Bajaj Healthcare reported a robust Q2 FY27 performance with a 18.9% revenue increase to INR 175.9 crore and a 26.9% rise in PAT. Growth was driven by an 82% surge in formulation revenue and solid API exports. The company also secured NCLT approval for the acquisition of Genrx Pharmaceuticals to expand its manufacturing footprint and set ambitious revenue targets for upcoming peptide and oncology projects.
Bajaj Healthcare Reports Strong Q2 FY27 Growth with Strategic Acquisitions
Revenue grew 18.9% YoY to INR 175.9 crore; Profit After Tax climbed 26.9% to INR 14.1 crore.
Reader Takeaway: Strong formulation and API export growth drive performance, while capacity expansion and strategic acquisitions underpin future revenue targets.
What just happened
Bajaj Healthcare delivered a strong second quarter for FY27, marked by significant double-digit growth in both top-line revenue and net profit. The formulation segment proved to be a key standout, recording an 82% year-on-year increase, while API exports grew by 28.5%. EBITDA margins also saw a sequential uptick, settling at 18.2%. Furthermore, the company received NCLT approval to acquire Genrx Pharmaceuticals, a strategic move aimed at scaling its formulation portfolio and manufacturing capabilities.
Why this matters
The acquisition of Genrx is projected to unlock revenue potential between INR 200–250 crore over the next three years. Simultaneously, the company is investing heavily in future-ready infrastructure, specifically a commercial peptide plant expected to be completed by March 2027 and an oncology API plant slated for production in FY28. These initiatives are central to management’s long-term goal of hitting INR 1,000 crore in revenue by FY29.
Risks to watch
Growth is heavily dependent on the timely commissioning of the new peptide and oncology facilities. Management also noted that global API pricing remains under pressure, adding a layer of market volatility. Additionally, the company has intentionally increased inventory levels to mitigate supply chain risks arising from geopolitical instability in the Gulf region, which impacts working capital.
What to track next
Investors should monitor the integration progress of Genrx Pharmaceuticals and the progress of the 110 active Drug Master Files (DMFs) awaiting regulatory approvals. Future success hinges on the transition from research to commercial production for their specialized product pipeline.