Lupin faces GST inspection in Maharashtra; says no impact on finances, business activities

Pharma major Lupin Ltd. on Wednesday said the Maharashtra Goods and Services Tax (GST) Department has initiated an inspection and search at one of its offices, seeking documents related to GST payments and input tax credit claims.

In a regulatory filing, the company clarified that it is fully cooperating with authorities and that the ongoing proceedings have no impact on its financials, operations or business activities. The inspection is focused on documentation and compliance aspects linked to GST remittances and credit claims.

Despite the development, Lupin’s shares closed marginally higher at ₹2,293 apiece, gaining 1.90% for the day, suggesting limited investor concern over the regulatory action.

Business developments

The update comes amid a series of positive business developments for the drugmaker. Earlier this week, Lupin announced that it has received approval from the European Commission for its biosimilar Ranluspec (ranibizumab), following a positive opinion from the Committee for Medicinal Products for Human Use.

Ranibizumab is indicated for the treatment of multiple retinal disorders, including neovascular (wet) age-related macular degeneration, diabetic macular edema, proliferative diabetic retinopathy, macular edema following retinal vein occlusion and choroidal neovascularization.

Lupin’s biosimilar will be commercialised by Sandoz across the European Union, excluding Germany. In France, the product will be marketed by both Sandoz and Biogaran.

In a separate announcement, the company said it has launched Brivaracetam Oral Solution (10 mg/mL) in the United States after receiving approval from the US Food and Drug Administration. The anti-seizure medication adds to Lupin’s growing portfolio in the US market.

Q3 results

Strong US performance helped drive earnings in the quarter ended December 31, 2025. Lupin reported a consolidated net profit of ₹1,175.6 crore, up 37.5% year-on-year. Consolidated revenue from operations stood at ₹7,167.5 crore, rising 1.7% quarter-on-quarter and 24.3% year-on-year.

Gross profit for Q3 FY26 came in at ₹5,222.4 crore, with a gross margin of 73.5%. The US continued to be Lupin’s largest market, accounting for 44% of global sales at ₹3,113.2 crore during the quarter.

India sales rose 5.6% year-on-year to ₹2,038.7 crore, contributing 29% of global revenues. Lupin launched three new brands across therapies during the quarter and ranked as the eighth-largest company in the Indian Pharmaceutical Market, according to IQVIA MAT December 2025 data.

“We are happy to deliver another quarter of strong growth led by our highest-ever quarterly sales in the US and double-digit growth in India and all other regions. We are on track to deliver a strong close to FY26,” said Nilesh Gupta, Managing Director, Lupin Limited.

The company invested ₹535.2 crore in research and development during the quarter, representing 7.5% of sales, underscoring its continued focus on pipeline expansion and biosimilar growth.