Strides Pharma Q2 Revenue Rises 17% as Ex-US Leads FY27

Strides Pharma Science Ltd reported consolidated revenue of ₹1,430 crore for the second quarter of FY27, up 17.21% from ₹1,220 crore in the year-earlier quarter. The performance marked an increase of about ₹210 crore in quarterly revenue. Growth was led by markets outside the US, where revenue rose faster than the company’s US business. The quarterly update comes as the company prepares to discuss its Q2 and first-half FY27 financial results with investors.

Q2 FY27 revenue reaches ₹1,430 crore

The company reported Q2 FY27 revenue of ₹1,429.7 crore, which rounds to ₹1,430 crore. This compares with ₹1,220 crore reported in Q2 FY26. The 17.1% to 17.21% year-on-year growth indicates a stronger top-line performance than the 4.6% revenue growth reported in Q2 FY26. Strides’ June 2026 quarter revenue stood at ₹1,265.41 crore, although quarter-on-quarter comparisons can be affected by product launches, order timing and inventory movements.

Ex-US markets surpass US business

Revenue from ex-US markets rose 31% year-on-year to ₹696.3 crore in Q2 FY27. This business exceeded US revenue for the first time in the reported quarter. The US business generated ₹685.5 crore, up 9% year-on-year. Together, the two reported regional businesses accounted for nearly all of the consolidated quarterly revenue.

The regional mix is important because it shows that quarterly growth was not solely dependent on the US market. The company said it launched three new products in the US during the quarter. At the same time, the supplied company commentary noted quota and approval headwinds for its US aspirations. These factors remain relevant to the pace at which the US portfolio can expand.

EBITDA crosses ₹250 crore mark

EBITDA rose 8.4% year-on-year to ₹250.9 crore in Q2 FY27. The company said this was the first quarter in which EBITDA crossed ₹250 crore. Growth in EBITDA was slower than revenue growth, with increased input costs cited in the supplied results summary. This indicates that higher sales were partly offset by cost pressure during the period.

Operational profit after tax, or operational PAT, increased 11.5% year-on-year to ₹135.8 crore. The figures show continued profit growth, though the rate of improvement remained below the increase in revenue. In Q2 FY26, Strides had reported EBITDA growth of 25.4% and an EBITDA margin of 18.97%, supported by profitability in other regulated markets.

Key Q2 FY27 financial figures

Debt rises during the first half

Net debt increased by ₹211.4 crore during H1 FY27, according to the company summary. Strides attributed the increase to an elongated cash-to-cash cycle and higher inventory. A longer cash-to-cash cycle can delay the conversion of sales into cash, while higher inventory can require additional working capital. The company expects its net debt-to-EBITDA ratio to stabilise by the end of the financial year.

The debt movement is a relevant point for investors because revenue and operating profit growth do not automatically translate into immediate cash generation. Inventory levels, receivables and payment cycles can affect cash flows, particularly for pharmaceutical companies managing multiple products and regulated-market supply chains. The update does not provide a net debt balance or a net debt-to-EBITDA ratio for the quarter.

Q1 FY27 provides the immediate base

For the quarter ended June 2026, Strides reported sales of ₹1,265.41 crore, up 13.01% from ₹1,119.74 crore a year earlier. The supplied data also stated that consolidated net profit for that quarter rose 57.52% year-on-year to ₹156.91 crore. Revenue of ₹1,265 crore was 4.39% lower than the preceding quarter, based on the accompanying quarterly data. Q2’s ₹1,430 crore revenue therefore represents a higher reported sales level than Q1 FY27.

Board meeting and earnings call schedule

Strides notified exchanges on September 24, 2026, about the closure of its trading window before the Q2 results declaration. On October 23, the company said its board would meet on October 29, 2026, to approve unaudited Q2 and H1 FY27 results. It also scheduled an earnings call for October 30, 2026, to discuss the Q2 FY27 performance. The company announced the appointment of Biren Gabhawala as an independent director.

Regulatory backdrop remains relevant

The company’s regulatory execution remains significant for its regulated-market operations. Strides received a USFDA Establishment Inspection Report for its Bengaluru facility on August 19, according to the supplied updates. Separately, a routine USFDA inspection at its New York facility resulted in four procedural observations, which the company said would not affect commercial product supply. The Q2 result summary also highlighted approval-related headwinds in the US.

What the quarterly numbers indicate

The Q2 FY27 update shows that revenue diversification is contributing meaningfully to Strides’ growth. Ex-US revenue grew more than three times as fast as US revenue and moved ahead of the US business in quarterly contribution. Meanwhile, the increase in input costs and the rise in net debt show that profitability and working-capital conversion remain key areas to track. The October 30 earnings call is the next scheduled event for management commentary on product launches, margins, debt and the company’s regional outlook.

Conclusion

Strides Pharma Science delivered Q2 FY27 revenue growth of more than 17%, with ex-US markets providing the strongest contribution. EBITDA and operational PAT also increased, while higher inventory and a longer cash cycle lifted net debt during H1 FY27. Investors will look to the scheduled earnings call for further details on margins, US product approvals and debt stabilisation plans.