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Rubicon Research LtdQ4 FY26 earnings call

All quarters

Summary generated by AI from the official transcript Rubicon Research Ltd filed with BSE on 02 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

Rubicon Research reported Q4 FY26 revenue of INR5,139-5,140 million, up 44% year-on-year, with EBITDA of INR1,190-1,213 million and PAT growth of 111-112% for the quarter. Management attributed growth to broad-based demand across established products and new launches, and described a slight decline in gross margin due to increased reliance on outsourced manufacturing while the Pithampur facility awaits FDA inspection. The company also disclosed the acquisition of an 85% stake in Arinna Lifesciences to build a CNS platform in the Indian market, and the board recommended a dividend of 150% (INR1.5 per share).

Numbers mentioned

Revenue: INR5,139 million (Q4 FY26)

p. 3
The revenue for Q4 FY26 was at 5,139 million, which was a year-on-year growth of 44%

Parag Sancheti, page 3 of the filed PDF · View the filing

EBITDA: INR1,213 million (Q4 FY26)

p. 3
the EBITDA was at INR1,213 million, again a healthy growth of 67%

Parag Sancheti, page 3 of the filed PDF · View the filing

PAT growth: 111% (Q4 FY26)

p. 3
followed by a 111% increase in PAT year-on-year

Parag Sancheti, page 3 of the filed PDF · View the filing

Revenue: INR5,140 million (Q4 FY26)

p. 3
our revenue for the quarter was INR5,140 million, a growth of 44% on a Y-o-Y basis

Nitin Jajodia, page 3 of the filed PDF · View the filing

Gross profit: INR3,330 million (Q4 FY26)

p. 3
Gross profit was 3,330 million, a growth of 39% on a Y-o-Y basis and close to 7% growth versus sequentially.

Nitin Jajodia, page 3 of the filed PDF · View the filing

R&D expense: 594 million (Q4 FY26)

p. 3
Our R&D expense for the quarter was 594 million versus 361 million in the previous year's Q4 and 523 million in the Quarter 3.

Nitin Jajodia, page 3 of the filed PDF · View the filing

Operating EBITDA: 1,190 million (Q4 FY26)

p. 3
Our operating EBITDA for the quarter was 1,190 million versus 725 million in the same quarter previous year, a growth of 64%.

Nitin Jajodia, page 3 of the filed PDF · View the filing

PBT: 987 million (Q4 FY26)

p. 3
PBT for the quarter was 987 million, a growth of 93% on a Y-o-Y basis and even sequential growth.

Nitin Jajodia, page 3 of the filed PDF · View the filing

PAT: 768 million (Q4 FY26)

p. 3
PAT for the quarter was 768 million, a growth of 112% on a Y-o-Y basis and also a sequential growth.

Nitin Jajodia, page 3 of the filed PDF · View the filing

Revenue: 17,540 million (FY26)

p. 3
On a full-year basis, our revenue for the financial year was 17,540 million, a healthy growth of 37%.

Nitin Jajodia, page 3 of the filed PDF · View the filing

Operating EBITDA: 4,000 million (FY26)

p. 3
Our operating EBITDA for the year is 4,000 million versus 2,643 million in the previous year, a healthy growth of 52%.

Nitin Jajodia, page 3 of the filed PDF · View the filing

PAT: 2,467 million (FY26)

p. 4
PAT for the year was 2,467 million, a healthy growth of 84% versus the previous financial year.

Nitin Jajodia, page 4 of the filed PDF · View the filing

Shareholder funds: 12,888 million (FY26)

p. 4
Our shareholder fund was 12,888 million, primarily driven by IPO proceeds during the year.

Nitin Jajodia, page 4 of the filed PDF · View the filing

Net working capital days: 126 days (FY26)

p. 4
Our net working capital was at 6,163 million, translating into a working capital days of 126 days versus 137 days of the previous year.

Nitin Jajodia, page 4 of the filed PDF · View the filing

ROACE: 36% (FY26)

p. 4
despite this higher inventory, our ROACE improved to 36%.

Nitin Jajodia, page 4 of the filed PDF · View the filing

Top 5 products revenue concentration: 39% (Q4 FY26)

p. 4
the top 5 products account for 39% of revenue, again in line with our previous quarters, and the top 10 account for 57% of revenue

Parag Sancheti, page 4 of the filed PDF · View the filing

FDA product approvals: 12 (FY26)

p. 5
in complete FY26, we received 12 product approvals.

