Biocon Q1FY26 Earnings is well-positioned for contined momentum and sustained growth

Biocon has kicked off FY26 with confidence and is building momentum, setting the tone for a robust year ahead. Powered by strong gains in Biosimilars, steady growth in CRDMO, and a resilient performance in Generics, the quarter reflects more than just numbers, it’s a testament to the company’s ability to adapt to change and seize opportunities in a competitive global landscape. Q1 performance highlights the company’s unwavering focus on affordability, availability, and access to life-saving medicines for patients globally.

Q1: What were Biocon’s key financial highlights for Q1FY26?
Biocon reported a strong start to FY26 with operating revenue of ₹3,942 crore, reflecting a 15% YoY growth on a like-for-like basis. EBITDA grew by 19% to ₹829 crore, with margins at 21%. Profit Before Tax (PBT), before exceptional items, rose 72% to ₹97 crore, while Core EBITDA stood at ₹1,003 crore with a margin of 25%. Net R&D investment was ₹205 crore, accounting for 7% of revenue (ex-Syngene).

Q2: What drove this robust financial performance?
The performance was driven by strong growth in the Biosimilars segment (up 18%), CRDMO (Syngene) (up 11%), and Generics (up 6%). Strategic launches, improved operating leverage, and demand across geographies contributed to growth.

Q3: How did the Biosimilars segment perform?

Revenue: ₹2,458 crore (up 18% YoY)
EBITDA: ₹645 crore (up 36% YoY like-for-like); margin at 26%
Key Highlights:
- FDA approval for Kirsty™ (Insulin Aspart), the first interchangeable rapid-acting biosimilar insulin.
- Launch of Yesafili™ (bAflibercept) in Canada, marking entry into ophthalmology.
- Expansion into bone health with approvals for Denosumab biosimilars (Vevzuo® and Efraxy®) in EU and UK.
- 19 biosimilar approvals and 19 launches globally.
- Focused growth in emerging markets through self-led models and tender wins.

Q4: What were the performance highlights of the Generics business?

Revenue: ₹697 crore (up 6% YoY)
EBITDA: ₹70 crore (10% of revenue)
Key Drivers:
- Launches of Liraglutide in the EU, Dasatinib and Lenalidomide in the U.S..
- Approval of Liraglutide in India under a new regulatory reliance framework.
- Injectable GLP-1 manufacturing facility commissioned in Bangalore (commercialization expected in FY27).
- Final U.S. approval for Rivaroxaban tablets.
- Sequential performance reflects a one-time benefit in Q4FY25 from Lenalidomide launch volumes.

Q5: What is the outlook and progress in the CRDMO (Syngene) segment?

Revenue: ₹875 crore (up 11% YoY)
EBITDA: ₹224 crore (up 19% YoY)
Highlights:
- Growth driven by pilot programs converting to long-term contracts.
- Commissioning of a new peptide lab to strengthen platforms across emerging modalities (e.g., ADCs, PROTACs).
- USFDA GCP inspection completed with no observations.
- Final U.S. approval for Rivaroxaban tablets.
- Biologics Unit III (India) operational; Bayview facility (U.S.) to launch later in FY26.

Q6: What strategic initiatives or milestones were achieved during the quarter?

Successful QIP raising ₹4,500 crore, enabling exit of structured equity investors and increased ownership in Biocon Biologics
Appointment of Deepali Naair as Global Head of Brand & Corporate Communications at Biocon Biologics.
Biocon received a Gold rating from EcoVadis and Syngene was named one of TIME magazine’s Most Sustainable Companies globally.

Q7: How is Biocon positioned for future growth?
Biocon is well-positioned for sustained growth, backed by: