Piramal Pharma Limited (PPLPHARMA) AI Stock Analysis

• Market Cap: ₹203.31B
• Dividend Yield: 0.08%
• Average Volume (3M): 264.14K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.83
• Revenue Growth: 2.66%
• EPS Growth: -153.15%
• Country: IN
• Employees: 6,719
• Sector: Healthcare
• Sector Strength: 45
• Industry: Biotechnology
• EPS (TTM): -0.70
• Shares Outstanding: 1,329,248,200
• 10 Day Avg. Volume: 501,791
• 30 Day Avg. Volume: 264,138
• PEG Ratio: 0.84
• Price to Book (P/B): 3.72
• Price to Sales (P/S): 3.30
• P/FCF Ratio: 132.61
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.05
• Revenue Forecast (FY): ₹90.81B

• Rating: 55 Neutral
• Price Target: ₹157.00 ▼(-18.51% Downside)
• Action: Reiterated Date: 10/22/25
• Date: Action: Reiterated 10/22/25

Piramal Pharma Limited's overall stock score is primarily influenced by its strong revenue growth and solid balance sheet. However, the high P/E ratio and low dividend yield suggest overvaluation, while technical indicators point to bearish momentum. The lack of consistent profitability and cash flow generation also poses risks to future financial performance.

Positive Factors

CDMO and specialty pharma business model

A dual model of CDMO services plus specialty drug sales provides durable revenue diversification. Long-term supply agreements, milestone fees and commercial manufacturing create sticky, multi-year cash flows and reduce reliance on single revenue sources, supporting resilience and growth.

Solid balance sheet and manageable leverage

A debt-to-equity around 0.60 and healthy equity ratio indicate materially lower financial risk and capacity to fund capex or strategic investments. This capital structure supports bidding for large CDMO contracts and cushions earnings volatility from project timing or regulatory delays.

High gross margins and improving operating efficiency

A ~64.7% gross margin and improving EBIT margin reflect strong pricing power or efficient manufacturing, which supports durable profitability if maintained. Combined with steady revenue growth, this provides structural capacity to reinvest in capacity, R&D or debt reduction.

Negative Factors

Inconsistent net profit margins

Large swings in net margins indicate recurring volatility from project mix, timing of commercial launches, pricing or non-operating items. This undermines earnings predictability over 2–6 months, complicates capital allocation and raises the chance of earnings misses on major contracts.

Fluctuating free cash flow and capex management

Variable free cash flow suggests capex timing or working-capital swings reduce sustainable cash generation. That can force external financing for growth, limit capacity expansion for CDMO demand, and constrain ability to consistently fund dividends or share buybacks.

Customer concentration and contract dependence

Reliance on a handful of large CDMO customers and milestone-driven contracts creates revenue lumpy-ness and execution risk. Losing or renegotiating major contracts or adverse client outcomes can sharply reduce volumes and revenue visibility over the medium term.

Piramal Pharma Limited Business Overview & Revenue Model

Company Description

Piramal Pharma Limited (PPLPHARMA) is a leading global pharmaceutical company based in India, operating under the Piramal Group. The company focuses on developing and manufacturing a wide range of pharmaceutical products, including branded and generic formulations, active pharmaceutical ingredients (APIs), and contract development and manufacturing services (CDMO). PPLPHARMA is committed to providing innovative healthcare solutions across various therapeutic areas such as oncology, cardiovascular, and central nervous system disorders, leveraging its extensive research and development capabilities.

How the Company Makes Money

Piramal Pharma Limited generates revenue through multiple streams, primarily from the sale of pharmaceutical products, including both branded and generic medications. The company has a significant presence in the contract development and manufacturing services (CDMO) sector, providing custom manufacturing solutions for other pharmaceutical companies, which contributes to its revenue. Additionally, PPLPHARMA earns income through licensing agreements and collaborations with other firms, enhancing its market reach and product portfolio. Strategic partnerships and alliances with healthcare organizations further bolster its earnings by broadening access to diverse markets and increasing the scale of operations.

Piramal Pharma Limited Financial Statement Overview

Summary

Piramal Pharma Limited shows strong revenue growth and a solid balance sheet with manageable debt levels. However, inconsistent net profit margins and fluctuating free cash flow indicate challenges in achieving stable profitability and cash flow generation.

