Ajanta Pharma Limited — Q2 FY26
Ajanta Pharma delivered a strong Q2 FY26 with consolidated revenue of ₹1,354 crore (+14% YoY) and PAT of ₹260 crore (+20% YoY).
bullish
high
✓ Verified against BSE filing
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
72%Questions answered2Evaded / deflected9Questions auditedContradictedNumbers vs filing
Answered
Medium priority
Why fewer new-to-market launches in domestic formulation H1 FY26? Outlook for H2 and FY27?
Asked by Tushar Manudhane, Motilal Oswal
Management directly explained the selective strategy and confirmed the trend will continue.
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Question
So just on domestic formulation side, the number of new-to-market launches has been less for the first half of FY26. So if you could just share your comments for the remaining second half as well as FY27?
Yogesh Agrawal, Managing Director
I think they have been very selective and strategic in nature. We have fulfilled the gaps wherever we have felt that there is a need for a new product launch. And this trend will continue even for the second half of the year.
Partial answer
High priority
U.S. growth sustainability for FY27-28 given R&D spend?
Asked by Tushar Manudhane, Motilal Oswal
Management gave high teens growth for next year but deferred FY27-28 outlook.
deferred to latervague on FY27-28
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Question
Sir, on the U.S. side, we have been pretty strong for the first half, probably might sustain for FY26. If you could just further sort of extend the thought process for FY27, 28, considering the R&D spend which we are doing now.
Yogesh Agrawal, Managing Director
I think FY 2027 and 2028, probably let's talk a little later in the year. But we believe that U.S. going forward also should perform well. We should go maybe in high teens growth for sure next year.
Answered
Medium priority
Nature of forex loss and full-year margin guidance adjusted for forex?
Asked by Bino Pathiparampil, Elara Capital
CFO explained the forex loss nature and confirmed margin guidance maintained.
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Question
Just wanted some understanding of the nature of the forex loss. You mentioned that it's a translation loss. Where does that arise from?
Arvind Agrawal, CFO
See, we do hedging of our outstanding or export sales, so that hedging, because the euro moved very sharply during this first half, so because of that, the mark-to-market losses have been booked there...
Answered
High priority
Why cautious margin view despite robust top-line growth?
Asked by Abdulkader Puranwala, ICICI Securities
CFO explained investments and reiterated margin guidance of 27% ±1%.
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Question
I just wanted to understand why is there a cautious view on margins when the top-line growth is going to improve ahead as well?
Arvind Agrawal, CFO
We are also simultaneously investing on people and products. That is something which is very, very important. And I think we are still talking about 27% plus minus 1%.
Answered
Medium priority
Reason for working capital increase and trade receivable commentary?
Asked by Abdulkader Puranwala, ICICI Securities
CFO clearly explained the switch from factoring to working capital causing receivable increase.
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Question
So just one more on the working capital increase. So if I go through your cash flow, then the first half, the cash flows from operations have been a little weaker... Can you please elaborate on that?
Arvind Agrawal, CFO
Last year, we did factoring for our receivables in the U.S. This factoring was done in Q3 at that time. Somehow, we found that the interest cost for working capital is much better. So we switched over from factoring to working capital.
Answered
Medium priority
Impact of investment in new products and MR team on EBITDA margin?
Asked by Bharat Celly, Equirus
Management gave a timeframe for MR productivity and margin benefit.
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Question
So how do you see that impact as well as how long it will take for us to start seeing benefit on the EBITDA side as well as margin side when these new MRs will start contributing positively?
Yogesh Agrawal, Managing Director
I think, let's say, about one, one and a half to two years because to optimize the productivity of the new teams, especially in the new segments, it will take some time.
Evasive
High priority
Can margins return to 30% in two years or stay at 27-28%?
Asked by Abdulkader Puranwala, ICICI Securities
Management avoided giving a margin target and redirected to growth metrics.
reframed the questionno specific margin target
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Question
When we talk from the margins perspective, so is it possible for us to go back to the margins like 30% probably next two years or largely that the investment will remain around 27%, 28% from the long-term perspective?
Yogesh Agrawal, Managing Director
I think the correct metrics will be to see what is the growth we are posting year over year on the top line and the bottom line. Guiding towards that kind of expansion of 30% or plus probably will not be the right metrics to look.
Partial answer
Low priority
How many MRs to be added in next 18-24 months?
Asked by Abdulkader Puranwala, ICICI Securities
Management gave a broad estimate but no specific target for domestic MR additions.
vague estimateno firm commitment
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Question
And how many MRs or the persons we are looking to add in the next 18-24 months? Is there any ballpark which we can refer to?
Yogesh Agrawal, Managing Director
In the domestic, we don't have any particular ballpark or number set. We will decide as we go along... broadly going by the past trend, maybe we can look at about a couple of hundred in the next one and a half to two years.
Answered
Low priority
Number of MRs in India and Asia/Africa?
Asked by Abhishek Jain, AlfAccurate Advisors
CFO provided exact headcount numbers for India and emerging markets.
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Question
Just wanted to understand how much number of MRs in India and plus Asia and Africa at this point of time due to FY20 expense?
Arvind Agrawal, CFO
We now currently have total 5,680 people, both India and Indian markets put together as of today. India is 3,600 people, and Asia, Africa, it is 2,080 people.
Declined
High priority
Segment-wise EBITDA margin for different geographies?
Asked by Abhishek Jain, AlfAccurate Advisors
Management explicitly declined to provide segment-wise EBITDA margins.
refused to disclose
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Question
If you can throw some more light on the segment-wise EBITDA, a ballpark number on the different geographies or segments like U.S. generics and Africa and branded and Asia branded and USD?
Arvind Agrawal, CFO
No, we don't give geographical EBITDA margin. Sorry for that.
Answered
Low priority
Reason for switching from factoring model and future continuation?
Asked by Tushar Manudhane, Motilal Oswal
CFO explained the interest rate advantage and confirmed continuation.
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Question
And sir, secondly, on this switching from factoring model, any particular reason you would like to call out or highlight? And is this something which now we are going to sort of continue in the foreseeable future?
Arvind Agrawal, CFO
I think we will continue this structure now because this is little advantageous in terms of the interest rate. So we are getting a benefit of at least 2%-3% compared to factoring.
Answered
Medium priority
Reason for better growth outlook in Africa region?
Asked by Alok Dalal, Jefferies India Private Limited
Management explained the low base and current trend giving confidence.
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Question
Yogesh, you mentioned about better growth in Africa region for FY26 versus the previous guidance. So what is giving confidence of better growth here?
Yogesh Agrawal, Managing Director
Generally, the way we are seeing the trends, I think we feel for the next two quarters, our growth should be better than what we had guided earlier. Also, the next two quarters' base for the previous year was slightly lower.
Quantitative claims vs filed numbers
| Claim | Management said | Filing | Verdict |
|---|---|---|---|
| EBITDA margin guidance of 27% plus/minus 1% | 27% | 24% | Overstated vs filing |
| Africa quarterly revenue trending at 230 crore | ₹230 cr | ₹1,354 cr | Understated vs filing |
| Africa revenue base Q3-Q4 FY25 was 150 crore | ₹150 cr | ₹1,354 cr | Understated vs filing |
Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.