India Pharma Outlook Team | Friday, 31 July 2026
The API Surge helped Strong Q1 Performance at RPG Life Sciences during the first quarter of FY27.
The company reported healthy revenue growth, stronger domestic formulations, and resumed API operations. It also announced a major restructuring plan to unlock future growth through a separate API subsidiary.
RPG Life Sciences reported a 15.8 percent year-on-year rise in operating revenue to Rs 195.7 crore for the quarter ended June 2026. The company's EBITDA stood at Rs 48 crore, while the operating margin remained at 24.5 percent. Net profit for the quarter was Rs 3 crore.
The domestic formulations business grew 14.8 percent compared to the same period last year. International sales also maintained momentum with a 7.7 percent year-on-year increase.
The company's flagship brand, Naprosyn, recorded 16 percent growth during the quarter. Its nephrology and rheumatology portfolio also posted double-digit growth.
The performance reflects steady demand across key therapeutic segments. It also highlights the company's focus on strengthening its branded formulations business.
The API unit resumed operations during the first quarter. The recovery marks an important milestone for the company after earlier disruptions.
In Q1, the company's API unit resumed operations and recorded a YoY "Going forward, we remain focused on strengthening our international presence and scaling up our API operations that can drive the next wave of growth of us," said Ashok Nair, MD, RPG Life Sciences.
"Going forward, we remain focused on strengthening our international presence and scaling up our API operations that can drive the next wave of growth for us," Nair said.
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A day after announcing its quarterly results, the company revealed plans to separate its API business. The API division will be transferred to a wholly owned subsidiary named RPG Active Pharma. Private equity firm InvAscent will join as a strategic partner. It will initially invest up to Rs 243 crore in the new subsidiary.
The company said the restructuring will provide dedicated capital for the API business. It will also improve management focus and offer greater operational flexibility. The move is expected to accelerate expansion while allowing the formulations business and API operations to pursue independent growth strategies.