Re-appointment of Cost Auditors for the FY 2026-27
AKUMS · price
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Akums Drugs reported Q4 and FY2026 results with revenue from operations of Rs. 13,487.36 million, a modest ~2.8% increase from Rs. 13,117.84 million in FY2025. However, profit after tax declined significantly by 30.6% to Rs. 1,116.40 million from Rs. 1,609.98 million in the prior year. EPS fell to Rs. 7.29 from Rs. 10.76. The Board recommended a final dividend of Rs. 1 per share plus a special dividend of Rs. 2 per share. Exceptional items of Rs. 65.19 million were recognized due to labour code changes and VDA arrears. The Income Tax Department had conducted a search and seizure in January 2025, and the company received show cause notices under section 158BC in May 2026, though no material adjustments were deemed necessary. Operating cash flow turned negative at Rs. 21.47 million versus positive Rs. 910.02 million in FY2025.
Profit declined significantly despite flat revenue, indicating margin pressure. The negative operating cash flow and ongoing IT tax proceedings are concerns. However, dividend payouts and unchanged auditor opinion provide some stability.