Supriya Lifescience profit rises as tax rate falls despite margin squeeze
Standalone revenue grew +8.72% QoQ, but faster expense growth cut operating margin by 3.00 percentage points; management highlighted new product launches.
Filed 06 Nov 2026, 12:55 IST · Supriya Lifescience Ltd (SUPRIYA)
Key takeaways
- Standalone revenue rose +8.72% QoQ to Rs 206.3 cr, but expenses grew +13.08%, narrowing operating margin by 3.00 percentage points.
- Net profit increased +21.67% QoQ to Rs 29.25 cr as the tax rate fell 18.49 percentage points to 22.57%, despite a -7.38% decline in profit before tax.
- The 22.01% operating margin was 0.31 percentage points above the 21.70% median for 83 Healthcare peers that reported the quarter.
Price around the results
Revenue grew, but costs outpaced it
Supriya Lifescience's standalone revenue grew +8.72% QoQ to Rs 206.3 cr, while expenses rose +13.08% to Rs 160.9 cr. The faster increase in costs reduced operating profit by -4.34% and narrowed operating margin from 25.01% to 22.01%.
Lower tax rate lifted net profit
Profit before tax fell -7.38% QoQ as interest rose +24.32% and depreciation increased +5.82%. Net profit still rose +21.67% because the tax rate dropped 18.49 percentage points to 22.57%; other income contributed 6.06% of profit before tax, making it a supporting but not dominant factor.
Margin stayed just above the Healthcare peer median
The 22.01% operating margin was 0.31 percentage points above the 21.70% median among 83 Healthcare peers that had reported the same quarter. Sequentially, however, the margin declined by 3.00 percentage points from Q1FY27, indicating weaker operating conversion despite the revenue increase.
New products are the stated growth focus
Management said two anesthetic liquid inhalation products were launched from Ambernath in Q2FY27 and that their scale-up is expected in the coming quarters. The company also said ADHD product momentum is supported by demand from LATAM and Europe, and that it is planning approximately two ADHD launches; management separately said the new vitamin product block was commissioned.
Q2FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q2FY27 | Q1FY27 | QoQ |
|---|---|---|---|
| Revenue | ₹206 cr | ₹190 cr | +8.72% |
| Other income | ₹2 cr | ₹3 cr | -13.58% |
| Expenses | ₹161 cr | ₹142 cr | +13.08% |
| Operating profit | ₹45 cr | ₹47 cr | -4.34% |
| Operating margin (%) | 22.01% | 25.01% | — |
| Interest | ₹0 cr | ₹0 cr | +24.32% |
| Depreciation | ₹9 cr | ₹9 cr | +5.82% |
| Profit before tax | ₹38 cr | ₹41 cr | -7.38% |
| Tax | ₹9 cr | ₹17 cr | -49.07% |
| Net profit | ₹29 cr | ₹24 cr | +21.67% |
| EPS (₹) | ₹3.63 | ₹2.99 | +21.40% |
Operating margin of 22.01% compares with a Healthcare sector median of 21.70% across 83 peers that have reported Q2FY27.
How the stock reacted
| Window | Stock | vs NIFTY |
|---|---|---|
| Results day | -20.00% | -22.01% |
Volume on the results session was 13.42× its 20-day average.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- The new vitamin product block was successfully commissioned.
Guidance & outlook
- The company expects scale-up of two new anesthetic liquid inhalation products in the coming quarters.
- The company expects ADHD product momentum to continue, supported by demand from LATAM and Europe.
- The company plans approximately two launches in ADHD.
New products
- The company launched two new anesthetic liquid inhalation products from Ambernath in Q2FY27.
- The company plans approximately two ADHD product launches.
What to watch
- Whether operating margin recovers from 22.01% after the 3.00 percentage-point QoQ decline.
- Whether expense growth moderates from +13.08% QoQ relative to revenue growth of +8.72%.
- Progress in scaling the two anesthetic liquid inhalation products and the approximately two planned ADHD launches.