• US branded business: Alembic saw a 200 basis point margin hit this quarter due to investments in its nascent US specialty division, but expects Pivia to break even by the end of FY27 as the portfolio expands to three detailing products.
• Gross margin pressures: Margins were compressed by higher solvent and material costs linked to Middle East uncertainty, alongside shutdown overheads from ramping up an injectable facility, with normalization expected from Q2 onward.
• India business strategy: The domestic branded segment grew 7% year-on-year, and management expects new leadership and double-digit growth in gynecology, gastroenterology, and ophthalmology to lift performance toward market growth rates by year-end.
• US generics outlook: US generics grew 49% year-on-year driven by recent launches and a six-month exclusivity on Bosutinib, with 15 additional US product launches planned for the current fiscal year.
• US revenue guidance: Management raised its full-year US generics revenue growth guidance from 10–12% to the higher teens, anticipating that stronger generic volumes will drive overall margin improvement by year-end.