Laurus Labs (LAURUSLABS) Q4 25/26 earnings summary

Executive summary

• Achieved record revenues of ₹6,813 crore in FY26, up 23% year-over-year, with strong growth in both CDMO and Affordable Medicines divisions and continued global leadership in ARV therapy, servicing one-third of the global HIV population.

• EBITDA rose 64% to ₹1,826 crore, with margins improving to 26.8% due to favorable product mix and operational leverage.

• Net profit surged 148% to ₹890.14 crore, and ROCE improved to 17.7% from 9.7% last year.

• Transformation of the business portfolio underway, with increasing contribution from CDMO and diversification beyond ARV.

• Audited consolidated and standalone financial results for the year ended March 31, 2026, were approved with an unmodified audit opinion from Deloitte Haskins & Sells LLP.

Financial highlights

• FY26 consolidated revenue reached ₹6,813 crore, up 23% year-over-year; Q4 revenue at ₹1,812 crore, up 5%.

• Gross margin for the year at 60.4%, Q4 at 61.4%; EBITDA margin expanded to 26.8% for the year and 28.9% for Q4.

• Profit after tax for FY26 was ₹890.14 crore, up 148% year-over-year; Q4 PAT at ₹282.09 crore.

• ROCE improved to 17.7% from 9.7% last year.

• Basic and diluted EPS (consolidated) for FY26 were ₹16.47 and ₹16.45, respectively.

Outlook and guidance

• Confident in maintaining or improving current EBITDA margins in FY27, with ongoing investments in large-scale manufacturing, gene therapy, and ADC platforms.

• CDMO segment expected to continue positive growth, with no significant product concentration risk.

• ARV revenue expected to remain constant in absolute terms, but its percentage of total revenue will decline as other segments grow.

• CapEx guidance increased to ₹3,000 crore over the next two years to support growth; new 532-acre Vizag site to enhance global scale, with $600mn capex planned over 8 years starting FY27.

• Composite Scheme of Arrangement for demerger and amalgamation involving Laurus Synthesis Private Limited is pending regulatory approval.