Parag Sancheti, page 5 of the filed PDF · View the filing

Products under FDA review: 24

p. 5
The current number stands at 24 products which are under FDA review

Parag Sancheti, page 5 of the filed PDF · View the filing

Commercialization rate: 92%

p. 5
the commercialization rate, which again is a validation of our portfolio selection and execution, is strong at 92% of the approved products

Parag Sancheti, page 5 of the filed PDF · View the filing

Specialty portfolio contribution to gross profit: 33% (Q4 FY26)

p. 5
the specialty portfolio, it contributed this quarter around 33% of the gross profit for the quarter

Parag Sancheti, page 5 of the filed PDF · View the filing

Dividend: 150% / INR1.5 per share (FY26)

p. 5
the board has recommended a dividend of 150%, which amounts to INR1.5 per share.

Parag Sancheti, page 5 of the filed PDF · View the filing

EBITDA margin: 23.1% (Q4 FY26)

p. 6
for the current quarter, it is at 23.1%, so which has risen slightly on a sequential basis.

Parag Sancheti, page 6 of the filed PDF · View the filing

R&D productivity multiple: 5.9x (FY23-FY26)

p. 7
that is a 5.9x multiple on that R&D spend.

Sagar Oak, page 7 of the filed PDF · View the filing

Arinna Lifesciences enterprise value: INR200 crores

p. 7
this was an enterprise value of INR200 crores on a cash and debt-free basis.

Sagar Oak, page 7 of the filed PDF · View the filing

Arinna stake acquired: 85%

p. 7
We acquired an 85% stake in the company.

Sagar Oak, page 7 of the filed PDF · View the filing

Arinna deal value: INR176 crores

p. 7
The deal value was about INR176 crores.

Sagar Oak, 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.

EBITDA margin — 22% to 23% · coming quarters

stated firmly by Parag Sancheti

p. 6
I still want to reiterate that the EBITDA range would still remain in the 22% to 23% range.

Parag Sancheti, page 6 of the filed PDF · View the filing

R&D spend — INR5 billion / INR500 crores over nine quarters · FY26, FY27, and Q1 FY28

stated firmly by Sagar Oak

p. 7
our targeted expected R&D spend is INR5 billion, INR500 crores. That remains high confidence; we are on track to achieve the R&D spend guidance for this nine-quarter cycle.

Sagar Oak, page 7 of the filed PDF · View the filing

Pithampur facility ramp-up — Q1 CY27

stated conditionally by Parag Sancheti

p. 6
our initial indication that we were expecting a ramp-up in Q1 of CY27, calendar year 2027, still stays intact.

Parag Sancheti, page 6 of the filed PDF · View the filing

Reliance on outsourced manufacturing — a couple of more quarters

stated conditionally by Parag Sancheti

p. 5
we do expect a greater reliance on outsourced manufacturing for at least a couple of more quarters.

Parag Sancheti, page 5 of the filed PDF · View the filing

Arinna/CNS business growth versus IPM — beating IPM growth · fiscal year 2028

stated as an aspiration by Sagar Oak

p. 8
we are confident of beating IPM growth in fiscal year 2028.

Sagar Oak, page 8 of the filed PDF · View the filing

Capex — close to INR300 crores · next couple of years

stated firmly by Nitin Jajodia

p. 14
for the next couple of year, we are projecting a capex of a close to INR300 crores across various sites.

Nitin Jajodia, page 14 of the filed PDF · View the filing

R&D productivity multiple — 5.0x-plus

stated conditionally by Parag Sancheti

p. 15
that would be five and five plus would be a fair assumption.

Parag Sancheti, page 15 of the filed PDF · View the filing

Pithampur capacity utilization — decent capacity utilization · 12 to 18 months post inspection

stated conditionally by Parag Sancheti

p. 11
reach a decent capacity utilization within 12 to 18 months

Parag Sancheti, page 11 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 confirmed only one product was discontinued, not two.

Answered by Nitin Jajodia

Asked by Sidharth Negandhi: Was one or two older products discontinued given the net change in active product count?

p. 8
we have discontinued one product. I don't know why you are getting two.

Nitin Jajodia, page 8 of the filed PDF · View the filing

Management said the strategy remains therapy-focused, with Arinna adding a market rather than shifting strategy.

Answered by Sagar Oak

Asked by Sidharth Negandhi: Is the M&A strategy therapy-forward or geography-forward given the Arinna acquisition?

p. 9
more therapeutic focus than geographic focus.

