Fredun Pharmaceuticals (539730) Q4 25/26 earnings summary

Executive summary

• Q4 FY 2026 total income reached INR 213 crores, up 27.27% year-on-year, with EBITDA at INR 29.13 crores, growing 67.05% year-on-year and margin expanding to 13.67%. Net profit for the quarter was INR 11.07 crores, up 56.47% year-on-year.

• FY 2026 total income was INR 639.12 crores, a 40.08% year-on-year increase. EBITDA for the year was INR 94.79 crores, up 72.05% year-on-year, with margin at 14.83%. Net profit for the year was INR 33.21 crores, up 59.59% year-on-year.

• Audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, were approved, showing continued growth in revenue and profitability year-over-year.

• Board recommended a final dividend of 7% (₹0.70 per share) for FY 2025-26, subject to shareholder approval.

• Issuance of bonus shares in a 2:1 ratio approved, with bonus shares to be issued from reserves and/or share premium.

Financial highlights

• Standalone revenue for FY 2025-26 was ₹63,912.17 lakh, up from ₹45,626.82 lakh in FY 2024-25.

• Standalone net profit for FY 2025-26 was ₹3,337.24 lakh, compared to ₹2,046.41 lakh in FY 2024-25.

• Q4 FY 2026 EBITDA margin improved by 326 basis points to 13.67%.

• Net profit margin for Q4 FY 2026 rose to 5.19%, up 97 basis points year-on-year.

• FY 2026 EBITDA margin expanded by 276 basis points to 14.83%.

Outlook and guidance

• Targeting 25%-30% top-line growth for FY 2027, with expectations to overachieve previous guidance.

• Anticipates PAT margins to reach 10%-12% in the next few years as new age businesses scale and demographic reach is maximized.

• Expects new age businesses to comprise 50% of revenue in a few years, shifting to 70% over the longer term.

• Board expects continued growth, supported by capital expansion and bonus issue, with dividend payout reflecting confidence in future performance.