Cipla Q2 preview: Pharma major may see stable qtr; check key estimates here

Cipla is expected to report a profit after tax (PAT) of ₹1,361.6 crore for the September 2025 quarter, against ₹1,302.5 crore in Q2FY25

Cipla Q2FY26 results preview: India’s leading pharmaceutical company, Cipla, is expected to report steady year-on-year (Y-o-Y) growth in revenue and profit for the July–September quarter of FY26, supported by continued traction in its domestic, Africa, and Europe businesses. However, muted performance in the US market due to pricing pressure and lower gRevlimid sales could weigh on overall profitability. Sequentially, while revenue is likely to rise, margins may come under pressure amid higher R&D expenses.

 

The Mumbai-headquartered pharma major is scheduled to announce its July–September quarter (Q2FY26) results on Thursday, October 30, 2025.

 

According to brokerages tracked by Business Standard, Cipla may see its revenue increase by 4.5 per cent Y-o-Y to ₹7,369.2 crore against ₹7,051 crore in the September quarter of FY25. Similarly, on a quarter-on-quarter (Q-o-Q) basis, the topline may grow by 5.9 per cent compared to ₹6,957.5 crore in Q1FY26.

 

 

The pharma major is expected to report a profit after tax (PAT) of ₹1,361.6 crore for the September 2025 quarter, against ₹1,302.5 crore in Q2FY25, implying an increase of only 4.53 per cent Y-o-Y. On a quarterly basis, profits could fall by a significant 24.5 per cent. The company reported a PAT of ₹1,801.9 crore in the June quarter of FY26 (Q1FY26).

 

According to brokerage forecasts, the company's earnings before interest, tax, depreciation and amortisation (Ebitda) is likely to slightly decrease by nearly 1 per cent to ₹1,869.1 crore in Q2FY26 compared to ₹1,885.6 crore in the year-ago period. However, on a sequential basis, Ebidta may increase 5.1 per cent from ₹1,778.1 crore in the June 2025 quarter.    

Here's what brokerages expect from Cipla Q2FY26 results:

Kotak Institutional Equities

According to Kotak Institutional Equities, Cipla’s domestic business is expected to post around 7 per cent Y-o-Y growth in Q2FY26, coming off a low base of 4.7 per cent in the same quarter last year, partly impacted by the GST effect. In the US market, the brokerage expects slightly weaker gRevlimid sales due to pricing pressure, along with relatively stable Q-o-Q performance in Lanreotide and Albuterol, leading to an estimated US revenue of about $220 million, around 3 per cent lower sequentially.

 

Sales from the “One Africa” region are projected to rise 9 per cent Y-o-Y, supported by 8 per cent growth in South Africa and a favourable INR-ZAR movement. The brokerage also expects a 10 per cent increase in sales from Europe and the rest of the world. Overall, Cipla’s Q2FY26 revenue is forecast to grow 5 per cent Y-o-Y and 6 per cent sequentially.

 

Kotak estimates the company’s gross margin to contract by 130 basis points Q-o-Q to 67.5 per cent, while Ebitda may decline 4 per cent Y-o-Y to ₹18 billion, with margins slipping 230 basis points to 24.4 per cent.

Systematix Institutional Equities

Systematix Institutional Equities expects the pharma major to post low single-digit Y-o-Y growth in its US generics business for Q2FY26, as continued weakness in gRevlimid sales is likely to be partly offset by new launches such as gAbraxane. As per AIOCD AWACS data, the company’s India-branded formulations segment is likely to report modest 7.5 per cent Y-o-Y growth.

 

Key factors to watch during the Q2 earnings call include updates on the company’s product pipeline, particularly progress on gAdvair and other upcoming launches, the brokerage said.

Choice Institutional Equities

The brokerage expects Cipla to maintain its growth momentum in Africa, with mid-single-digit expansion anticipated across other regions. The brokerage sees a slight moderation in margins, driven by higher R&D spending in line with the company’s guidance. Key monitorables for the quarter include the performance of Cipla’s new US biosimilar and updates on the launch timeline for its GLP-1 portfolio.