Alkem Laboratories Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Alkem Laboratories Ltd filed with BSE on 01 Jun 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Alkem Laboratories reported Q4 FY26 revenue of INR36,033 million, up 14.6% year-on-year, with EBITDA margin at 14.4% versus 12.4% in the prior year quarter. For FY26, total revenue from operations was INR1,47,123 million, up 13.5%, with EBITDA margin at 20.4% versus 19.4% in FY25. Management discussed the semaglutide launch, the Occlutech acquisition, cost pressures from geopolitical and supply-chain factors, and the planned transition of CEO Vikas Gupta.
Numbers mentioned
Total revenue from operations: INR36,033 million (Q4 FY26)
p. 4
“In Q4, our total revenue from operations was INR36,033 million with a Y-o-Y growth of 14.6% India sales were INR23,245 million with a Y-o-Y growth of 8.8%.”
Vikas Gupta, page 4 of the filed PDF · View the filing
International sales: INR12,223 million (Q4 FY26)
p. 4
“international sales were INR12,223 million with a Y-o-Y growth of 25.4%.”
Vikas Gupta, page 4 of the filed PDF · View the filing
EBITDA margin: 14.4% (Q4 FY26)
p. 4
“EBITDA was INR5,174 million, resulting in an EBITDA margin of 14.4% for the Q4 FY '25 versus 12.4% for Q4 2025”
Vikas Gupta, page 4 of the filed PDF · View the filing
R&D expenses: INR2,293 million, 6.4% of revenue (Q4 FY26)
p. 4
“R&D expenses for Q4 FY '26 were INR2,293 million, which is 6.4% of our total revenue from operations.”
Vikas Gupta, page 4 of the filed PDF · View the filing
Profit before tax: INR5,578 million (Q4 FY26)
p. 4
“Profit before tax was INR5,578 million with a Y-o-Y growth of 40.7%.”
Vikas Gupta, page 4 of the filed PDF · View the filing
Net profit: INR2,365 million (Q4 FY26)
p. 4
“Net profit was INR2,365 million.”
Vikas Gupta, page 4 of the filed PDF · View the filing
IQVIA company growth: 11.1% Y-o-Y (Q4 FY26)
p. 4
“According to IQVIA data for Q4 FY '26, the company registered a growth of 11.1% Y-o-Y versus the IPM, which grew at close to 10% Acute segment reported a growth of 10% versus IPM, which grew by 7.7% and chronic segment reported 16.1% versus the IPM growth of 13.6%, which is almost a 250-basis point outperformance.”
Vikas Gupta, page 4 of the filed PDF · View the filing
Total revenue from operations: INR1,47,123 million (FY26)
p. 4
“For FY '26, the key financial highlights, the total revenue from operations stands at INR1,47,123 million with a Y-o-Y growth of 13.5%.”
Vikas Gupta, page 4 of the filed PDF · View the filing
India sales: INR98,514 million (FY26)
p. 4
“India sales were INR98,514 million with a Y-o-Y growth of 9.7%.”
Vikas Gupta, page 4 of the filed PDF · View the filing
EBITDA margin: 20.4% (FY26)
p. 4
“EBITDA was INR3,052 million, resulting in an EBITDA margin of 20.4% versus 19.4% in FY '25 and EBITDA overall grew by 19.6% Y-o-Y.”
Vikas Gupta, page 4 of the filed PDF · View the filing
R&D expenses: INR6,173 million, 4.2% of revenue (FY26)
p. 4
“R&D expenses for the whole year were INR6,173 million, which is 4.2% of the total revenue from operations versus INR5,620 million in FY '25, which was 4.3% of the total revenue in that year.”
Vikas Gupta, page 4 of the filed PDF · View the filing
Profit before tax after exceptional item: INR28,709 million (FY26)
p. 4
“Profit before tax after exceptional item was INR28,709 million, which is a Y-o-Y growth of 13.6%.”
Vikas Gupta, page 4 of the filed PDF · View the filing
Semaglutide unit market share: around 11% (March 2026)
p. 4
“in the most recent IQVIA report, we could garner a market -- unit market share of around 11% and we expect it to go up even further in the coming months.”
Vikas Gupta, page 4 of the filed PDF · View the filing
Number of MRs: around 14,500
p. 11
“our number of MRs at a group level is around 14,500.”
Dr. Vikas Gupta, page 11 of the filed PDF · View the filing
MR attrition rate: 18% to 19%
p. 11
“We are at 18% to 19% kind of attrition currently and which has been a substantial reduction from the previous years and much lower than the industry average that we see.”
Dr. Vikas Gupta, page 11 of the filed PDF · View the filing
Trade generic business growth: close to around 4.3% (FY26)
p. 7
“So, this year, the growth has been lesser as far as trade generic is concerned, it's close to around 4.3% on an annualized basis.”
Vikas Gupta, page 7 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
FY27 tax rate — 27% to 29% · FY27
stated firmly by Nitin Agrawal
p. 6
“So, we want to revise our guidance on tax rate. The number will be around 27% to 29% going forward.”
Nitin Agrawal, page 6 of the filed PDF · View the filing
India branded generic growth vs market — 100 to 150 basis points higher than the market · FY27
stated as an aspiration by Vikas Gupta
p. 6
“I have always maintained that we will grow 100 to 150 basis points higher than the market.”
Vikas Gupta, page 6 of the filed PDF · View the filing
EBITDA margin — 20% to 21% · FY27
stated conditionally by Vikas Gupta
p. 10
“In the current scenario, we have touched a 20.4% kind of growth like-to-like, we would -- we should be within the range of 20% to 21%.”
Vikas Gupta, page 10 of the filed PDF · View the filing
R&D expenses as % of revenue — 4% to 5% · FY27
stated firmly by Dr. Vikas Gupta
p. 8
“And we expect it to be similar between 4% to 5% even in the coming year.”
Dr. Vikas Gupta, page 8 of the filed PDF · View the filing
Other expenses growth — 7% to 8%
stated firmly by Nitin Agrawal
p. 8
“Other than that, the other expenses can increase by 7% to 8%, not beyond that.”
Nitin Agrawal, page 8 of the filed PDF · View the filing
U.S. business growth — high single-digit on a dollar-to-dollar basis · FY27
stated as an aspiration by Vikas Gupta
p. 9
“If you look at from U.S. market, U.S. market from a currency-to-currency basis, the dollar to dollar, we are looking at a high single-digit margin and the currency gain would add up to that.”
Vikas Gupta, page 9 of the filed PDF · View the filing
ROW markets growth — higher teens · FY27
stated as an aspiration by Vikas Gupta
p. 9
“From the ROW markets, we have looked at a higher teen’s kind of growth.”
Vikas Gupta, page 9 of the filed PDF · View the filing
Tolvaptan U.S. launch — September or October · H2 FY27
stated firmly by Vikas Gupta
p. 13
“So, our expected launch is around September or October, somewhere around that time.”
Vikas Gupta, page 13 of the filed PDF · View the filing
Semaglutide U.S. filing — 1.5 years
stated as an aspiration by Vikas Gupta
p. 12
“we will start our filing even for the U.S. market, maybe in 1.5 years, we will file for U.S.”
Vikas Gupta, page 12 of the filed PDF · View the filing
Occlutech deal closure — 45 to 60 days
stated conditionally by Sandeep Singh
p. 10
“Yes. The contribution is less than a percentage right now, Medtech very small. And when the deal will close maybe in like in 45 to 60 days.”
Sandeep Singh, page 10 of the filed PDF · View the filing
Denosumab (Prolia/Xgeva biosimilars) U.S. approval and launch — next year's first quarter
stated conditionally by Sandeep Singh
p. 8
“So yes, we are under approval. I think this -- I think if we are good, maybe by next quarter -- I mean, next year's first quarter.”
Sandeep Singh, page 8 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said there is no new strategic lever, continuing the existing strategy focused on domestic growth, chronic therapies and new launches like semaglutide.
Answered by Sandeep Singh
Asked by Sucrit D Patil: What strategic levers is Alkem prioritizing to expand domestic formulation leadership and manage regulatory pricing risk?
p. 5
“So, I think there is no strategic lever for '26, '27. Every year, we don't have a strategic lever.”
Sandeep Singh, page 5 of the filed PDF · View the filing
CFO explained the company hedges 80% of forex exposure and is monitoring raw material price increases weekly.
Answered by Nitin Agrawal
Asked by Sucrit D Patil: What capital allocation and risk management framework is being applied, including forex hedging?
p. 6
“we have a forex policy, and we generally cover 80% or we hedge 80% of our forex exposure.”
Nitin Agrawal, page 6 of the filed PDF · View the filing
Management reiterated growth of 100-150 basis points above market and said trade generic growth was lower this year due to entity restructuring.
