Lupin Reports Strong Q2 FY26 Results with 73% Profit Jump and Revenue Growth

Lupin Ltd. has reported a robust financial performance for the second quarter of the fiscal year 2026 (Q2 FY26), ending September 30, 2025. The company posted a net profit of ₹1,478 crore, marking a significant 73.34% increase compared to ₹852.6 crore in the same period last year. This profit figure exceeded the CNBC-TV18 poll estimate of ₹1,217.8 crore.

Revenue from operations surged by 24.2% year-on-year to ₹7,047.5 crore, surpassing the poll estimate of ₹6,559.4 crore. Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) also showed remarkable growth, rising 74.7% to ₹2,341.7 crore from ₹1,340.5 crore a year ago, and outperforming the estimate of ₹1,774.2 crore. The EBITDA margin improved significantly to 33.2% from 23.6% in Q2 FY25.

Impact: This strong financial performance indicates robust operational health and effective market strategies for Lupin Ltd. The substantial growth in profit and revenue, coupled with improved margins, is likely to be viewed positively by investors, potentially leading to increased investor confidence and stock appreciation. The company's strategy to leverage its H1 performance for a strong FY26 suggests continued positive momentum. The company's net debt is negative, indicating a strong cash position. Rating: 8/10

Difficult Terms Explained: * EBITDA: Stands for Earnings Before Interest, Tax, Depreciation, and Amortisation. It's a measure of a company's operating performance, excluding the impact of financing decisions, accounting decisions, and tax environments. * EBITDA Margin: Calculated by dividing EBITDA by revenue, it shows how efficiently a company converts revenue into operating profit. A higher margin indicates better profitability. * Profit Before Tax (PBT): This is the profit a company earns before deducting income tax expenses. It is a key indicator of a company's profitability before considering tax liabilities. * Operating Working Capital: This represents the difference between current assets (like inventory and receivables) and current liabilities (like payables) that are directly related to a company's core operations. It indicates the company's ability to manage its short-term operational financial needs. * Net Debt: The total debt of a company minus its cash and cash equivalents. A negative net debt means the company has more cash than debt.