NEULANDLAB
Small CapNeuland Laboratories Limited
Pharma
Neuland Laboratories is an Indian API manufacturer and CDMO service provider with 40 years of experience. It offers generic APIs and custom manufacturing solutions for NCEs, specializing in complex chemistries like peptides and deuterated molecules. The company serves over 80 countries, with 90% revenue from exports, and has 3 cGMP facilities inspected by global regulators.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Mixed fundamentals, management trust is supportive, price trend is neutral, and recent execution is weak.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Excellent · 100/100Rev +137% YoY · PAT +661% YoY · margin expansion · +76% QoQ · operating leverage
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹776 Cr | +136.6% | +76.4% |
| EBITDA | ₹307 Cr | +502.0% | +298.7% |
| Operating margin | 40.0% | +2400 bps | +2200 bps |
| PAT | ₹213 Cr | +660.7% | +419.5% |
| PAT margin | 27.4% | +1891 bps | +1813 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
Neuland Labs reported robust Q4FY26 results with Total Income up 134.9% YoY to Rs. 788.7 Cr and PAT up 666.3% YoY to Rs. 212.5 Cr, driven by strong CMS commercial molecules. FY26 saw Total Income grow 37.1% YoY to Rs. 2053.1 Cr and PAT up 40% YoY to Rs. 363.1 Cr, with EBITDA margin expanding to 29.4%.
The company delivered strong Q4 and FY26 results, exceeding expectations, primarily driven by commercial CMS molecules and new project orders. Strategic investments in peptide manufacturing and a new R&D center are underway, supporting future growth. The net cash position and improving working capital are positive indicators.
FY26 Segment Revenue
Latest issuer-disclosed distribution across 4 reported categories.
Commercial CMS Molecules
CMS revenues driven by commercial molecules.
New Project Orders
Growth in new projects orders which will be delivered over the course of this and next financial years.
Peptide Molecules
Traction from Innovators with peptides molecules in pipeline.
Ezetimibe in Prime Segment
Ezetimibe likely to drive growth of the Prime segment.
Peptide Manufacturing Facility
Investments in Peptide Manufacturing... are proceeding according to plan.
New R&D Centre
Neuland is set to open its new state-of-the-art research and development center, spanning across 140,000 square feet, in Hyderabad’s Genome Valley.
FY26 Capex Outflow
Capex outflow of Rs. 397 Cr in FY26.
Global Peptide API Market Growth
Global peptide API market is poised to reach $14Bn by 2030.
Increasing GLP-1 Demand
Peptide API market to scale by ~$14 bn by 2030 driven mainly by rich peptide pipeline and increasing demand for GLP-1.
Peptide Patent Cliff
Patent cliff of peptides, broadening the availability of these drugs as volume increases expected to offset price declines.
Customer Concentration in CMS
CMS Overall Company Top 5 customers account for 68% of revenue in Q4FY26.
Product Concentration in CMS
CMS Overall Company Top 5 products account for 61% of revenue in Q4FY26.
Subdued Specialty Business
Specialty business subdued due to Paliperidone.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
The company reports both quarterly and annual results with significant YoY growth, indicating strong underlying business momentum. QoQ comparison is also relevant for tracking sequential execution and ramp-up of commercial molecules and new projects.
Export Revenue Share
90% Revenue from exports.
New DMF Filings
2 New DMF filed for FY26: Vonoprazan and Edoxaban.
Regulatory Approvals
Successfully cleared 18 USFDA inspections.
USFDA Observations
US FDA audit of Unit-I with Zero 483.
Strong Business Visibility
good business visibility in the short to medium term anchored by commercial and near-commercial molecules.
Focus on Execution & Customer Satisfaction
Our focus on execution discipline, customer satisfaction, and protection of business fundamentals is central to ensuring this phase of growth.
Laying Groundwork for Future Growth
laying the groundwork for growth beyond this horizon. Key elements of this foundation are the investments in Peptide Manufacturing as well as the new R&D Centre, which are proceeding according to plan.
BD Strategy Alignment
Our Business Development strategy is aligned to the investments and is focused on bringing in the right kind of projects that support high quality, sustainable growth.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| CMS Commercial Molecule Revenue | CMS revenues driven by commercial molecules. | Continued growth and diversification of commercial molecules. |
| EBITDA Margin | Q4FY26 at 40.5%, FY26 at 29.4%. | Sustained margin expansion due to operating leverage and product mix. |
| Working Capital Days | 137 days in Q4FY26 (vs 145 days in Q3FY26). | Further improvement in working capital management. |
| Unit 3 Utilization | Unit 3 utilisation levels have recently started ramping up. | Continued ramp-up and contribution to overall revenue. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
55NeutralSMA20 +17.1% / mo · near 52W high
Technical chart
NEULANDLABdaily · 1Y-0.0%Technical trend read
Bullish setupTrend is constructive — long-term trend unclear. RSI 62.
- SMA20 rising (~7.0% over last month) — short-term momentum positive.
- RSI(14) at 62 — rising, no extreme reading.
- MACD below signal but histogram contracting — bearish momentum easing.
- 6% off 52W high · 49% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
FAIR VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Quality contributes 14/20 to the score.
- Growth contributes 17/25 to the score.
Main drags
- Fair-value margin of safety is negative at -44.4%.
- Valuation is weaker at 0/30; verify the latest quarterly trend.
- Cash flow is weaker at 4/10; verify the latest quarterly trend.
Healthcare valuation: PE/EVEBITDA with regulatory and pipeline checks
Healthcare valuation needs both earnings quality and regulatory/pipeline context.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Claim history is still being built. It ranks around the 79th percentile of the scored universe and 71st percentile within Pharma. Main check: results consistency is weak at 43/100.
High Trust Lite: Promoter pledge is zero. Key concern: 2 latest quarters had PAT decline worse than 25% YoY.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · Pharma: 71st pctile, median 70 · Small: 83rd pctile, median 65
123 documents indexed, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Healthy Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸6 years of positive FCF.
- ▸ROCE is 26.6%.
- ▸3/4 latest quarters had positive YoY revenue growth.
Trust risks
- ▸2 latest quarters had PAT decline worse than 25% YoY.
- ▸OPM spread across recent quarters is 28%.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Intrinsic value
Fundamentals
Valuation
- P/E
- 59.80
- P/B
- 11.61
- EV/EBITDA
- 33.13
- Market Cap
- 21762.00Cr
Profitability
- ROE
- 21.40%
- ROCE
- 26.60%
- ROA
- 12.42%
- Dividend Y
- 0.20%
Growth (CAGR)
- Revenue 5Y
- 17.00%
- EPS 5Y
- 39.00%
- Revenue 3Y
- 19.00%
- EPS 3Y
- 30.00%
Balance Sheet
- Debt/Equity
- 0.16
- Interest Coverage
- 23.92×
- Altman Z
- 8.27
- Book Value
- 1461.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 6/5
- OCF
- 347.00 Cr
- EPS TTM
- 283.71
Shareholding
- Promoter Hold
- 32.63%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 66%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in Pharma — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.