Laurus Labs Ltd.Record Quarter with 69% CDMO Growth

Laurus Labs delivered its strongest quarterly performance in Q1 FY27, with total revenue reaching a record ₹2,026 crores, up 29% year-on-year, driven by exceptional CDMO momentum and sustained affordable medicines execution.

The CDMO segment surged 69% to ₹835 crores, with commercial supplies now comprising 55% of the mix, up from 50% previously, signaling a shift toward recurring revenue streams. EBITDA margin expanded significantly to 31.8%, up 7 percentage points quarter-on-quarter, while net profit hit an all-time high of ₹368 crores. Management doubled FY27 capex guidance to ₹2,000 crores, purpose-built for specific customer demand rather than speculative capacity, with combined FY27-28 capex potentially exceeding ₹3,000 crores.

The company aims to achieve 50% CDMO revenue contribution by FY30 from the current 41%, while maintaining ROCE growth trajectory at 19%. Quality remained uncompromised with zero critical findings across 24 regulatory audits. The affordable medicines division grew 10% to ₹1,156 crores, with ARV concentration declining as planned to one-third of total revenue.