Pfizer Ltd Q1 FY27 Results Analysis: EBITDA Margin Expands 307 bps, Revenue Grows 8.3%

Pfizer Ltd's Q1 FY27 numbers came in strong, with revenue of Rs. 653.17 Cr (+8.31% YoY) and PAT growth of +6.63% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quarter Snapshot

Q1 FY27 results showed 8.31% revenue growth and 307 bps EBITDA margin expansion, driven by cost restructuring and operating leverage. The company is debt-free with strong cash reserves. Key concerns include gross margin pressure from pricing headwinds and lack of explicit guidance.

Key Investment Insights

Key Positives

• Revenue grew 8.31% YoY to Rs.653.17 Cr, with total expenses growing only 2.59% YoY.
• EBITDA margin expanded 307 bps YoY to 37.90%, driven by lower employee costs and cost discipline.
• PAT grew 6.63% YoY to Rs.204.47 Cr, with EPS at Rs.44.69.
• Company remains debt-free with cash reserves of ~Rs.3,111 Cr (FY26).

Risk Factors

• Gross materials cost ratio (net of inventory) increased ~173 bps YoY to 36.76% of revenue, indicating pricing headwinds from DPCO and trading mix shift.
• Other income declined 33.24% YoY to Rs.44.84 Cr, impacting total income growth.
• No explicit financial guidance provided for FY27, reducing visibility.