India's Gland Pharma posts quarterly profit rise on Cenexi recovery, Europe sales growth

Cipla

05/08/2025 12:47

Aug 5 (Reuters) -
India's Gland Pharma GLAD.NS reported a nearly 50% jump in first-quarter profit on Tuesday, driven by better margins and a recovery at its European unit Cenexi.

The company reported a consolidated net profit of 2.15 billion rupees ($24.50 million) for the quarter ended June 30, from 1.44 billion rupees in the year-ago quarter.

Revenue from operations rose 7.4% to 15.06 billion rupees. While sales from its U.S. business, which accounts for nearly half of the total, fell 2%, its Europe business posted a 29% rise.

For further results highlights, click FWN3TX07W

KEY CONTEXT

Gland and several Indian pharma companies that make generic drugs derive a significant share of revenue from the United States and has continued to face pricing pressure in that market following U.S. President Donald Trump's imposition of hefty tariffs on goods imported from India.

Rivals Sun Pharma SUN.NS and Cipla CIPL.NS and Dr Reddy's REDY.NS reported subdued U.S. sales in the quarter.

However, Gland Pharma said improved margins and Cenexi's earnings before interest, taxes, depreciation, and amortisation (EBITDA) break-even supported quarterly performance, marking a turnaround after production setbacks at its Paris and Belgium units weighed on earnings over the past year.

The company’s EBITDA margin rose to 35% in the June quarter from 29% a year earlier.

PEER COMPARISON

Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Revenue growth (%)
Profit growth (%)
Mean rating*
# of analysts
Stock to price target**
Div yield (%)
Gland Pharma Ltd
GLAD.NS
32.17
17.87
12.86
31.29
Hold
11
1.18
0.91
Alembic Pharmaceuticals Ltd
ALEM.NS
24.49
15.10
10.91
25.76
Buy
10
0.96
1.15
Zydus Lifesciences Ltd
ZYDU.NS
21.39
13.94
6.74
-5.10
Hold
26
0.96
1.16
Cipla Ltd
CIPL.NS
23.92
15.31
6.65
-0.82
Buy
35
0.89
0.87

* Mean of analysts' ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
** Ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

APRIL TO JUNE STOCK PERFORMANCE

-- All data from LSEG

-- $1 = 87.7570 Indian rupeesthe

Gland Pharma's Q1 stock performance vs peers https://reut.rs/40R9NxL

 (Reporting by Kashish Tandon in Bengaluru)

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