Cohance Lifesciences posts Q1FY26 revenue of Rs 549.3 crore, up 13% YoY, with gross margins rising to 73%.

Cohance Lifesciences Limited announced its financial results for the quarter ended June 30, 2025, marking its first complete quarter of operations under the new name. Revenue was Rs. 549.3 crore, up 13% from the year before. When temporary inventory destocking in Pharma CDMO is excluded, the increase was more than 25%.

A more diverse range of specialized technologies and the contributions of recent acquisitions drove the gross margins increase from 68.4% to 73% last year. Adjusted EBITDA, which showed expected investments in talent, high-value modalities, and the merging of NJ Bio and Sapala, came to Rs. 131.4 crore with a profit margin of 23.9%.

Revenue from niche technologies surpassed 20% of overall sales in FY25, rising from the mid-teen range, and is projected to climb to the mid-20% range by the end of the year. With destocking excluded, Pharma CDMO income increased by more than 30%. While API+ increased 19% due to good execution and new launches, Specialty Chemicals increased 28% due to AgChem's resurgence and new projects.

During the quarter, work commenced on two key infrastructure projects: a bioconjugation cGMP suite at NJ Bio’s Princeton facility in the US, with an investment of US$10 million, and an oligonucleotide building block unit in Hyderabad, India, backed by a Rs. 23 crore outlay.

Both facilities are expected to be operational by the end of the calendar year 2025. A US partner placed an early-stage order with the business for integrated payload-linker synthesis and bioconjugation. Additionally, it initiated development of a specialized OEB6 high-containment facility in India to support a major innovator’s payload program.