India's Aurobindo Pharma posts higher profit on steady domestic demand

Cipla

09/02/2026 14:30

Feb 9 (Reuters) - Indian drugmaker Aurobindo Pharma ARBN.NS reported a 7.6% rise in profit on Monday, helped by steady domestic demand, especially for its anti-retroviral drugs for HIV infections.

Consolidated profit after tax in the third quarter rose to 9.1 billion Indian rupees  ($100.37 million) from 8.45 billion rupees a year ago.

Consolidated revenue rose 8.4% to 86.46 billion rupees. The firm also recorded a one-time charge of 653.3 million rupees from India's new labour law codes.

For further highlights on earnings, click USN.

KEY CONTEXT

India's generic drugmakers earn a sizeable share of their revenue from North America, where steep competition has driven down prices and squeezed margins. The United States accounted for 43.2% of Aurobindo Pharma's quarterly consolidated revenue.

Aurobindo has also benefited from firm demand for its anti-retroviral therapies used to treat HIV.

Still, persistent price pressure in the North American generics market continues to weigh on drugmakers' profitability.

Larger rivals Cipla CIPL.NS and Dr. Reddy's Laboratories REDY.NS also reported weak sales in the region this quarter.

PEER COMPARISON

Estimates (next 12 months)
Analysts' sentiment
RIC
EV/EBITDA
Revenue growth (%)
Profit growth (%)
Mean rating*
# of analysts
Stock to price target**
Div yield (%)
Aurobindo Pharma Ltd
ARBN.NS
8.90
12.33
17.53
Buy
25
0.89
0.34
Zydus Lifesciences Ltd
ZYDU.NS
14.34
7.15
-10.25
Hold
29
0.88
1.24
Alembic Pharmaceuticals Ltd
ALEM.NS
12.31
10.68
22.55
Buy
11
0.81
1.38
Cipla Ltd
CIPL.NS
15.09
7.85
0.62
Hold
37
0.91
0.98

OCTOBER TO DECEMBER STOCK PERFORMANCE

-- All data from LSEG

-- $1 = 90.6680 Indian rupees

ARBN v Peers https://tmsnrt.rs/4ql0X57

 (Reporting by Kashish Tandon and Urvi Dugar in Bengaluru; Editing by Shailesh Kuber)

 ((Kashish.Tandon@thomsonreuters.com; 8800437922;))