Piramal Pharma unit infuses ₹1,626 crore into PPL Pharma via preference shares

Piramal Pharma Limited on Wednesday (August 20) said its material step-down wholly owned subsidiary, Piramal Healthcare Inc., has completed the subscription of 1,903 optionally convertible redeemable preference shares of face value $100,000 each in PPL Pharma Inc.The total investment aggregates to $190.3 million (₹1,626.49 crore). PPL Pharma Inc. is a step-down wholly owned subsidiary of the company.

First Quarter Results

Piramal Pharma reported a net loss of ₹81.7 crore during the June quarter, compared to a profit of ₹153.5 crore in the previous quarter. The company had reported a net loss in the same quarter last year as well.Also Read: Piramal Pharma shares gain after Canada unit gets zero observations from USFDA with no action indicatedDespite the loss, Piramal Pharma said it is on track to achieve its aspirations for the financial year 2030 of $2 billion in topline with a 25% margin. Revenue for the quarter declined by 1% from the same quarter last year to ₹1,933.71 crore, while on a sequential basis, the revenue was down nearly 30%.

Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter nearly halved from last year to ₹106.7 crore, while on a sequential basis, the figure was down nearly 86%. EBITDA margin fell to single digits of 5.5% from 10.5% last year and 26.9% in the March quarter.

Piramal Pharma’s contract development and manufacturing organisation (CDMO) business declined by 6% from last year to ₹997 crore from ₹1,057 crore. It was impacted by destocking in one large on-patent commercial product.

Also Read: Piramal Pharma retains FY26 targets, stays on track to reach $2 billion revenue by 2030

Shares of Piramal Pharma Ltd ended at ₹191.80, down by ₹2.75, or 1.41%, on the BSE.