Eris Lifesciences bets on insulin, GLP-1s, and biologics to power next phase of growth; eyes 25% insulin market share

After spending over ₹4,300 crore on acquisitions over the past three years, Eris Lifesciences , one of India’s fastest-growing pharmaceutical companies, is shifting gears to extract value from its expanded portfolio, betting on insulin, GLP-1 therapies, biologics and manufacturing integration to power its next phase of growth.

“We are now focused on going deeper into what we have already built rather than chasing large acquisitions. Consolidation is complete. The next phase is about extracting greater value from the platform we have created,” Krishna Kumar, Executive Director and Chief Operating Officer of Eris Lifesciences, tells Fortune India.

The company, which will complete 20 years in January, has transformed itself from a diabetes and cardiology-focused company into a diversified specialty pharmaceutical player through acquisitions in dermatology and biotechnology. As recently as four years ago, diabetes and cardiology accounted for nearly 80% of its business.

“From the beginning, our focus was on chronic care. Over time, this expanded to include patient care, diagnostics and the development of supporting healthcare infrastructure,” says Amit Bakshi, Chairman and Managing Director, Eris Lifesciences.

The company has come a long way from its early years. Eris recorded a book loss of ₹1.3 crore and a cash loss of ₹1 crore in its first year before turning profitable in its second year with revenue of ₹27 crore and a profit of around ₹1-2 crore. In FY26, the company reported revenue of ₹2,778 crore, up 11% year-on-year, while EBITDA rose 12% to ₹1,026 crore. In the first quarter of FY27, revenue from operations increased 13% to ₹873.25 crore from ₹773 crore a year earlier, while EBITDA grew to ₹296 crore from ₹278 crore.

According to Kumar, the fragmented nature of India’s pharmaceutical market prompted Eris to focus on high-entry-barrier segments where it could build sustainable competitive advantages. Instead of entering new therapy areas organically, the company leveraged its strong balance sheet and industry-leading EBITDA margins of over 35% to pursue acquisitions.

Its dermatology strategy has already begun paying off. Four acquisitions completed in FY23 created a ₹350-crore dermatology portfolio with operating margins of around 10%. Following integration, in-house manufacturing and sales force optimisation, the business has grown to around ₹500 crore while margins have expanded to over 40%. Dermatology now contributes 13% of Eris’ revenues.

The company’s biggest growth engine, however, is expected to be diabetes and biologics.

Following the acquisition of Biocon’s domestic branded formulations business in 2024, Eris has significantly strengthened its insulin franchise. Insulin now contributes about 13% of revenues, while the acquired brands have increased their market share from 9% at acquisition to 16%. The company is targeting a 25% share over the next two to three years.

Eris already has a strong presence in the ₹3,000-3,500 crore human insulin and glargine market and plans to enter the higher-value insulin analogue segment, estimated at over ₹2,000 crore, beginning FY28. Products including insulin aspart, degludec and combination therapies are already under development.

“The ₹5,500 crore insulin market is something we are going after in a big way,” Kumar says.

To strengthen its competitive position, Eris has invested heavily in backward integration. While Biocon continues to manufacture the insulin drug substance under a 10-year supply agreement, Eris has transformed its Bhopal facility into a biologics manufacturing hub capable of producing insulin, GLP-1 therapies and recombinant semaglutide. Complete backward integration of insulin manufacturing is expected as cartridge production shifts in-house, improving margins while creating a significant competitive moat.

Kumar says insulin penetration in India remains low despite nearly 100 million people living with diabetes. More affordable insulin analogues, he believes, will expand the market rather than cannibalise existing therapies.

Eris has also emerged as an early leader in generic semaglutide after launching injectable versions in March following patent expiry. In its first full quarter, the company became the largest player by volume and the second largest by value in injectable generic semaglutide, capturing around 22% market share by volume.

Beyond diabetes, Eris plans to leverage its Bhopal biologics facility to manufacture monoclonal antibodies and other specialty biologics for oncology and nephrology. Products such as nimotuzumab, pertuzumab, bevacizumab and erythropoietin are being brought under in-house manufacturing.

“Our growth over the last two to three years has broadly remained in line with the industry. However, our acquisitions were guided by a clear strategy: we believed India would develop a stronger appetite for differentiated products. Accordingly, we invested in biotechnology-based products, specialised injectables, analogues and backward integration. The portfolio we have built over the past two to three years is significantly more differentiated. As this product mix scales, we expect to grow ahead of the market,” says Bakshi.

While India will remain its primary market, Eris is preparing to expand into regulated international markets. The company is investing about ₹130 crore in a third injectables manufacturing facility in Ahmedabad, scheduled for commissioning in FY28, to support entry into Europe and other regulated markets. The US is not part of its immediate plans.

With nearly 90% of its revenue coming from the domestic market, Eris believes its differentiated specialty portfolio, manufacturing capabilities and biologics pipeline position it to outpace the broader pharmaceutical market over the next few years.