Alkem Laboratories reported a landmark FY26 with EBITDA surpassing ₹3,000 crores, marking a year of strong, broad-based growth and record profitability. Key highlights include the successful launch of GLP-1 (semaglutide), strong performance in Medtech and biosimilar bio CDMOs, and a 13.5% Y-o-Y growth in total revenue to ₹1,47,123 million. The company expects continued growth and margin improvement, navigating geopolitical and supply chain dynamics.
Alkem Laboratories Reports Strong FY26 Performance
Alkem Laboratories Limited announced robust financial results for the fourth quarter and full year ended March 31, 2026. The company celebrated a landmark fiscal year, achieving its highest ever EBITDA of over ₹3,000 crores, driven by strong, broad-based growth and operational excellence. This performance underscores the effectiveness of their business growth strategy and disciplined execution.
Key Financial Highlights – FY26
- Total Revenue from Operations: ₹1,47,123 million (up 13.5% Y-o-Y)
- India Sales: ₹98,514 million (up 9.7% Y-o-Y)
- International Sales: ₹4,610 million (up 22.5% Y-o-Y)
- EBITDA: ₹3,052 million (up 19.6% Y-o-Y), with an EBITDA margin of 20.4% (vs. 19.4% in FY25)
- R&D Expenses: ₹6,173 million (4.2% of total revenue)
- Profit Before Tax (after exceptional items): ₹28,709 million (up 13.6% Y-o-Y)
Q4 FY26 Performance
- Total Revenue from Operations: ₹36,033 million (up 14.6% Y-o-Y)
- India Sales: ₹23,245 million (up 8.8% Y-o-Y)
- International Sales: ₹12,223 million (up 25.4% Y-o-Y)
- EBITDA: ₹5,174 million (up 32.2% Y-o-Y), with an EBITDA margin of 14.4%
- R&D Expenses: ₹2,293 million (6.4% of total revenue)
- Profit Before Tax: ₹5,578 million (up 40.7% Y-o-Y)
- Net Profit: ₹2,365 million
Strategic Initiatives and Future Outlook
Alkem highlighted the successful day 1 launch of semaglutide in March 2026, capturing approximately 11% unit market share in its initial reporting period. The company emphasized its continued focus on strengthening domestic formulation leadership and accelerating growth in chronic therapies. The Medtech and biosimilar bio CDMO segments remain key growth areas. Looking ahead to FY27, Alkem aims to drive growth and profitability through enhanced execution, portfolio optimization, and pipeline expansion.
The company is actively managing geopolitical and supply chain dynamics, with efforts focused on supply chain resilience and cost discipline. While anticipating near-term headwinds, Alkem remains confident in its ability to mitigate potential disruptions. The company also noted an increase in the tax rate effective from April 2026, with a revised guidance of 27% to 29% going forward, which is expected to increase cash accumulation.
Key Business Segments Performance
- India Branded Generics: Demonstrated strong performance, outperforming the market by approximately 250 basis points in Q4 FY26. Key therapies include GI, Vitamins & Minerals, Pain, Antidiabetic, Respiratory, and Dermatology.
- International Business: Both U.S. and non-U.S. markets showed strong growth, supported by new launches and market expansion.
- Trade Generics: The focus has shifted towards profitability, with a recorded growth of around 4.3% in FY26. The company anticipates improved growth in the coming year.
Leadership Transition and Development
The company acknowledged the departure of Dr. Vikas Gupta, the Chief Executive Officer, expressing gratitude for his contributions. The process to identify and onboard a new CEO is underway, with engagement involving top global executive search firms. Promoters and the management team will ensure business continuity during this transition, with the new CEO expected to focus on the hardcore pharma business.
Product Pipeline and Launches
Alkem is advancing its pipeline, with regulatory activities for biosimilars like Denosumab (Prolia & Xgevia) progressing, targeting potential approvals in the next fiscal year. The company is also exploring strategic partnerships for launch and market entry. The Tolvaptan launch in the U.S. is expected around September-October 2026, targeting a limited player market. The GLP-1 (semaglutide) market entry is expected to contribute significantly to growth, with ongoing clinical trials for tablet formulations.
Operational Updates
The Occlutech acquisition is progressing, with expected closure in 45 to 60 days, and its full impact anticipated from Q2 FY27. The company is expanding its field force, with a current headcount of approximately 14,500 MRs and an attrition rate of 18-19%, which is considered stable and lower than industry averages. Enzene’s U.S. operations are in the ramp-up phase, while India operations are near breakeven, contributing to early double-digit EBITDA.
The conference concluded with a thank you to all participants and an invitation for follow-up queries.
Source: BSE
