Jubilant Pharmova pulls Spokane Line 3 timeline forward by two years
The company expects peak revenue of $80-90M sooner than planned, while the Montreal plant continues to burn cash until FY28.
— 3 earlier stories on Jubilant Pharmova Ltd. →What's new with Jubilant Pharmova Ltd.
- Line 3 has 10+ products in transfer, including a top oncology drug.
- Management now expects peak revenue 1.5 to 2 years ahead of schedule.
- Montreal plant expects another ₹200 cr loss for FY27.
Why this matters for Jubilant Pharmova Ltd.
Jubilant is trading off immediate cash losses in Canada for faster revenue growth in the US injectables business. The timeline shift creates a clearer path to profitability for the Spokane site. The Montreal facility remains a drag for at least another year.
What we're watching
- H2 FY27 launch of the MIBG drug using an internal pharmacy network.
- Achievement of the projected 17-18% EBITDA margin in H2 FY27.
- Revenue growth hitting the forecasted low double-digit range.
The full read
Jubilant Pharmova is picking up the pace on its US growth bets. Management now expects the Spokane Line 3 to reach peak revenue of **$80-90 million** nearly two years earlier than its original target. The plant has over **10** products under tech transfer, including a significant oncology drug.
Tech transfer alone should bring in **$60-80 million** this fiscal year.
This growth masks persistent weakness elsewhere. The Montreal contract manufacturing site lost **₹200 crore** in FY26 and will likely post another **₹200 crore** loss in FY27. Management won't touch those costs until FY28. Meanwhile, the company is aiming for **low double-digit** revenue growth and an EBITDA margin between **17%** and **18%** for the second half of FY27. The MIBG drug filing is on schedule for late FY27, with plans to use the company's internal pharmacy network to sell the product directly. The next test is whether these margins hold up while the Montreal plant remains a drain.
Questions answered
- When will the Montreal manufacturing plant return to profit?
- Management projects losses for FY27 and plans to begin cost-cutting initiatives in FY28.
- How many products are currently in transfer at the Spokane Line 3?
- The facility is running over 10 products through tech transfer, including one of the world's largest oncology drugs.