Solar Pharma, India’s largest drugmaker, is ready to put up its outcomes for the third quarter of the fiscal yr on Saturday. Whereas brokerages anticipate regular home development and marginal sequential development in its US enterprise, pushed by its modern medicine, margins could contract because of elevated spending.
Analysts can even be looking for readability on any potential impression from the US authorities’s most favoured nation (MFN) pricing norms, in addition to the corporate’s plans after getting regulatory approval to market semaglutide as a weight-loss drug in India earlier this month.
Solar Pharma’s total gross sales are anticipated to develop 5% year-on-year, (down 1% sequentially), with US gross sales declining 4% sequentially to $478 million on account of decrease gross sales of blood most cancers drug Revlimid, analysts at Kotak Institutional Equities stated in a 6 January word.
Solar Pharma is amongst a number of Indian drugmakers to have signed an settlement with Revlimid’s innovator, Mylan, to promote the drug in restricted portions from 2022 till its patent expires in January 2026. Decrease Revlimid gross sales are anticipated to tug down the earnings of a number of US-focused drugmakers this quarter as they’re anticipated to dump remaining shares.
Progressive cushion
Nevertheless, Solar’s modern drug portfolio could offset the dip. Final quarter its modern gross sales outpaced generic gross sales within the US for the primary time. A choose up in gross sales of its alopecia areata drug Leqselvi, launched within the US in June 2025, in addition to continued development in different medicine comparable to Cequa, Winlevi and Odomzo, is predicted to spice up US formulations and world specialty gross sales.
Solar Pharma can be anticipated to clock regular home development of 11-13%, in keeping with brokerages Kotak, BNP Paribas and HDFC Securities. This may outpace the general Indian pharma market, which grew 10.1% in October-November 2025, in keeping with IQVIA.
Its Ebitda margin could stay flattish or dip because of elevated advertising and marketing prices. Administration had introduced an funding of $100 million to market its new specialty medicine Leqselvi and Unloxyt in FY26.
Eyes on MFN, semaglutide
All eyes might be on administration’s commentary on the US authorities’s MFN drug pricing norms, stated a pharma analyst, who requested anonymity as he was not authorised to talk to the media.
Below the MFN drug pricing norms, drug producers are required to match the bottom value provided for a drug in different developed international locations. That is a part of the Trump administration’s push to make healthcare cheaper for People. The federal government has negotiated offers on this with producers comparable to Pfizer, AstraZeneca and Merck over the previous yr. Solar Pharma’s publicity to the US modern market means it could be affected by these measures.
In December, the Facilities for Medicare & Medicaid Companies (CMS) launched pricing initiatives to include MFN pricing into Medicare Components B and D applications. If finalised, producers must pay extra obligatory rebates on medicine coated beneath these applications.
Solar Pharma additionally introduced in January that it had obtained regulatory approval to launch semaglutide for weight administration in India as soon as its patent expires in March.
In Q2FY26, the corporate beat Road estimates with web revenue up 2.6% year-on-year to ₹3,117.95 crore, and income from operations up 8.6% year-on-year to ₹14,405.2 crore.
The corporate noticed regular income development in most markets. Its generic gross sales declined, however this was offset by development within the firm’s modern portfolio. Ebitda for the quarter was ₹4,527 crore, up 14.9%, whereas the margin was 31.3%, up from 29.6% a yr in the past.