Lupin Ltd's Q2 FY27 numbers came in mixed, with revenue of Rs. 7,827.26 Cr (+11.06% YoY) and PAT growth of -21.83% YoY. Here's a quick read of what worked, what to watch, and what management said.
| Results date | November 04, 2026 |
|---|---|
| Revenue (Q2) | Rs. 7,827.26 Cr (+11.06% YoY) |
| PAT (Q2) | Rs. 1,155.30 Cr (-21.83% YoY) |
| EBITDA margin | 25.14% (-615 bps YoY) |
| EPS (Q2) | Rs. 25.27 (-21.91% YoY) |
Q2 FY27 revenue grew 11.06% YoY with the EBITDA margin of 25.14% landing inside management's guided 24-25% band, while PAT fell 21.83% YoY against the 31.29%-margin peak base — a moderation management pre-flagged. Cash conversion is intact (CFO 1.15x PAT), the balance sheet remains net cash, and the VISUfarma acquisition adds a 53.39% D&A step-up. Full-year margin delivery now depends on H2 cost discipline and the pace of US competitive erosion.
| Driver | Expected before results | What happened | Verdict |
|---|---|---|---|
| EBITDA margin | "EBITDA margin likely compresses from Q1's 30.0% toward... management's cautious 24–25% FY27 band" | 25.14% (from 29.98% Q1) | Played out |
| Gross margin | "Q1's 74.6% was shielded by pre-inflation inventory" — normalization expected | 74.21% vs 74.57% Q1 — modest | Played out |
| US revenue | "behind... test is whether the print lands inside that guided band (USD 250–280 Mn)" | Regional split not disclosed in the filing | Not observable |
| India revenue | "ahead" on double-digit IPM | Regional split not disclosed | Not observable |
| Overall trajectory | Record Q1, then moderation ("We anticipate some moderation... especially in the U.S.") | Revenue −5.43% QoQ; EBITDA −20.54% QoQ | Played out |
| Mirabegron settlement drag continuing in Q2 | "the above-EBITDA portion... continues" | Consolidated exceptional nil in Q2; Rs.316.28 Cr H1 settlement absorbed against the FY26 provision — no incremental Q2 P&L charge | Contradicted |
| USD/INR tailwind | ~1.2% quarterly depreciation aiding realizations | Net FX gain Rs.87.01 Cr in Q2 (vs Rs.13.90 Cr loss in Q1) | Played out directionally |
| US generic tariff | Neutral (generics excluded per the pre-call note, web-sourced, dated) | No tariff impact disclosed in the filing — no adverse signal | Not observable |
Read our full results preview.
| What management said | Where | What happened | Verdict |
|---|---|---|---|
| FY27 revenue growth: high single-digit | Q1 FY27 earnings call ("reiterate our earlier guidance of high single-digit revenue growth") | H1 +20.94% YoY; Q2 +11.06% YoY | On Track |
| FY27 EBITDA margin ~25% (24–25%), company basis | Q1 FY27 earnings call ("EBITDA margins of around 25%"; CFO: "we'd be able to maintain it between 24%-25%") | Q2: 25.14% company basis (metric matched to management's definition) | Met |
| "Some moderation in performance during the remainder of the year, especially in the U.S. from increased competitive intensity on our two major products" | Q1 FY27 earnings call | Revenue −5.43% QoQ, EBITDA −20.54% QoQ, margin 29.98%→25.14% — direction; the US attribution is not separable from the filing | Confirmed |
| 16 consecutive quarters of YoY revenue growth (claimed through Q1) | Q1 FY27 earnings call | Q2 revenue +11.06% YoY — streak would extend | Confirmed |
| Margin guided to be "a tad lower than what it is today" (24–25% band) | Q1 FY27 earnings call (CFO) | Landed at 25.14%, inside band | Confirmed |
| Metric | Q2 FY26 | Q3 FY26 | Q4 FY26 | Q1 FY27 | Q2 FY27 |
|---|---|---|---|---|---|
| EBITDA margin, company basis (%) | 31.29 | 31.1 | 29.4 | 29.98 | 25.14 |
| R&D (% of net sales) | 7.6 | 7.5 | 8.0 | 7.4 | Not disclosed |
| Net cash, company basis (Rs. Cr) | — | 2,879 | 4,636 | 2,831 | Not disclosed |
| Operating working capital (days) | — | 101 | — | 90 | Not disclosed (my BS-based construction: ~99 days on 6M sales — not comparable to the company's basis) |
Disclaimer: This results analysis is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.