Jubilant Pharmova targets 18% margins as Spokane facility gains speed
Management expects the Spokane Line 3 unit to hit peak revenue early, even as the Montreal site drags on earnings through FY27.
— 4 earlier stories on Jubilant Pharmova Ltd. →What's new
- Spokane Line 3 revenue is now expected to peak at $80-90M, 1.5 to 2 years ahead of schedule.
- Montreal site losses are projected at ₹200 cr for FY27.
- Net debt stands at ₹1,952 cr, with a target to be debt-free by 2030.
Why this matters
The company is balancing high-growth potential in oncology biologics against persistent operational losses in Montreal. Investors must weigh the accelerated timeline for Spokane against the near-term margin pressure caused by radiopharma supply shortages.
What we're watching
- EBITDA margin recovery in the second half of FY2027.
- Commercial production milestones for complex biologics in late FY2027.
- Progress on cost-cutting measures at the Montreal facility.
The full read
Jubilant Pharmova is accelerating its growth timeline for the Spokane Line 3 manufacturing unit. Management now expects peak revenue of $80-90 million to arrive 1.5 to 2 years early, fueled by tech transfers for high-value oncology products. Commercial production for these complex biologics is slated for late FY2027. The near-term outlook is more cautious. Supply shortages in the radiopharma division will likely dampen operating performance in the first half of FY2027, while the Montreal site is set to record losses of roughly ₹200 crore this fiscal year. Management projects EBITDA margins will recover to 17-18% by the second half of the year. With net debt at ₹1,952 crore and annual capex steady at ₹1,668 crore, the company remains focused on its 2030 debt-free target. The path to those margins hinges on whether the Spokane facility can offset the ongoing drag from Montreal.
Questions answered
- When will the Spokane Line 3 unit reach peak revenue?
- Management expects the unit to reach peak revenue of $80-90 million 1.5 to 2 years earlier than originally planned.
- What is the outlook for the Montreal facility?
- The site remains a financial drag, with projected losses of approximately ₹200 crore for FY27 before cost-cutting measures take effect in FY28.
- How much does the company plan to spend on capex this year?
- Annual capital expenditure is projected at approximately ₹1,668 crore, directed toward facility expansions and pharmacy network development.
- What is the current debt position?
- Jubilant Pharmova reported net debt of ₹1,952 crore and reiterated its goal to be debt-free by 2030.
Story so far
All notes on JUBLPHARMA →- 27 May 2026 · 8:27 PM IST Jubilant Pharmova targets 18% margins as Spokane facility gains speed
- 5d ago Jubilant Pharmova subsidiary lands ₹107.89 cr tax demand
- 5d ago Jubilant Pharmova pulls Spokane Line 3 timeline forward by two years
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