Synopsis: Blue Jet HealthCare reported a steep sequential decline in income and revenue in Q2FY26 because of de-stocking within the PI phase, although gross margins and different earnings improved sharply. Regardless of regular progress on capability enlargement and product launches, traders reacted to close time period weak point, with the inventory hitting its 10 % decrease circuit.
A pharma CDMO (Contract Improvement and Manufacturing Group) inventory fell sharply after Q2 outcomes, as traders reacted to a big quarter-on-quarter drop in gross sales and working revenue regardless of increased gross margins and a surge in different earnings. The muted topline mirrored non permanent de-stocking within the PI phase.
Blue Jet HealthCare Ltd reported a market capitalisation of Rs. 10,534.56 crore. The inventory opened at Rs. 679.95 and hit its decrease circuit of 10 %, touching an intraday low of Rs. 607.30 towards the earlier shut of Rs. 674.75, marking a decline of 10 % from the earlier near the day’s low.
Monetary Snapshot – Q2FY26
Quarter-on-Quarter (QoQ): Income declined from Rs. 355 crore in Q1FY26 to Rs. 165 crore in Q2FY26, down 53.52 %. Working revenue dropped from Rs. 121 crore to Rs. 55 crore, down 54.55 %, whereas working margin moved from 34 % to 33 %, reflecting a 2.94 % relative decline. Revenue earlier than tax decreased from Rs. 123 crore to Rs. 69 crore, down 43.90 %, and web revenue fell from Rs. 91 crore to Rs. 52 crore, down 42.86 %. Earnings per share diminished from Rs. 5.26 to Rs. 3.01.
12 months-on-12 months (YoY): Income fell from Rs. 208 crore in Q2FY25 to Rs. 165 crore in Q2FY26, a decline of 20.67 %. Working revenue dropped from Rs. 69 crore to Rs. 55 crore, down 20.29 %, whereas working margin remained regular at 33 %. Revenue earlier than tax declined from Rs. 77 crore to Rs. 69 crore, down 10.39 %, and web revenue decreased from Rs. 58 crore to Rs. 52 crore, down 10.34 %. EPS diminished from Rs. 3.36 to Rs. 3.01, decrease by 10.42 % year-on-year.
Monetary Highlights
The corporate reported that the decline in revenues throughout Q2FY26 was because of decrease gross sales within the PI phase, pushed by de-stocking of channel stock. Gross margin improved to 65 % in Q2FY26 from 48 % in Q1FY26, owing to modifications in stock and better completed items ranges (together with items in transit) of Rs. 506 million. Overhead allocation on these shares diminished price of products bought by round 9 %, positively impacting margins.
Different earnings rose sharply to Rs. 243 million, up 194 % from Rs. 83 million in Q1FY26, totally on account of a web overseas trade achieve of Rs. 154 million because of USD appreciation and treasury earnings of Rs. 74 million. Free money and money equivalents together with treasury investments stood at Rs. 3,413 million as of 30 September 2025.
Enterprise Updates
Blue Jet launched an iodinated-based superior distinction media intermediate in July 2025. The distinction media for the MRI phase continues to witness robust development in regulated markets, resulting in a strong order e book. The corporate obtained new RFPs, one for a high-conviction Part 3 program and two for commercialized merchandise, that might result in extra lateral entries.
A key intermediate within the PI class for a cardiovascular drug is seeing robust traction and rising prescriptions throughout geographies, which is anticipated to assist product development over the patent interval. Blue Jet made a fee of Rs. 42 crore for buying 102 acres close to Vizag, with formalities underway. The corporate additionally incurred Rs. 82 crore of capex (excluding land) between April and September 2025, with the Mahad backward integration undertaking progressing on schedule.
Progress Technique
The corporate continues to give attention to enhancing operational effectivity and mitigating provide chain dangers. It goals to forward-integrate into extra superior intermediates for distinction media, leverage long-term buyer relationships to develop into adjoining pharma intermediate and API segments, construct extra capability to satisfy future buyer demand, and make investments additional in R&D infrastructure and technical capabilities.
In regards to the Firm
Blue Jet HealthCare Ltd is a specialty pharmaceutical and healthcare elements producer working below a Contract Improvement and Manufacturing Group (CDMO) mannequin. The corporate has robust chemistry capabilities in distinction media intermediates and high-intensity sweeteners, serving main innovator and multinational pharmaceutical shoppers by long-term contracts. It provides key intermediates to world majors equivalent to GE Healthcare, Guerbet, and Bracco, and high-intensity sweeteners to corporations like Colgate-Palmolive (India) Ltd and Unilever.
-Manan Gangwar
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