Healthcare · Q2FY27 · Standalone

Sanofi India’s Q2 operating margin jumps 6.44 percentage points

Revenue rose 12.34% QoQ while expenses increased 2.51%, driving a 39.76% rise in standalone net profit.

By Ashutosh

Filed 29 Oct 2026, 18:28 IST · after market close · Sanofi India Ltd (SANOFI)

Key takeaways

  • Standalone revenue grew 12.34% QoQ while expenses rose 2.51%, lifting operating profit 39.81%.
  • Operating margin expanded 6.44 percentage points to 32.78% as revenue growth outpaced expense growth.
  • Sanofi India's 32.78% operating margin was 12.88 percentage points above the 19.9% median for 31 reported healthcare peers.

Price around the results

Q2FY27 profit accelerated on sequential sales growth

Standalone revenue rose 12.34% QoQ, while expenses increased only 2.51%. The gap lifted operating profit by 39.81% and net profit by 39.76%. EPS consequently rose 39.74% to Rs 50.67.

Lower cost growth drove the margin expansion

Operating margin widened by 6.44 percentage points to 32.78% because revenue grew faster than expenses. The tax rate increased by 0.35 percentage points, while other income contributed 3.49% of pre-tax profit, so the profit growth was not mainly driven by a lower tax rate or non-operating income.

Margin moved higher from Q1 and stayed above healthcare peers

Operating margin improved from 26.34% in Q1FY27 to 32.78% in Q2FY27. Sanofi India’s margin was 12.88 percentage points above the 19.9% median among 31 healthcare peers that had reported the quarter.

Results were filed after market close

Sanofi India filed its standalone Q2FY27 results after market close. A post-results stock reaction is therefore not yet part of this note.

Q2FY27 at a glance

Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.

Line itemQ2FY27Q1FY27QoQ
Revenue₹492 cr₹438 cr+12.34%
Other income₹6 cr₹6 cr-11.29%
Expenses₹331 cr₹322 cr+2.51%
Operating profit₹161 cr₹115 cr+39.81%
Operating margin (%)32.78%26.34%—
Interest₹0 cr₹0 cr-33.33%
Depreciation₹9 cr₹9 cr-1.12%
Profit before tax₹158 cr₹112 cr+40.43%
Tax₹41 cr₹29 cr+42.36%
Net profit₹117 cr₹84 cr+39.76%
EPS (₹)₹50.67₹36.26+39.74%

Operating margin of 32.78% compares with a Healthcare sector median of 19.90% across 31 peers that have reported Q2FY27.

What to watch

  • Whether operating margin holds above 32.78% next quarter.
  • Whether expense growth remains below the 12.34% revenue growth recorded in Q2FY27.
  • Whether other income stays near its 3.49% share of pre-tax profit.