Lupin (LPC IN) – Q2FY26 Result Update – Strong beat aided by higher US sales – BUY
Published on 10 Nov 2025
Lupin’s (LPC) Q2FY26 EBITDA stood at Rs21.4bn 20% beat to our estimates on the back of higher US sales supported by niche launches like gTolvaptan. LPC saw remarkable turnaround in profitability with ~2x jump in EBITDA over FY23-24 aided by better product mix, continued niche launches in the US, clearance from USFDA for facilities, domestic formulations regaining momentum and cost optimization measures. We expect margins to sustain given a strong pipeline in the US. Our FY27E and FY28E EPS broadly remain unchanged. We maintain BUY rating with TP of Rs2,400 (24x Sept 2027E EPS). Any competition in gSpiriva and delay in new launches in the US will be key risks to our estimates.
