Indoco Remedies (INDOCO) Q4 25/26 earnings summary

Executive summary

• Achieved a return to positive performance after six quarters, driven by strong international formulations growth in both regulated and emerging markets.

• Q4 FY26 revenues grew 26% year-over-year to ₹4,291 mn, with full-year revenues reaching ₹16,335 mn, up from ₹14,948 mn in FY25.

• EBITDA margin for Q4 improved to 14.7% (₹630 mn) from 1.0% (₹35 mn) YoY; full-year EBITDA margin rose to 9.6% (₹1,572 mn) from 8.6% (₹1,280 mn).

• Domestic business was muted due to unfavorable seasonality, especially in anti-infectives and respiratory segments, but core brands showed robust prescription growth.

• Entered an agreement to hive off the ophthalmic business in India and Africa to Sunways, focusing on core strengths.

Financial highlights

• Standalone Q4 net revenue: INR 4,291 million, up 25.8% YoY and 10.1% sequentially; consolidated Q4 net revenue: INR 4,559 million, up 18.8% YoY and 5% sequentially.

• Standalone Q4 revenue from operations: ₹42,906 lakhs; full-year: ₹1,63,354 lakhs.

• Standalone Q4 net profit: ₹2,735 lakhs; full-year net loss: ₹566 lakhs.

• Consolidated Q4 net loss: ₹2,368 lakhs; full-year net loss: ₹9,870 lakhs.

• Standalone EPS for Q4: ₹2.96; full-year: ₹(0.61). Consolidated EPS for Q4: ₹(2.57); full-year: ₹(10.70).

Outlook and guidance

• Expect continued growth in international business, especially in regulated and emerging markets, supported by a strong product pipeline and field force.

• Europe and US businesses to benefit from new launches in liquid orals and improved manufacturing efficiency.

• Domestic business expected to grow in line with IPM, with new launches contributing significantly.

• No major CapEx planned for the next two years; focus on debt reduction and operational efficiency.