Elite Pharmaceuticals Swings to $18.6M Net Income in Q3 FY2026 as Revenue Doubles

Elite Pharmaceuticals swung to net income of $18.6 million for the three months ending December 31, 2025, compared with a net loss of $10.9 million in the same quarter a year earlier. The Nevada-based drugmaker reported diluted earnings per share of $0.01, reversing a $0.01 per-share loss in the prior-year period. Read more earnings reports.

Revenue more than doubled to $31.6 million from $14.4 million in the quarter ending December 31, 2024. For the nine months ending December 31, 2025, revenue climbed to $108.1 million from $52.0 million in the same period a year earlier.

The company posted gross profit of $13.0 million in the December quarter, up from $6.1 million a year earlier. Cost of revenue rose to $18.6 million from $8.2 million, but gross margin improved as revenue growth outpaced cost increases.

Operating income for the quarter reached $9.0 million compared with $1.1 million in the prior-year quarter. Operating expenses declined to $3.9 million from $5.0 million, driven in part by a reduction in research and development spending to $1.0 million from $1.8 million.

For the nine-month period, Elite Pharmaceuticals reported net income of $26.4 million, reversing a net loss of $21.3 million in the prior-year period. Operating income for the nine months totaled $38.9 million, up from $8.4 million a year earlier.

The company recorded income tax expense of $2.2 million in the December quarter compared with $239,175 in the prior-year quarter. For the nine months, tax expense reached $9.5 million versus $2.0 million a year earlier.

Cash and restricted cash stood at $21.6 million as of December 31, 2025, up from $8.7 million a year earlier. Cash from operations for the nine months reached $14.6 million compared with $3.5 million in the prior-year period.

Total assets increased to $126.4 million as of December 31, 2025, from $96.4 million as of March 31, 2025. Accounts receivable rose to $48.5 million from $29.2 million, while inventory climbed to $25.1 million from $16.2 million.

Stockholders' equity grew to $80.3 million as of December 31, 2025, from $53.5 million as of March 31, 2025. The company had 1.07 billion shares outstanding as of the quarter end.