDMO business (Senn Chemicals) delivered over 100% YoY growth, contributing CHF 5 million in Q1.
- Generated ₹387 cr in operating cash flow during the quarter, reducing Net Debt/EBITDA to 0.07x.
Granules India has made the audio recording of its Q1 FY27 earnings conference call available to the public. This follows the company's scheduled call and the initial intimation provided on July 09, 2026. The recording provides management's detailed commentary on the company's performance, including progress on its 15-20% growth target and the integration of Senn Chemicals. Investors can access the recording via the company's website to gain insights into the latest quarterly results and strategic outlook.
- Audio recording of the Q1 FY27 earnings conference call has been uploaded to the company website.
- The filing follows the initial schedule intimation dated July 09, 2026.
- Granules India maintains a TTM revenue of ₹4,474 Cr and a market cap of ₹21,451 Cr.
- Management continues to target a long-term growth rate of 15-20% through CDMO and peptide expansion.
Granules India reported a robust Q1 FY27 with revenue increasing 22% YoY to INR 14,768 Mn, representing approximately 33% of TTM revenue. Net profit (PAT) surged 60% YoY to INR 1,800 Mn, supported by an improved EBITDA margin of 23% compared to 20% in the year-ago period. A significant highlight is the aggressive deleveraging, with net debt decreasing by INR 8,467 Mn YoY to just INR 1,012 Mn, resulting in a low Net Debt to EBITDA ratio of 0.07x. While North America remains the dominant market at 72% of revenue, the company is seeing growth in Europe and its new Peptides CDMO segment which now contributes 4% of revenue.
- PAT grew 60% YoY to INR 1,800 Mn in Q1 FY27 compared to INR 1,126 Mn in Q1 FY26
- Net debt saw a sharp reduction of INR 8,467 Mn from Q1 FY26 levels, standing at INR 1,012 Mn
- Finished Dosages (FD) remains the core driver, contributing 74% of total revenue in Q1 FY27
- ROCE improved to 18.0% in Q1 FY27 from 17.6% in the full year FY26
- EBITDA margins expanded to 23% in Q1 FY27 from 20% in Q1 FY26, despite a 4% QoQ dip
Granules India has released its Integrated Annual Report for FY 2025-26 and scheduled its 35th Annual General Meeting for August 06, 2026. The company reported a 20% YoY revenue growth to ₹5,365.6 crore and a 19% increase in Profit After Tax (PAT) to ₹595 crore. R&D expenditure stood at ₹285.3 crore, supporting a portfolio of 100+ molecules and a massive finished dosage capacity of 39 billion+ units. The report emphasizes a strategic shift toward high-margin segments including Peptides and CDMO services.
- FY 2025-26 Revenue reached ₹5,365.6 crore, representing a 20% increase over FY25
- Profit After Tax (PAT) grew by 19% year-on-year to ₹595 crore
- Annual Finished Dosage (FD) capacity maintained at 39 billion+ units across 10 manufacturing facilities
- R&D expenditure for the fiscal year was ₹285.3 crore, focusing on 59 complex generic filings
- The company serves 300+ global customers across 80+ countries with 148 total dossiers filed
Financial Performance
Revenue Growth by Segment
In Q2 FY26, Finished Dosages (FD) grew 29% YoY to INR 965.7 Cr (74% of revenue). Pharmaceutical Formulation Intermediates (PFI) grew 76% YoY to INR 133.1 Cr (10% share). Active Pharmaceutical Ingredients (API) grew 20% YoY to INR 170.5 Cr (13% share). Peptides/CDMO contributed INR 27.6 Cr (2% share).
Geographic Revenue Split
North America remains the largest market at 76% of revenue (INR 988.2 Cr), growing 30% YoY. Europe contributed 12% (INR 152.8 Cr), growing 66% YoY. Rest of World (ROW) contributed 12% (INR 155.9 Cr), growing 37% YoY.
Profitability Margins
Gross Margin expanded 82 bps YoY to 65.7% in Q2 FY26 due to improved product mix and operational efficiency. PAT margin stood at 10.1% (INR 130.6 Cr), up 34% YoY from INR 97.2 Cr.
EBITDA Margin
EBITDA margin was 21.5% in Q2 FY26, an improvement of 42 bps YoY and 106 bps QoQ. Absolute EBITDA rose 37% YoY to INR 278.2 Cr, despite an EBITDA loss of INR 20 Cr from the Ascelis Peptides acquisition.
Capital Expenditure
CAPEX spend in Q2 FY26 was INR 211.2 Cr, significantly higher than INR 113.7 Cr in Q1 FY26. Total planned CAPEX for FY2025 is approximately INR 600 Cr, focusing on scaling up the CDMO business and facility upgrades.
Credit Rating & Borrowing
ICRA maintains an adequate liquidity profile with cash balances of INR 381.1 Cr as of March 2024. Net Debt stood at INR 1,024.1 Cr in Q2 FY26 with a Net Debt/EBITDA ratio of 0.98x. Term loan repayments are scheduled at INR 100 Cr for FY25 and INR 50 Cr for FY26.
