Aarti Drugs Ltd's Q1FY26 Quarterly Results

Result Summary

• Aarti Drugs Ltd reported a 4.9% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Jun (Q1FY26). On a year-on-year (YoY) basis, it witnessed a growth of 6.2%.
• Its expenses for the quarter were down by 3.1% QoQ and up 5.3% YoY.
• The net profit increased 14.1% QoQ and increased 62.2% YoY.
• The earnings per share (EPS) of Aarti Drugs Ltd stood at 5.9 during Q1FY26.

Financial Statments for Q1FY26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Aarti Drugs Ltd is a prominent pharmaceutical company engaged primarily in the manufacture of active pharmaceutical ingredients (APIs), formulations, and specialty chemicals. The company operates within the pharmaceutical industry, where it plays a crucial role in supplying essential ingredients for drug production. Aarti Drugs Ltd has been known for its expansive product portfolio, which includes therapeutic segments such as anti-inflammatory, anti-diabetic, cardiovascular, and antibiotics, among others. Although specific recent developments for the company are unavailable, it typically engages in activities related to research and development to expand its product offerings and enhance its market presence. The pharmaceutical industry is characterized by regulatory oversight, innovation, and competitive pressures, which influence the operational dynamics of companies like Aarti Drugs Ltd.

Revenue

For Q1FY26, Aarti Drugs Ltd reported a total income of ₹590.82 crores, marking a decrease of 4.9% quarter-over-quarter (QoQ) from ₹621.07 crores in Q4FY25. However, there was a year-over-year (YoY) increase of 6.2% compared to ₹556.45 crores in Q1FY25. This suggests that while the company experienced a decline in revenue on a sequential basis, it demonstrated growth when compared to the same quarter in the previous year. The revenue streams of the company are likely influenced by demand for its pharmaceutical products, pricing strategies, and market conditions.

Profitability

In terms of profitability, Aarti Drugs Ltd recorded a profit before tax of ₹51.11 crores for Q1FY26, which is a decrease of 20.4% from ₹64.18 crores in Q4FY25. However, compared to Q1FY25, there is a 16.2% increase from ₹43.98 crores. The tax component showed a significant reduction, standing at -₹2.86 crores in Q1FY26 compared to ₹16.87 crores in Q4FY25, and ₹10.71 crores in Q1FY25. Consequently, this tax impact contributed to a profit after tax of ₹53.97 crores in Q1FY26, an increase of 14.1% QoQ from ₹47.31 crores and a substantial increase of 62.2% YoY from ₹33.27 crores. Earnings per share (EPS) also rose to ₹5.90, reflecting a 13.5% increase QoQ and a 63.9% increase YoY.

Operating Metrics

The operating metrics of Aarti Drugs Ltd, as reflected in the total expenses for Q1FY26, amounted to ₹539.71 crores, which decreased by 3.1% from ₹556.89 crores in Q4FY25. Compared to the same quarter in the previous year, there was an increase of 5.3% from ₹512.47 crores. The changes in total expenses, coupled with revenue performance, contributed to the shifts in profitability metrics. The company's ability to manage operational costs while maintaining revenue growth year-over-year is crucial for its financial health. The specific financial ratios, such as the P/E ratio, debt-to-equity ratio, and current ratio, are not provided in the data, and thus cannot be calculated within this analysis. However, the trends in profitability and expenses indicate key areas of financial performance for the company during the quarter.