Cipla Reports Record Revenue and Profit Growth in Q2 FY26, Enters Obesity Care Market

Cipla has announced robust financial results for the second quarter ending September 30, 2025, reporting a profit after tax of ₹1,351 crore, a 4% increase year-on-year. The company achieved a landmark revenue of ₹7,589 crore, its highest quarterly figure ever, alongside a strong EBITDA margin of 25%. This performance was driven by broad-based growth across all its key markets. A pivotal development for Cipla is its entry into the obesity care segment through a strategic partnership with Eli Lilly, involving the launch of Yurpeak (Tirzepatide), a brand of the weight-loss and diabetes drug Mounjaro. The "One-India" business saw a 7% growth to ₹3,146 crore, supported by strong branded prescription sales and double-digit growth in trade generics. The US business posted revenues of $233 million, with generic Revlimid expected to contribute in Q3 FY26, while future launches aim to mitigate revenue declines. The Africa business grew 5% to $134 million, and Emerging Markets and Europe delivered a 15% growth to $110 million. Cipla plans to focus on market expansion, brand building, pipeline investment, and regulatory issue resolution. Impact: This news significantly boosts Cipla's outlook. The record financial performance and strategic entry into the high-growth obesity care market with a major partner like Eli Lilly are key positive indicators. Diversified geographical growth provides stability. The strategy for managing US revenue streams suggests proactive management. Impact Rating: 8/10 Difficult Terms: * Profit after tax (PAT): The profit remaining after all expenses, taxes, and interest have been deducted from a company's revenue. * EBITDA margin: Earnings Before Interest, Taxes, Depreciation, and Amortization, expressed as a percentage of revenue, indicating operational profitability. * Tirzepatide: A medication used for treating type 2 diabetes and chronic weight management. * Mounjaro: A brand name for Tirzepatide, developed by Eli Lilly. * Obesity care: Medical treatments and strategies focused on managing and reducing obesity. * Branded prescription business: Medicines sold under a specific brand name, requiring a doctor's prescription. * Trade generics: Generic medicines sold through established distribution channels. * Anchor brands: Key or flagship products that are central to a company's business. * USFDA: United States Food and Drug Administration, the regulatory body responsible for approving drugs in the US. * gRevlimid: Generic Revlimid, a less expensive version of the drug Revlimid, used to treat multiple myeloma and other conditions. * y-o-y: Year-on-year, comparing performance to the same period in the previous year.