Pfizer India Q2 Profit Jumps 19% on Strong Revenue Growth

Introduction

Pfizer Limited, a prominent pharmaceutical company in the Indian market, has demonstrated a period of strong financial health, reporting significant growth in both revenue and profitability across recent quarters. The company's performance reflects robust demand for its product portfolio and effective operational management. Investors and market observers are now looking ahead to the company's next earnings announcement, scheduled for February 9, 2026, to gauge the continuation of this positive momentum.

Q2 FY26 Performance in Detail

For the second quarter of the fiscal year 2026, ending September 30, 2025, Pfizer India announced impressive financial results. The company's revenue from operations saw a substantial year-on-year increase of 19.6%, reaching ₹642.34 crore compared to ₹536.59 crore in the same quarter of the previous year. This top-line growth indicates healthy demand and successful market strategies.

Net profit for the quarter grew by 19.4% to ₹189.02 crore, up from ₹158.35 crore in Q2 FY25. The growth in profitability was supported by disciplined cost management and enhanced operational efficiencies. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) rose by 21.7% to ₹230 crore. Consequently, the EBITDA margin expanded by 365 basis points, improving from 32.15% to 35.80%, highlighting the company's ability to improve profitability while scaling its operations.

Q3 FY26 Financial Highlights

Continuing its strong performance into the third quarter, Pfizer reported a net profit of ₹141.8 crore, an 11.1% increase from the ₹127.6 crore recorded in the corresponding period last year. Revenue for Q3 grew by a robust 19.9% year-on-year to ₹645 crore. The operating performance was particularly strong, with EBITDA surging by 55.8% to ₹228.3 crore. This led to a significant expansion in operating margins to 35.4%, a notable increase from 27.2% in the previous year's third quarter, reflecting strong operating leverage.

Recap of Q4 FY25 Performance

The company concluded the previous fiscal year on a high note. For the fourth quarter ending March 31, 2025, Pfizer India reported an 8.3% year-on-year surge in revenue to ₹591.90 crore. The net profit for the quarter saw a remarkable 85% year-on-year increase, reaching ₹331 crore compared to ₹179 crore in Q4 FY24. EBITDA for the quarter was estimated at ₹227.50 crore, marking a 20.10% increase from the previous year, with the EBITDA margin improving to 38.40%.

Financial Performance Summary

Strategic Asset Monetization

During the fiscal year ended March 31, 2025, Pfizer completed a significant strategic transaction involving the assignment and sale of its leased land and building assets to the Maharashtra Industrial Development Corporation (MIDC). This divestment of non-core real estate assets resulted in a net gain of ₹172.81 crore for the company. This amount was classified as an exceptional item in its financial statements, providing a substantial boost to its bottom line for that period.

Commitment to Shareholder Value

Reflecting its strong financial position and commitment to its investors, Pfizer's board made a significant dividend announcement for the fiscal year 2025. At its Annual General Meeting on July 21, 2025, shareholders approved a total dividend of ₹165 per equity share. This substantial payout included a final dividend of ₹35 per share, a special dividend of ₹100 per share to commemorate the company's 75th year of operations in India, and an additional special dividend of ₹30 per share linked to the gains from the MIDC asset sale. The total dividend was paid to shareholders on July 25, 2025.

Market Reaction and Stock Performance

The company's strong financial reports have been received positively by the market. Ahead of its Q3 earnings announcement, shares of Pfizer Limited closed at ₹4,770, up 3.91% on the NSE. Earlier, on May 21, 2025, following its strong Q4 FY25 results, the stock was trading at ₹4,899.60 per share. These movements indicate investor confidence in the company's performance and strategic direction.

Conclusion

Pfizer India has delivered a consistent and robust performance, marked by steady revenue growth, expanding margins, and strong profitability. Strategic decisions, such as the monetization of non-core assets, have further strengthened its financial base. The generous dividend payout underscores the company's focus on returning value to its shareholders. With a solid financial position and sustained business momentum, Pfizer appears well-positioned for continued growth in the Indian pharmaceutical sector.