Granules India Limited (GRANULES) share price

₹845.30 on NSE as of 2026-10-07. +1.06% on the day. market cap ₹23,035 Cr. P/E 31.2. 52-week range ₹514.60 to ₹909.30. Healthcare.

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Granules India Q1 FY27: Revenue Up 22% to ₹1,477 Cr as Complex Gx Hits Half the Dosage Book

At a glance

Granules India makes the active chemicals inside medicines and the finished tablets that carry them. Revenue for the three months to June 2026 was ₹1,477 crore, against ₹1,210 crore a year earlier. That is a rise of 22%, and almost level with the ₹1,471 crore of the March quarter.

Net profit after tax reached ₹180 crore, a rise of 60% on the same quarter last year. The year-ago figure was ₹113 crore, while the March quarter had produced ₹202 crore. June's profit therefore sits 11% below the quarter immediately before it, on almost identical revenue.

Operating profit was ₹339 crore, a rise of 37% on the same quarter last year. The year-ago figure was ₹247 crore, and the March quarter had produced ₹352 crore. Against that March number, the June operating profit slipped about 4%. Management attributes the softer margin over the quarter to higher research spending, which reached about 6% of sales. Gross margin, what is left of each rupee of sales after raw-material costs, held at 65.6%. The company's own framing puts the quality of profit on Complex Gx, its harder-to-copy generic medicines. It says these now make up half the finished-dosage portfolio, up from 39% a year earlier.

Behind the quarter sits a company valued at ₹20,909 crore on the market. ICRA, a credit-rating agency, upgraded the company to AA (Stable) in January 2026. A preferential fundraise was completed in February, and July brought a sole first-to-file application. First-to-file means being first in the queue at the American regulator to copy a branded drug. The trailing profit margin, measured across the last four quarters, was 11.3%. The market pays ₹32 for every ₹1 of yearly profit.

Introduction

Granules India sells three things: active pharmaceutical ingredients, formulation intermediates and finished dosages. The active ingredient is the chemical that does the work, and the intermediate is a half-made mix on the way to a tablet.

The company began in 1991 as a merchant exporter of bulk drugs. Paracetamol, guaifenesin and chlorpheniramine maleate were among the molecules it shipped. It became a public limited company in 1993. The three decades since have gone into integrating backward and forward across the pharmaceutical supply chain.

Management describes the recent story as a portfolio migration. It says the company has moved from a volume-driven model built on mature generic molecules towards higher-barrier Complex Gx products. Complex Gx are copies that are harder to make, and harder for a rival to copy in turn. They rose to 43% of the finished-dosage book in the year to March 2026, from 31% the year before.

In February 2025 the company bought Senn Chemicals AG, a Swiss peptide specialist. The purchase took it into peptide therapeutics and into contract development and manufacturing, which means making medicines to order for other drug companies. That segment contributed 3% of revenue in the year to March 2026, against nothing the year before.

The same year carried a large regulatory thread. The Gagillapur facility received a warning letter from the USFDA, the American drug regulator, in February 2025. Management states that the letter restricts new product launches filed from that site until it is resolved.

Around the January 2026 earnings call, the board approved a preferential issue of warrants worth ₹1,462.5 crore. A warrant is a right to buy shares at a later date. The board also approved equity shares worth ₹300 crore. Shareholders cleared both at an extraordinary general meeting on 22 January 2026, and allotment followed on 23 February 2026.

Business model

The stack is the personality: make the chemical, press it into a tablet, ship the bottle to an American pharmacy shelf. Granules calls it "drum to hopper to compression", which sounds like a gym routine. What it describes is the cost of not buying ingredients from a supplier who marks them up.

Finished dosages are 74% of revenue. They come in immediate-release, extended-release, delayed-release and pellet-based forms. Press-fit tablets, oral solutions, suspensions and powders fill out the rest of the shelf.

Within that book, Integrated Gx was 52% in the year to March 2026. That is the high-volume end, where the company's own active ingredient feeds its own tablet. Complex Gx was 43% of the same book. Formulation know-how, patent strategy and drug-device combinations are what keep competitors out of those products.

Active ingredients sold as such are 13% of revenue. They span anti-retrovirals, anti-hypertensives, antihistamines and other categories. The best known of them are the ordinary blockbusters: paracetamol, metformin and ibuprofen. Guaifenesin and methocarbamol sit alongside those three.

The company holds the leading market position in 9 of its 35 US portfolio products. It ranks in the top three in 18 of them. Being the most dependable maker of a medicine people forget they are taking is a quiet sort of standing.

The newest limb is peptide contract manufacturing through Senn, where the Zurich and Hyderabad teams now run as one research organisation. It contributed 3% of revenue in the year to March 2026.

Quarterly results, balance sheet, cash flow, ratios, shareholding and the filings themselves are on the full page for Granules India Limited.

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