Torrent Pharmaceuticals Limited reported a 26 per cent year-on-year decline in consolidated net profit for the fourth quarter of FY26, weighed down by acquisition-related expenses and severance compensation linked to the integration of JB Chemicals & Pharmaceuticals Limited, even as revenue surged 42 per cent following consolidation of the acquired business.
The Ahmedabad-based company, which operates in a single segment of generic formulations business, posted consolidated net profit of ₹364 crore for Q4 FY26, while revenue from operations rose to ₹4,197 crore.
Torrent Pharma said profitability during the quarter was impacted by exceptional expenses related to the acquisition and integration of JB Pharma, including ₹70 crore towards regulatory, statutory and acquisition-related costs and ₹19 crore of severance compensation linked to the restructuring of JB Pharma’s distribution network.
For the full FY26, consolidated revenue rose 21 per cent to ₹13,980 crore, while net profit increased 12 per cent to ₹2,138 crore.
QIP plan
The board on Friday also recommended shareholder approval for raising up to ₹5,000 crore through qualified institutional placement (QIP), convertible bonds, debentures or other permissible modes in the upcoming annual general meeting.
In addition, the company recommended a final dividend of ₹9 per equity share of face value ₹5 each. Earlier during the year, it had paid an interim dividend of ₹29 per share.
Controlling stake
Torrent Pharma completed acquisition of a controlling stake in JB Pharma during the quarter.
The company acquired a 46.39 per cent stake in JB Pharma from Tau Investment Holdings Pte Ltd for ₹11,917 crore in January 2026, and subsequently acquired an additional 2.41 per cent stake from certain employees for ₹620 crore.
It also acquired shares through an open offer for ₹0.22 crore. Following the acquisition, JB Pharma’s financials have been consolidated from January 21, 2026, making the current quarter and full-year figures non-comparable with the corresponding previous periods, the company stated. Torrent Pharma also filed a scheme of amalgamation of JB Pharma with the National Company Law Tribunal (NCLT), Ahmedabad bench.
Excluding JB Pharma, Torrent Pharma’s base business recorded 16 per cent revenue growth during the quarter and 15 per cent growth for FY26, with EBITDA margins of 32.7 per cent in both periods.
In India, quarterly revenues rose 43 per cent year-on-year at ₹2,215 crore, while FY26 revenues increased 20 per cent to ₹7,645 crore. Torrent said its base business grew 15 per cent during the quarter against Indian pharmaceutical market growth of 10 per cent, according to AIOCD PharmaTrac data. The company added that its generic semaglutide launch had captured a 38 per cent market share across oral and injectable segments combined as per April 2026 PharmaTrac data.
In Brazil, quarterly revenues rose 30 per cent to ₹455 crore, while constant currency revenues increased 11 per cent to BRL259 million. Torrent said it outperformed the Brazilian market with 17 per cent growth against industry growth of 6 per cent, supported by key brands and recent launches. The company currently has 58 products under review with Brazilian regulator ANVISA.
The US business reported 31 per cent revenue growth at ₹396 crore during the quarter, while Germany revenues rose 16 per cent to ₹333 crore. However, the company said Germany operations continued to be impacted by supply disruptions at a third-party supplier.
Published on May 22, 2026