Operational Drivers
Raw Materials
Key starting materials (KSMs) for core APIs including Paracetamol, Ibuprofen, Metformin, Methocarbamol, and Guaifenesin. These five products historically represent a significant portion of revenue, with 4 out of 5 being backward integrated.
Import Sources
Sourced globally with significant backward integration in India (Gagillapur and Bonthapally facilities) to mitigate supply chain volatility from external markets like China.
Key Suppliers
Not specifically named in documents, but the company utilizes a mix of internal manufacturing for 4/5 key APIs and external vendors for specialized KSMs.
Capacity Expansion
Operates 11 manufacturing facilities (8 in India, 2 in USA, 1 in Switzerland). Recent expansion includes a new subsidiary, Granules Pharmaceuticals Canada, Inc., and the acquisition of Senn Chemicals AG for CDMO capacity.
Raw Material Costs
Raw material costs are managed through vertical integration, maintaining operating margins between 18-20%. Gross margins improved to 65.7% in Q2 FY26 due to better operational efficiency and product mix.
Manufacturing Efficiency
Productivity improvements at the Gagillapur facility and the start of monograph product manufacturing at Genome Valley have enhanced throughput. Fixed Asset Turn stood at 1.46 in Q2 FY26.
Logistics & Distribution
Distribution spans 300+ customers in 80+ countries. The US front-end division (Granules Consumer Health) leverages integrated supply chains to improve OTC product margins.
Strategic Growth
Expected Growth Rate
15-20%
Growth Strategy
Growth will be driven by scaling the CDMO business (Senn Chemicals), expanding the peptide portfolio (Ascelis), and entering the Canadian market. The company is also gaining market share in existing products approved 2-3 years ago and expects a revenue boost once the Gagillapur facility clears its US FDA warning letter.
Products & Services
Active Pharmaceutical Ingredients (APIs), Pharmaceutical Formulation Intermediates (PFIs), Finished Dosages (FDs), Peptides, and CDMO services for innovators.
Brand Portfolio
Granules India, Granules Consumer Health, Senn Chemicals, Ascelis Peptides.
New Products/Services
Focus on controlled substances, OTC products, and monograph products from Genome Valley. 3 ANDAs were filed in Q2 FY26, adding to 91 total US FDA approvals.
Market Expansion
Incorporated Granules Pharmaceuticals Canada, Inc. in November 2025 to target the Canadian prescription generic market. Continued penetration in LATAM and Europe for PFI and FD segments.
Market Share & Ranking
One of the few global players present across the entire pharmaceutical value chain. Gaining share in US generic markets through long-term product positioning.
Strategic Alliances
CDMO partnerships where Granules acts as a 'co-traveler' with innovators on long-term projects (FY27-FY28 horizon).
External Factors
Industry Trends
The industry is shifting toward specialized CDMO services and complex molecules like peptides. Granules is positioning itself by moving from high-volume generics to value-added CDMO and peptide manufacturing.
Competitive Landscape
Faces intense competition in the generic space from other Indian and global pharma majors, mitigated by high-volume manufacturing efficiencies.
Competitive Moat
Moat is built on 'cost leadership through vertical integration' and 'regulatory excellence.' Being present from API to FD allows for superior margin control compared to non-integrated peers.
Macro Economic Sensitivity
Sensitive to Indian and international interest rates and changes in foreign exchange control regulations in India.
Consumer Behavior
Increasing demand for OTC products in the US market, which Granules is capturing through its front-end division and zero-observation packaging facilities.
Geopolitical Risks
Changes in political conditions in India or destination countries and evolving global pharmaceutical regulations pose risks to the 80+ countries of operation.
Regulatory & Governance
Industry Regulations
Operations are governed by US FDA, EDQM, EU GMP, and WHO GMP. The Gagillapur facility is currently undergoing remediation following a US FDA inspection in August 2024.
Environmental Compliance
Achieved 'A' rating in CDP Climate Change (2025), reflecting a two-level improvement. Invests in ESG to meet global standards required by international partners.
Taxation Policy Impact
Subject to Indian corporate tax rates and international tax laws for subsidiaries in the US, Switzerland, and Canada.
Legal Contingencies
The company faces industry-wide social risks related to product safety litigation and high manufacturing compliance standards. A US FDA warning letter for Gagillapur is the primary active regulatory hurdle.
Risk Analysis
Key Uncertainties
The timeline for the US FDA re-inspection of the Gagillapur facility (scheduled for January 2026) is a major uncertainty that could delay new product launches.
Geographic Concentration Risk
High concentration in North America (76% of revenue), making the company highly sensitive to US regulatory changes and generic pricing dynamics.
Third Party Dependencies
While vertically integrated for 4/5 key APIs, the company still depends on external suppliers for specialized KSMs and chemicals for its CDMO division.
Technology Obsolescence Risk
Risk of digital disruption and information security incidents (similar to the one in FY2024). Mitigation involves continuous R&D (5.4% of sales) and IT infrastructure upgrades.
Credit & Counterparty Risk
Adequate liquidity and a Net Debt/EBITDA of 0.98x suggest low credit risk, though working capital intensity (204-day cycle) requires constant monitoring.