Answered by Vikas Gupta
Asked by Neha Manpuria: How should investors think about India business growth going forward, and how did trade generics perform?
p. 6
“So, thanks for your question. I have always maintained that we will grow 100 to 150 basis points higher than the market.”
Vikas Gupta, page 6 of the filed PDF · View the filing
Management said the prior guidance assumed a stable environment and that in the current scenario they expect to be roughly in line with FY26 margins.
Answered by Dr. Vikas Gupta
Asked by Neha Manpuria: Can the company sustain the prior guidance of 100bps annual margin improvement given cost pressures?
p. 7
“But yes, I think in the current scenario, it looks like whatever we have achieved in the current year, we should be pretty much in line with at least that.”
Dr. Vikas Gupta, page 7 of the filed PDF · View the filing
Management gave segment-wise growth expectations for India, U.S. and ROW and reiterated a margin range of 20-21%.
Answered by Vikas Gupta
Asked by Kunal Dhamesha: What are internal growth estimates by business line for FY27 and the expected margin range?
p. 10
“In the current scenario, we have touched a 20.4% kind of growth like-to-like, we would -- we should be within the range of 20% to 21%.”
Vikas Gupta, page 10 of the filed PDF · View the filing
Management said Enzene India is profitable in the teens EBITDA range while Enzene U.S. is still loss-making as it ramps up.
Answered by Sandeep Singh
Asked by Abdulkader Puranwala: What is the revenue and cost picture for Enzene India and U.S. biologics plant in Q4?
p. 11
“India is around -- is in breakeven, much more than breakeven. We are in late -- early double digits, you can say teens EBITDA.”
Sandeep Singh, page 11 of the filed PDF · View the filing
Management confirmed they are engaging with global candidates for a new CEO, with non-pharma businesses reporting to promoters.
Answered by Sandeep Singh
Asked by Tushar Manudhane: Will Alkem look for a new CEO following Vikas Gupta's departure, and how will the CXO structure change?
p. 11
“Yes. Thank you, sir. I will -- -- so yes, we will look for a CEO. We have engaged with the top 3 global head and up for this.”
Sandeep Singh, page 11 of the filed PDF · View the filing
Management said the launch is expected around September-October and described it as a limited-player market.
Answered by Vikas Gupta
Asked by Rahul Jeewani: When will Tolvaptan launch in the U.S. and what is the competitive landscape?
p. 13
“So, our expected launch is around September or October, somewhere around that time. And it's a limited player launch.”
Vikas Gupta, page 13 of the filed PDF · View the filing
Management said the anti-infective market remains muted and it is hard to predict when it will recover, so they focus on controllable factors.
Answered by Vikas Gupta
Asked by Rahul Jeewani: Is there visibility on when acute anti-infectives growth in India could improve?
p. 14
“But of course, when anti-infective market will come back, it is very hard for anybody to predict.”
Vikas Gupta, page 14 of the filed PDF · View the filing
Risks flagged
Increased logistics costs and pressure on APIs and packaging materials due to geopolitical environment and supply chain dynamics
p. 5
“the current geopolitical environment and evolving global supply chain dynamics have resulted in increased logistics costs along with some pressure on APIs and the packaging materials.”
Vikas Gupta, page 5 of the filed PDF · View the filing
Near-term headwinds from external factors affecting operations
p. 5
“These external factors may lead to some near-term headwinds.”
Vikas Gupta, page 5 of the filed PDF · View the filing
Rising raw material and packing material prices impacting Q1 and beyond
p. 6
“Definitely, there is an impact on first quarter. There will be impact going forward also if the situation doesn’t improve from here.”
Nitin Agrawal, page 6 of the filed PDF · View the filing
Uncertainty in geopolitical environment affecting margin guidance
p. 7
“So, Neha, this is -- you know that geopolitical environment is very unstable, right? and when we had given the guidance of 100 basis points improvement maybe every year, that is more on a more stable and a like-to-like period.”
Dr. Vikas Gupta, page 7 of the filed PDF · View the filing
Value erosion in base U.S. business products over time
p. 13
“What happens is on the base business, U.S. as a market is a value erosion that we see over a period of time.”
Vikas Gupta, page 13 of the filed PDF · View the filing
Trade generic business receivables risk
p. 7
“There are challenges in that business in terms of the overall receivables that can happen.”
Vikas Gupta, page 7 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.