AARTIDRUGSBSEAarti Drugs LtdMediumNeutral
Announced Sat, 16 May · 14:46 IST

Q4 and FY26 Investor Presentation

Mgmt Guided Margin ImprovementInvestor Communications View source PDF

AARTIDRUGS · price

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Price reaction · full curve 14 horizons · vs prior close
+3.1%1-day move
₹367.00
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₹365.00
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AI summary

Aarti Drugs reported Q4 FY26 revenue of Rs 721.1 crore (+6% YoY, +20% QoQ) with EBITDA flat at Rs 96.6 crore (margin 13.4%, down 60 bps YoY). FY26 full-year revenue grew 7% to Rs 2,568 crore while PAT improved 16% to Rs 195 crore. The company navigated challenging industry conditions with API pricing pressure and raw material volatility. Key highlights: new Sayakha facility reached 1,000 tonnes/month run-rate; regulated market share increased from 66% to 73%; exports contribution rose from 35% to 38%; Formulations and Specialty Chemicals grew 33% and 37% respectively. Management called FY26 a "transition year" as the Rs 600 crore capex cycle nears completion, positioning the company for profitability improvement going forward.

Likely market impact

The capex completion and shift toward regulated markets should support margin expansion in FY27. However, near-term pressure persists from domestic antibiotics weakness and startup costs at new facilities. The strong volume growth base and backward integration at Sayakha provide operating leverage as pricing stabilises.