Eris Lifesciences Reports 173% Surge in Profit, Driven by Domestic Business Growth, With Semaglutide and In-Sourcing Expected to Drive FY27 Performance

Eris Lifesciences Reports 173 Percent Year-on-Year Jump in Q4FY26 Net Profit

Eris Lifesciences Ltd has posted a sharp 173 percent year-on-year jump in its net profit for the March quarter, driven by strong operating leverage and margin expansion in its core domestic business. The company's net profit stood at Rs.279 crore for the quarter, while revenue rose 7 percent to Rs.757 crore and EBITDA increased 8 percent to Rs.274 crore, lifting EBITDA margins to 36.2 percent from 35.8 percent a year ago.

The company's financial performance was led by improved product mix, cost discipline, and lower finance costs amid ongoing deleveraging, amplifying earnings despite mid-single-digit top-line growth. Eris' transition to profit-led growth, where margin expansion and balance sheet improvement are driving earnings faster than revenues, sets the stage for the next growth phase.

For FY26, the company reported revenue of Rs.3,129 crore, up 8 percent year-on-year, while EBITDA grew 10 percent to Rs 1,120 crore and margins expanded to 35.8 percent from 35.2 percent. Net profit rose 73 percent to Rs 648 crore, supported by lower interest costs and operating efficiencies.

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The domestic branded formulations (DBF) segment remained the key growth driver, delivering 8 percent revenue growth to Rs 2,778 crore with industry-leading margins of about 37 percent. Management highlighted continued strength in core chronic therapies such as diabetes and cardiology.

The company's transition to in-house production of semaglutide delivery pens is expected to improve margins and support volumes from the second quarter onward. With a planned obesity-focused semaglutide launch in July 2026 and continued traction in insulin and dermatology, Eris is betting on its injectable platform to drive the next leg of growth.

The company announced an interim dividend of Rs 7.21 on each fully paid-up equity share of Re 1 each for the Financial Year 2026-2027. Looking ahead, management expects FY27 growth to be driven by semaglutide scale-up, manufacturing in-sourcing, and easing supply issues.

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