Income Statement

Piramal Pharma Limited has shown a steady increase in revenue over the years, indicating a positive growth trajectory. The gross profit margin is robust, standing at approximately 64.7% in 2025. However, net profit margins have been inconsistent, with significant fluctuations, highlighting potential volatility in bottom-line profitability. EBIT margin improved significantly in 2025, suggesting better operational efficiency, but the EBITDA margin remains moderately low, indicating room for improvement in operational cash flow generation.

Balance Sheet

The company maintains a solid equity base, with a debt-to-equity ratio of 0.60 in 2025, reflecting a balanced capital structure and manageable leverage. Return on Equity (ROE) shows variability, indicating fluctuating profitability relative to shareholder investments. The equity ratio is healthy, suggesting a stable asset-financing structure primarily through equity, which reduces financial risk.

Cash Flow

Operating cash flow has been relatively stable, but free cash flow has seen significant fluctuations, indicating potential issues with capital expenditure management. The operating cash flow to net income ratio in 2025 is notably high, suggesting effective cash conversion from profits. However, the free cash flow growth rate has been inconsistent, raising concerns about sustainable cash generation capabilities.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	91.34B	91.51B	81.71B	70.82B	65.59B	58.87B
Gross Profit	66.47B	59.20B	49.09B	10.98B	13.80B	38.13B
EBITDA	14.86B	14.04B	13.67B	8.46B	12.60B	12.97B
Net Income	980.70M	911.30M	178.20M	-1.86B	3.76B	5.71B
Balance Sheet
Total Assets	0.00	156.78B	153.12B	145.23B	127.97B	57.57B
Cash, Cash Equivalents and Short-Term Investments	4.08B	5.21B	5.02B	6.60B	3.79B	1.62B
Total Debt	0.00	48.56B	47.10B	56.37B	41.28B	1.74B
Total Liabilities	-81.25B	75.52B	74.00B	77.49B	61.00B	16.56B
Stockholders Equity	81.25B	81.25B	79.11B	67.73B	66.97B	41.01B
Cash Flow
Free Cash Flow	0.00	2.28B	2.92B	-4.81B	-1.23B	-233.90M
Operating Cash Flow	0.00	8.92B	10.05B	4.84B	7.66B	347.20M
Investing Cash Flow	0.00	-4.77B	-4.34B	-13.39B	-18.12B	-43.83B
Financing Cash Flow	0.00	-4.41B	-4.22B	8.18B	7.94B	44.94B

Piramal Pharma Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 192.65
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:PPLPHARMA, the sentiment is Negative. The current price of 192.65 is above the 20-day moving average (MA) of 161.22, above the 50-day MA of 164.71, and above the 200-day MA of 188.51, indicating a bearish trend. The MACD of -2.17 indicates Positive momentum. The RSI at 35.84 is Neutral, neither overbought nor oversold. The STOCH value of 28.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:PPLPHARMA.

Piramal Pharma Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IPCALAB	74 Outperform	₹374.44B	27.58	―	0.28%	9.66%	25.79%
ASTRAZEN	70 Outperform	₹217.49B	173.10	―	0.35%	35.14%	143.11%
PFIZER	69 Neutral	₹225.18B	40.22	―	0.69%	6.13%	35.83%
JBCHEPHARM	66 Neutral	₹333.18B	36.01	―	0.86%	10.25%	17.01%
GLAND	63 Neutral	₹295.75B	27.13	―	1.07%	-1.51%	14.27%
PPLPHARMA	55 Neutral	₹203.31B	-41.77	―	0.08%	2.66%	-153.15%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%

Piramal Pharma Limited Corporate Events

Piramal Critical Care and Blue-Zone Partner to Recycle Waste Anaesthetic Gases

Piramal Critical Care, Inc. and Canada-based Blue-Zone Technologies Ltd. have entered into a collaboration to deploy full lifecycle technology for capturing, collecting and recycling waste anaesthetic gases, marrying Blue-Zone’s proprietary gas capture and processing systems with Piramal’s global manufacturing and marketing reach. Initially focused on Europe, where Blue-Zone’s Phoenix Deltasorb waste anaesthetic gas capture system is pending regulatory approval, the partnership will see Blue-Zone supply and manage the technology in hospitals in markets such as France and Germany, while Piramal processes the recovered gases using Blue-Zone’s technology to produce Sevoflurane USP for human use in Canada, with plans to expand both the recycling program and Sevoflurane marketing into additional geographies; the initiative aims to reduce the environmental footprint of volatile anaesthetics while preserving their role as a primary modality for general anaesthesia, underscoring Piramal’s strategy to align clinical performance with sustainability demands from hospitals and health systems.

