Shares of Aurobindo Pharma were trading in the green and almost 1% higher on 24 August after the company received one observation from the US Food and Drug Administration (USFDA) following a routine inspection of its subsidiary Auro Peptides’ manufacturing facility in Telangana

The USFDA conducted the inspection at Auro Peptides Ltd, which manufactures peptide active pharmaceutical ingredients (APIs), between 17 August and 21 August 2026. The inspection concluded with a single observation related to facility and equipment maintenance.

Importantly, Aurobindo Pharma said the observation does not relate to data integrity or broader Good Manufacturing Practice (GMP) compliance. The company also said corrective action had already been initiated during the inspection and that it would submit its formal response to the USFDA within the stipulated timeline.

The latest inspection outcome comes after the company has faced regulatory scrutiny at some of its other facilities. Its Unit-I of Eugia Pharma Specialities was classified as Official Action Indicated (OAI) by the USFDA earlier this year. 

The company has also received other inspection observations across its manufacturing network, making regulatory compliance an important factor for investors tracking the stock.

Despite the regulatory developments, Aurobindo Pharma reported a strong performance in the first quarter of FY27. Net profit increased 25.2% year-on-year to Rs 1,032 crore, while revenue from operations rose 16.3% to Rs 9,150.3 crore. EBITDA increased 17.3% to Rs 1,881 crore, with the EBITDA margin improving to 21% from 20% a year earlier.

However, at 12:10 pm, the shares of Aurobindo Pharma were trading 0.09% lower at Rs 1,619.80 on NSE. 

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