Akums Drugs and Pharmaceuticals reported a 46 percent year-on-year decline in Q4 FY26 net profit to Rs 81 crore. |
Mumbai: Akums Drugs and Pharmaceuticals Ltd reported a 45.6 per cent year-on-year decline in consolidated net profit to Rs 81.3 crore in Q4 FY26, despite revenue from operations rising 9.7 per cent to Rs 1,157.9 crore. Sequentially, profit rose 20.2 per cent from Rs 67.7 crore in Q3 FY26, while revenue remained largely flat against Rs 1,159.6 crore in the preceding quarter. The company’s quarterly trajectory reflected stable operational growth but continued pressure from higher tax expenses and exceptional items. Akums posted total income of Rs 1,193.2 crore for the March quarter compared with Rs 1,073.1 crore in the corresponding quarter last year. Profit before tax increased sharply to Rs 121.2 crore from Rs 75.1 crore a year ago and Rs 99.6 crore in Q3 FY26.
Total expenses during the quarter stood at Rs 1,070.2 crore, marginally lower sequentially but higher than Rs 1,006.2 crore reported a year earlier.
Sequential growth was aided by improved profitability in the company’s CDMO and branded formulations businesses. Employee benefit expenses rose to Rs 199 crore in Q4 from Rs 189.4 crore in Q3, while finance costs remained broadly stable at Rs 238.9 crore. Akums also reported exceptional items of Rs 18 crore during the quarter related to labour code changes and retrospective variable dearness allowance revisions. The company had reported exceptional charges of Rs 182.3 crore in Q3 FY26.For the full financial year FY26, consolidated revenue from operations rose 5.8 per cent to Rs 4,359 crore compared with Rs 4,118 crore in FY25. However, annual net profit declined 25.4 per cent to Rs 256.4 crore from Rs 343.8 crore in the previous year. Earnings per share for FY26 stood at Rs 16.67 against Rs 22.60 in FY25.The board recommended a final dividend of Rs 1 per equity share and a special dividend of Rs 2 per share for FY26, subject to shareholder approval. The company also noted that ongoing income tax search and assessment proceedings remain under review, though management stated no material adjustment is currently required in the financial statements.Akums crossed Rs 4,359 crore in annual revenue during FY26, supported by growth in CDMO and domestic formulations businesses, though profitability remained impacted by taxes and exceptional costs.Disclaimer: This report is based on unaudited/audited financial disclosures and is not investment advice.