Granules India Releases Webinar Transcript, Outlines Multi-Engine Growth Strategy

Granules India Limited has released the transcript of a webinar held on September 29, 2026, following up on an earlier intimation. The webinar, "Granules 2.0: Comprehensive Transformation Underway," featured Chairman and Managing Director Dr. Krishna Prasad Chigurupati and other senior management.

Dr. Chigurupati highlighted that after nearly three years of flat performance, the company returned to growth in FY26, viewing this as the start of a new growth cycle. Granules has invested significantly in manufacturing, R&D, and capabilities, and is now focusing on scaling these for commercial growth. The company's strategy is built on its established business and four identified growth engines: controlled substances, complex generics and early market opportunities, oncologies, and peptide CDMO. The objective is to translate investments into a substantially larger business with faster-growing earnings and a more differentiated portfolio, while maintaining financial discipline.

Executive Director Priyanka Chigurupati elaborated on the portfolio and R&D strategy, emphasizing a shift towards higher-value products, improved portfolio mix, and greater operating leverage. The company's first-to-file playbook is becoming more selective, guided by technical complexity, unmet patient needs, and market economics. Complex generics have grown from 1% of revenue in FY20 to 33% in FY26. Granules has filed two sole first-to-file ANDAs for Generic Lumryz and Generic Dyana vel, with a combined US market size exceeding $350 million, potentially offering 180-day exclusivity. The company plans four to five more first-to-file launches between FY30 and FY34. Oncology is also a focus, with a shift towards selected molecules offering stronger commercial potential, and commercialization expected to begin in FY29.

President of Granules Pharmaceuticals, Inc., Vijay Ramanavarapu, detailed the controlled substances business, where Granules is now the third-largest manufacturer in the US by value. The company is focusing on Schedule II products, particularly in the ADHD space, with plans for new launches in amphetamine and methylphenidate segments. He also mentioned expansion into pain management and opioids, leveraging its vertical integration for paracetamol.

CEO of Senn Tides India Private Limited, Sanjay Kumar, discussed the peptide CDMO business, acquired through Senn Chemicals. The strategy combines Swiss expertise with Indian manufacturing scale. The company aims for a $50 million annual revenue run rate in three years and over $100 million in five years, with ambitions extending to oligonucleotides and ADC capabilities. Immediate financial priority is profitability in FY27.

CFO Mukesh Surana outlined the financial performance, noting gross margin expansion to 65% and EBITDA margin to 22%. R&D investment has risen to 6% of revenue. The company is in a consolidated net cash position after warrant proceeds, enabling planned organic capital expenditure of approximately ₹2,000 crore over three to four years for complex generics, oncology, peptide CDMO, and US operations.

During the Q&A, management confirmed active pursuit of inorganic opportunities and discussed strategies for managing raw material cost pressures in the legacy business. They also addressed the therapeutic areas for peptide CDMO, noting it is customer-driven but includes areas beyond GLP-1. Regarding the ₹2,000 crore capex, it will be broadly allocated across peptide CDMO, complex generics, and oncology, with a significant portion dedicated to growth capex. Management also discussed milestone-based spending criteria for peptide development and assured healthy percentage point improvements in ROCE over the next few years. The company is also building capabilities in oligonucleotides and evaluating ADCs.