Piramal Pharma to Acquire Kenalog Injectable Portfolio from Bristol-Myers Squibb

Piramal Pharma’s step-down wholly owned subsidiary, Piramal Critical Care B.V., has signed definitive agreements to acquire Kenalog and associated injectable corticosteroid brands from Bristol-Myers Squibb for an upfront US$35 million, plus up to US$65 million in contingent payments tied to operational and financial milestones, subject to closing conditions. The acquisition of Kenalog, which is marketed under multiple trademarks in 15 countries and indicated for various inflammatory conditions, is set to deepen Piramal Pharma’s portfolio of hospital-focused injectable products and is expected to enhance growth by leveraging its global hospital distribution network, particularly strengthening its presence and future revenue potential in the US, Europe and Asia-Pacific, without involving any related-party transactions.

Piramal Pharma Strengthens Senior Management, Appoints Interim Company Secretary

Piramal Pharma Limited has expanded its senior management ranks by designating four executives as Senior Management Personnel, covering key functions such as quality, mergers and acquisitions, legal, and human resources, reflecting a push to strengthen governance and operational leadership across critical verticals. The company also announced a change in its key managerial personnel, with Company Secretary and Compliance Officer Tanya Sanish resigning effective 20 February 2026 and the Board appointing Pratibha Mishra as Interim Company Secretary and Compliance Officer from 21 February 2026, ensuring continuity in corporate compliance and regulatory oversight.

Piramal Pharma Posts Higher Profit Despite Softer Revenue in Q3 FY26

Piramal Pharma Limited’s board has approved the unaudited standalone and consolidated financial results for the quarter and nine months ended 31 December 2025. For the December quarter, standalone revenue from operations stood at ₹1,195.81 crore, slightly lower than the year-ago period, while total income was ₹1,291.96 crore. Net profit after tax rose to ₹128.91 crore from ₹118.80 crore a year earlier, despite a one-off charge of ₹26.94 crore relating to the impact of new labour codes, and total comprehensive income for the quarter reached ₹133.45 crore versus ₹115.27 crore last year. For the nine-month period, revenue from operations was ₹3,292.95 crore compared with ₹3,595.91 crore in the prior year period, but net profit came in higher at ₹438.38 crore versus ₹414.13 crore, with basic earnings per share at ₹3.31. The results, which show improved profitability amid softer topline, underscore the company’s efforts to manage costs and maintain earnings momentum, and will be published in newspapers and on the company’s website in line with regulatory requirements.

Piramal Pharma Posts Muted Q3 FY26 Results but Signals Early Recovery and Continued Expansion

Piramal Pharma Limited reported a 3% year-on-year decline in consolidated revenue from operations to ₹2,140 crore for Q3 FY26 and a 4% drop to ₹6,117 crore for the nine months ended December 31, 2025, with EBITDA down 32% in the quarter and 36% over nine months, and net losses deepening due to lower volumes and exceptional items. Management attributed the muted performance mainly to inventory destocking by a major CDMO customer, slower early-stage order inflows amid uneven US biopharma funding, and regulatory delays affecting inhalation anesthesia exports, but highlighted improving trends since October 2025, including a pickup in RFPs, better funding conditions, and increased US healthcare M&A, alongside ongoing US$90 million growth capex in Lexington and Riverview, expansion of CHG in ex-US markets including the acquisition of Kenalog, and continued outperformance of its consumer business, with expectations that the historically strong fourth quarter will again support results.