Sagar Oak, page 9 of the filed PDF · View the filing

Management said demand has been broad-based across the portfolio, not concentrated in specific therapies or recent launches.

Answered by Parag Sancheti

Asked by Harsh Kundnani: Is the demand growth concentrated in specific therapy areas or top products?

p. 10
demand has been very broad-based, and I don't think there is a single product or two products.

Parag Sancheti, page 10 of the filed PDF · View the filing

Management expects decent capacity utilization within 12-18 months of inspection approval.

Answered by Parag Sancheti

Asked by Harsh Kundnani: How long will it take to ramp up the Pithampur facility once operational?

p. 11
we should see a decent capacity utilization in the next 12 to 18 months post the inspection.

Parag Sancheti, page 11 of the filed PDF · View the filing

Management said a fair share of inventory relates to new launches from the 24 products under FDA review expected to launch over the next 1-1.5 years.

Answered by Nitin Jajodia

Asked by Prajay: How much of the elevated inventory is tied to launches expected in the next 12 months versus longer-term pipeline?

p. 12
a fair share of inventory is towards new launches, which is a combination of whether finished goods, raw material, packing material given the high lead time, etc.

Nitin Jajodia, page 12 of the filed PDF · View the filing

Management acknowledged costs have risen due to crude oil as a base commodity but reiterated the EBITDA guidance would be maintained.

Answered by Parag Sancheti

Asked by Nishant Maheshwari: Has the Iran-Israel war increased raw material costs, and will this recur?

p. 14
obviously the costs have gone up because crude oil is a very basic commodity across board. But just want to reiterate that we maintain our EBITDA guidance of 22% to 23% even for the coming quarters.

Parag Sancheti, page 14 of the filed PDF · View the filing

Management guided to close to INR300 crores of capex across sites for the next couple of years.

Answered by Nitin Jajodia

Asked by Ritika: What is the capex guidance for the next two years?

p. 14
for the next couple of year, we are projecting a capex of a close to INR300 crores across various sites.

Nitin Jajodia, page 14 of the filed PDF · View the filing

Management said 5x-plus is a fair assumption though they aim to beat it.

Answered by Parag Sancheti

Asked by Tushar Manudhane: Is 5.0x-plus a safe assumption for future R&D productivity?

p. 15
that would be five and five plus would be a fair assumption.

Parag Sancheti, page 15 of the filed PDF · View the filing

Management confirmed yes, except for unpredictable black swan events.

Answered by Parag Sancheti

Asked by Tushar Manudhane: Does the EBITDA margin guidance factor in ESOP, Arinna, Pithampur, and raw material cost escalation risks?

p. 16
Except, Tushar, any black swan event which we can't predict.

Parag Sancheti, page 16 of the filed PDF · View the filing

Management said finance cost increase relates to remaining debt, receivable factoring costs, and partial debt funding of the Arinna acquisition.

Answered by Nitin Jajodia

Asked by Bhavesh Patia: Why has finance cost increased sequentially despite IPO proceeds being used to repay debt?

p. 16
this finance cost also includes the cost on account of our factoring, receivable factoring

Nitin Jajodia, page 16 of the filed PDF · View the filing

Management declined to comment on any specific future acquisition targets.

Answered by Sagar Oak

Asked by Bhavesh Patia: Have other acquisition targets been identified for FY2027?

p. 17
at when at the at an appropriate time when we've got to that level of certainty on any transaction, we would make the necessary intimations, but I wouldn't comment on that right now.

Sagar Oak, page 17 of the filed PDF · View the filing

Risks flagged

Increased reliance on outsourced manufacturing due to demand exceeding internal capacity, pressuring gross margins

p. 5
we have seen a slightly slight decline in gross margins, which is because of our own manufacturing, internal manufacturing constraint and we had an increased reliance on the outsourced manufacturing.

Parag Sancheti, page 5 of the filed PDF · View the filing

Rising raw material and procurement costs linked to geopolitical turmoil

p. 14
obviously the costs have gone up because crude oil is a very basic commodity across board.

Parag Sancheti, page 14 of the filed PDF · View the filing

Unpredictable black swan events not factored into guidance

p. 16
Except, Tushar, any black swan event which we can't predict.

Parag Sancheti, page 16 of the filed PDF · View the filing

Finance cost may not decline due to debt funding of the Arinna acquisition

p. 16
even that acquisition has been partly funded through debt. So, finance cost may not come down.

Nitin Jajodia, page 16 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.