Aurobindo Pharma’s $145 Million China Plant Set to Break Even by Q3 FY26 Global Expansion Gains Speed

Aurobindo Pharma expects its China manufacturing site, launched in late November 2024 with over $145 million invested, to reach EBITDA break-even by the third quarter of FY26. The Hyderabad-based company is rapidly ramping up production at the facility, which boasts an initial capacity of over 2 billion units.

The China plant began production in Q4 FY25 and started invoicing in Q1 FY26, with full revenue contributions expected in upcoming quarters. CFO Santhanam Subramanian also highlighted new US investments totaling $70 million, and ongoing expansion at the Eugia-V site in Visakhapatnam, from which more than 20 products will be filed in the US and Europe.

Despite a 10% year-on-year dip in consolidated net profit to Rs 824 crore for the June quarter, Aurobindo’s operational revenue rose to Rs 7,868 crore. The company aims to achieve a 20-21% margin in FY26, supported by commercial ramp-up at new sites and an expanding biologics CMO business, with over $100 million more capital planned by March 2027.

Leadership remains optimistic about maintaining growth momentum, pointing to new launches, volume expansion, and stable pricing—especially in the US and Europe—as key factors driving future performance.