Morepen Laboratories' Q1 FY 2025-26 Quarterly Results

Result Summary

• Morepen Laboratories Ltd reported a 0.5% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Jun (Q1 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a decline of 6.3%.
• Its expenses for the quarter were up by 7.5% QoQ and 0.9% YoY.
• The net profit decreased 62.0% QoQ and decreased 70.3% YoY.
• The earnings per share (EPS) of Morepen Laboratories Ltd stood at 0.2 during Q1 FY 2025-26.

Financial Statments for Q1 FY 2025-26

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

Company Overview

Morepen Laboratories Ltd is a prominent player in the pharmaceutical and healthcare industry, primarily engaged in the production and marketing of a diverse range of products. The company is known for its expertise in the areas of Active Pharmaceutical Ingredients (APIs), Home Diagnostics, and Finished Formulations. Morepen Laboratories has a significant presence in both the domestic and international markets, catering to various segments of the healthcare sector. The company has been involved in expanding its product lines and improving production capabilities to cater to the growing demand for healthcare products.

Revenue

During the first quarter of fiscal year 2026 (Q1FY26), Morepen Laboratories Ltd reported a total income of ₹429.65 crores. This reflects a slight increase of 0.5% from the previous quarter (Q4FY25), where total income was ₹427.32 crores. However, when compared to the same quarter in the previous year (Q1FY25), where the total income was ₹458.64 crores, there is a year-over-year decrease of 6.3%. This decline in annual revenue indicates a reduction in sales or other income-generating activities compared to the previous year. Despite the small increase on a quarterly basis, the year-over-year comparison shows a notable drop in total income.

Profitability

The company's profitability metrics for Q1FY26 reveal a significant decline compared to both the previous quarter and the same quarter of the last fiscal year. The Profit Before Tax (PBT) for Q1FY26 was ₹15.52 crores, which is a substantial decrease of 63.2% quarter-over-quarter from ₹42.20 crores in Q4FY25 and a 67.8% decrease year-over-year from ₹48.17 crores in Q1FY25. Similarly, the Profit After Tax (PAT) stood at ₹10.75 crores, marking a 62.0% decline from ₹28.28 crores in the previous quarter and a 70.3% decrease from ₹36.17 crores in the same quarter last year. Earnings Per Share (EPS) also followed this downward trend, showing a 60.0% decrease quarter-over-quarter and a 71.4% decrease year-over-year.

Operating Metrics

The total expenses for Q1FY26 were ₹414.14 crores, reflecting a quarter-over-quarter increase of 7.5% from ₹385.11 crores in Q4FY25, and a year-over-year increase of 0.9% from ₹410.48 crores in Q1FY25. The increase in expenses, coupled with declining profitability, highlights a challenging operating environment for Morepen Laboratories during this period. The tax expense for Q1FY26 was ₹4.11 crores, showing a significant reduction both quarter-over-quarter and year-over-year, with decreases of 69.5% and 65.8%, respectively. These figures suggest that despite maintaining a relatively stable revenue stream, the company's cost structure and tax liabilities have impacted its bottom line significantly during this quarter.