Mumbai–Cipla Limited reported a 39.2 percent year-over-year decline in consolidated net profit attributable to shareholders for the first quarter of fiscal 2027 as expenses rose sharply.
The pharmaceutical company posted a net profit of Rs 789.05 crore for the quarter ended June 30, 2026, compared with Rs 1,297.91 crore in the same period a year earlier, according to a stock exchange filing.
Revenue from operations increased 2.3 percent to Rs 7,119.28 crore from Rs 6,957.47 crore in the first quarter of fiscal 2026.
Total income, including other income, rose 1.6 percent to Rs 7,330.18 crore from Rs 7,216.03 crore.
“We are pleased to share that we continue to make considerable progress across our focused markets. Branded prescription business delivered a robust growth, with key therapies outpacing the market, trade generics recorded healthy growth and anchor brands of Consumer Health Business maintained leadership position,” said Achin Gupta, Managing Director and Global CEO of Cipla.
“We expect continued sequential growth in North America, supported by upcoming product pipeline. South Africa private business continued to grow faster than the market,” Gupta said.
Cipla said the year-over-year revenue comparison was affected by a change in how certain marketing and promotional expenses are presented in its financial statements.
Beginning April 1, 2026, those expenses are recorded as a reduction in revenue from operations rather than as sales promotion costs under other expenses.
The amount involved in the June 2025 quarter was Rs 115.24 crore. After adjusting for the accounting change, revenue for the year-ago period would have been Rs 6,842.23 crore, indicating underlying growth of about 4 percent.
Cipla said the presentation change had no effect on profit, earnings per share, total equity or cash flow.
Total expenses increased 14.7 percent to Rs 6,248.25 crore from Rs 5,446.10 crore a year earlier.
Profit before tax and the company’s share of profit or loss from associates declined 38.9 percent to Rs 1,081.93 crore from Rs 1,769.93 crore in the corresponding quarter last year. (Source: IANS)
