Aarey Drugs & