Mankind Pharma shares drop 4% even as Q3 profit rises; check outlook

Mankind Pharma recorded profit after tax (PAT) of ₹414 crore, up from ₹378 crore in the same quarter last year. Its revenue from operations also grew 11.5 per cent

Shares of Mankind Pharma Ltd. fell nearly 4 per cent on Wednesday as analysts said organic growth remains subdued after it reported in-line third-quarter results for the current financial year (Q3-FY26). 

 

The pharma company's stock fell as much as 3.8 per cent during the day to ₹2,080.1 per share, the steepest fall since May 23, 2025. Mankind Pharma stock pared losses to trade 3.5 per cent lower at ₹2,086.7 apiece, compared to a 0.01 per cent advance in Nifty 50 as of 10:45 AM. 

 

The company's stock currently trades at 4.4 times the average 30-day trading volume, according to Bloomberg. The counter has fallen 5.8 per cent this year, compared to a 1.4 per cent decline in the benchmark Nifty 50. Mankind Pharma has a total market capitalisation of ₹85,469.23 crore.     CATCH STOCK MARKET UPDATES TODAY LIVE

 

Mankind Pharma Q3 results 

The drugmaker recorded profit after tax (PAT) of ₹414 crore, up from ₹378 crore in the same quarter last year. Its revenue from operations also grew 11.5 per cent YoY to ₹3,567 crore from ₹3,198 crore in Q3FY25.

 

Mankind’s domestic segment, which contributes 85 per cent to its overall revenue, grew by 11.1 per cent to ₹3,046 crore in the December quarter. The domestic growth was led by strong demand for drugs in chronic therapies such as cardiac and anti-diabetes.

 

The drugmaker also recorded a 5.2 per cent year-on-year rise in its consumer healthcare business, on the back of healthy growth in secondary sales for brands such as Gas-O-Fast, Manforce Condom and Ova News.  ALSO READ | Varun Beverages shares drop 3% as analysts flag competition as key risk

Analysts on Mankind Pharma earnings 

Systematix Institutional Equities said Mankind Pharma's revenue was in line with estimates, while Ebitda was slightly above expectations. However, organic domestic branded formulation growth remained subdued due to integration and execution challenges, with the anti-infective segment weighing on overall growth. The brokerage maintained a 'Hold' rating with a revised target price of ₹2,467.

 

Motilal Oswal said Mankind Pharma continues to focus on driving prescription generation following a strategic reset. While the recovery has taken longer than expected, the brokerage said management indicated that growth is now coming back on track.

 

The brokerage noted that the modern trade and e-commerce channel recorded 40 per cent year-on-year growth, raising its contribution to 13 per cent of over-the-counter sales. This, along with a reduction in stockists, has led to a wider gap between secondary and primary sales growth.

 

Motilal Oswal said Mankind is working on multiple fronts, including gaining market share in chronic therapies, reviving growth in acute therapies, integrating and extracting synergies from the BSV acquisition, and revising business policies for the consumer health business. The pick-up in growth from these corrective actions remains the key monitorable, it added.

 

==========

 

(Disclaimer: The views and investment tips expressed by the analysts in this article are their own and not those of the website or its management. Business Standard advises users to check with certified experts before taking any investment decisions.)