Aarti Drugs Limited (524348) Earnings Call Transcripts

Aarti Drugs Limited's Latest Earnings Call - Q4 FY2026

In Q4 FY '26, Aarti Drugs Limited reported a revenue of INR 721.1 crores, marking a 6% year-on-year increase and a significant 20% quarter-on-quarter growth. However, net profit (PAT) decreased by 12% year-on-year to INR 55.3 crores, despite a 36% increase from the previous quarter. Management indicated that FY '27 EBITDA margins are expected to range between 13.5% to 14%, slightly lower than previous targets due to ongoing geopolitical challenges affecting input costs.

Reported metrics

Guidance from management

Management expects FY '27 EBITDA margins to range between 13.5% to 14%, down from earlier targets due to ongoing geopolitical challenges affecting input costs.

What management said

Okay. Yes. So we just started that plant in the month of September. December quarter was the first quarter where we showed a utilization of around 29% roughly. And then in the March quarter, we were able to achieve 40% upwards -- a little upwards of 40%. We fell slightly short of our target of 45%, 50%, mainly because of ammonia-based raw materials in that plant because of the West Asia war. But going forward, we are...

Yes. So the current situation is such that API prices remain elevated because of West Asia war. If this persists for longer, then definitely, there will be a lot more positive rate variances. Nevertheless, we will always strive for achieving a volume growth of 8% to 10%. As you said, we also have already built up capacities from these greenfield expansion. So achieving those kind of volume -- that kind of volume grow...

What analysts pressed on

Analysts expressed concerns regarding the antibiotic segment's demand due to elevated prices of raw materials. There were also questions about the sustainability of recent price increases and the ramp-up challenges faced in new facilities.

Main topics on the call

• Revenue Growth — Q4 FY '26 revenue reached INR 721.1 crores, up from INR 678.6 crores in Q4 FY '25, reflecting a 6% YoY growth. Management noted, 'the business exited the year on a much stronger footing with a sharp sequential recovery i...
• Profitability Concerns — The PAT for Q4 FY '26 was INR 55.3 crores, down 12% YoY, indicating profitability pressures. Management acknowledged, 'the elevated input cost, crude and gas-based raw material supply chain constraints' as significant ch...
• Formulation Segment Growth — Revenue from the formulation segment grew by 41% YoY to INR 91.3 crores in Q4 FY '26. Management highlighted that 'exports contributed 59% to this revenue,' indicating a strong international demand.
• Operational Challenges — Management discussed challenges in ramping up the methylamine plant, achieving 40% utilization in Q4 FY '26, slightly below the target of 45-50%. They expect to reach 55-60% utilization in Q1 FY '27.

Read the full Aarti Drugs Limited transcript (Q4 FY2026) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 24 Aarti Drugs Limited earnings call transcripts on record, spanning February 7, 2020 to August 3, 2026. Based on this history, Aarti Drugs Limited reports quarterly. The most recent call on file is dated August 3, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

524348

Exchange

BSE

Country

IN

Sector

Health Care

Industry

Pharmaceuticals

Calls on record

24

First call

February 7, 2020

Most recent

August 3, 2026

Reporting cadence

quarterly