Torrent Pharmaceuticals Ltd.: JB Pharma F4Q26: Integration Reset Weighs on Growth, Margin Expansion Signals Early Torrent Synergies

Research evidence excerpt

Torrent Pharmaceuticals Ltd.: JB Pharma F4Q26: Integration Reset Weighs on Growth, Margin Expansion Signals Early Torrent Synergies

Update

May 12, 2026 06:29 AM GMT

Morgan Stanley India Company Private Limited+MTorrent Pharmaceuticals Ltd. | Asia Pacific Alka Katiyar

Equity Analyst

JB Pharma F4Q26: Integration Alka.Katiyar@morganstanley.comBinay Singh +91 22 6118-1172

Binay.Singh@morganstanley.com +91 22 6118-1158

Reset Weighs on Growth, Dhara P Shah

Research Associate

Dhara.Shah@morganstanley.com +91 22 6118-2047

Margin Expansion Signals Early

Torrent Pharmaceuticals Ltd. (TORP.NS, TRP IS)

India Healthcare | IndiaTorrent Synergies

Stock Rating Equal-weight

Industry View Attractive

Price target Rs4,580.00

Key Takeaways Shr price, close (May 11, 2026) Rs4,517.10

52-Week Range Rs4,555.10-3,101.60

JB Pharma F4Q26 was a transition quarter post Torrent acquisition; operational Sh out, dil, curr (mn) 338

Mkt cap, curr (mn) Rs1,528,792

reset impact, but margin profile (ESOP adj) improved to 27% vs. 25% in F4Q25.

EV, curr (mn) Rs1,546,533

Avg daily trading value (mn) Rs1,279

India branded business remained healthy at 8% growth; chronic portfolio grew

19%, outperforming industry growth of 14%.

Trade generics rationalization and integration-related policy alignment

temporarily impacted revenues across India and exports.

Gross margin expanded to 70% and EBITDA margin to 27%, driven by better mix

and early procurement/cost synergies.

Management expects recovery from F1Q27/F2Q27, with synergy-led growth

acceleration in branded India business under Torrent.

Result highlights : Find here Exhibit 1

View: Remain EW on Torrent: JB Pharma’s Q4 reflects a temporary integration-led

reset post acquisition, with core India branded business remaining resilient and