Piramal Pharma Reshuffles Senior Management and Appoints Interim Company Secretary

Piramal Pharma Limited’s board has expanded its senior management team by designating four officials as Senior Management Personnel, including the Chief Quality Officer, President – Mergers and Acquisitions, General Counsel and Chief Human Resource Officer, reflecting a formal strengthening of leadership across quality, strategic transactions, legal and human resources functions. Separately, the board has accepted the resignation of Company Secretary and Compliance Officer Tanya Sanish, effective 20 February 2026, and has appointed Pratibha Mishra as Interim Company Secretary and Compliance Officer from 21 February 2026, ensuring continuity in corporate governance and regulatory compliance responsibilities.

Piramal Pharma Posts Q3 Loss as CDMO Weakness Weighs, Signals Early Demand Recovery

Piramal Pharma reported a weak performance for the third quarter and first nine months of FY26, with consolidated revenue from operations declining 3% year-on-year in Q3 to ₹2,140 crore and 4% in the nine-month period to ₹6,117 crore, while EBITDA fell 32% in Q3 and 36% for the nine months, and the company swung to a net loss. The downturn was driven mainly by its CDMO segment, which saw double-digit revenue contraction amid inventory destocking for a large on-patent commercial product, slower early-stage order inflows linked to an uneven recovery in US biopharma funding, and regulatory delays affecting inhalation anesthesia sales from its Digwal facility, although CHG and consumer healthcare posted growth and cost-optimization efforts partly cushioned margins. Management pointed to early signs of recovery since October 2025, citing a pick-up in RFPs and order inflows on the back of improved US biopharma funding and M&A activity, continued outperformance of its consumer business, and ongoing US$90 million growth capex at its Lexington and Riverview sites, while expressing confidence in long-term prospects and reiterating that Q4 remains historically the strongest quarter for the company.

Piramal Pharma Revamps Senior Management, Appoints New Compliance Chief

Piramal Pharma Limited has overhauled its senior management structure, designating four executives as Senior Management Personnel: Chief Quality Officer Rashida Najmi, President – Mergers and Acquisitions Jatin Lal, General Counsel Sandeep Rathod and Chief Human Resource Officer Puneet Rajput. The move signals a greater emphasis on quality, deal-making, legal governance and talent management as core pillars of the company’s operations. In parallel, the board has accepted the resignation of Company Secretary and Compliance Officer Tanya Sanish, effective 20 February 2026, and appointed Pratibha Mishra as Interim Company Secretary and Compliance Officer from 21 February 2026, ensuring continuity in corporate governance and regulatory compliance amid the leadership transition.

Piramal Pharma Revamps Senior Management and Key Compliance Role

Piramal Pharma Limited has announced a series of senior leadership changes, expanding its cadre of Senior Management Personnel with the additional designation of Chief Quality Officer Rashida Najmi, President – Mergers and Acquisitions Jatin Lal, General Counsel Sandeep Rathod and Chief Human Resource Officer Puneet Rajput as senior management with immediate effect. In a concurrent change to its key managerial positions, Company Secretary and Compliance Officer Tanya Sanish has resigned effective 20 February 2026 to pursue opportunities outside the organisation, and the board has appointed Pratibha Mishra as Interim Company Secretary and Compliance Officer from 21 February 2026, signalling a continuity-focused transition in governance and compliance oversight for stakeholders.

Piramal Pharma Shareholders Approve Appointment of Independent Director via Postal Ballot

Piramal Pharma Limited has announced that its shareholders have approved, via remote e-voting through a postal ballot, the appointment of Amit Soni as an Independent Director of the company by way of a special resolution. The resolution, deemed passed on 16 January 2026, reflects shareholder support for strengthening the company’s board structure and governance framework, and the voting results along with the scrutinizer’s report have been made available on both the company’s and the e-voting service provider’s websites for investor transparency.

Piramal Pharma Schedules Q3 and 9M FY2026 Earnings Call for Investors

Piramal Pharma Limited has announced that it will host an earnings conference call for investors and analysts on 29 January 2026 to discuss its financial results for the third quarter and nine months of FY2026. By formally scheduling this call and sharing access details for participants across multiple geographies, the company is underscoring its focus on transparent communication with capital markets, and the discussion is likely to provide stakeholders with updates on operational performance across its contract development, hospital generics, consumer healthcare and strategic investment portfolios.