Cipla July-September Profit Rises 4% on Weak US Sales, Margins Under Pressure

Cipla Ltd. reported a modest 4% on-year rise in consolidated net profit to ₹13.5 billion for the September quarter, its slowest quarterly profit growth in 13 quarters, hurt by weak sales in the US and higher costs.

Revenue for the quarter rose 7.6% on year to ₹75.9 billion, while EBITDA grew just 0.5% to ₹18.95 billion, with margins weighed down by rising expenses. Cipla’s total expenses climbed over 10% to ₹60 billion, led by a 12.4% jump in other costs and higher input and R&D spending. R&D expenses were ₹5.39 billion, or 7.1% of sales.

North America, which contributed 27% of total sales, saw a 1.7% decline in US generic sales to $233 million, mainly due to lower revenue from the cancer drug generic Revlimid. The impact was partly offset by growth in Lanreotide and Albuterol.

The company expects a smaller Revlimid contribution in October–December and plans new US launches, including three peptide-based products such as Liraglutide, and a generic of Advair by the March quarter. Cipla also plans to introduce four respiratory drugs in 2026 to support growth.

In India, sales rose 7% to ₹31.46 billion, making up 41% of total revenue, led by strong respiratory portfolio performance, with Foracort emerging as the top asthma inhaler brand.

The One Africa business grew 5% to $134 million, driven by new product launches, while emerging markets and Europe revenue climbed 15% to $110 million.
For April–September, Cipla’s net profit rose nearly 7% to ₹26.5 billion, with revenue up 6% at ₹145.5 billion.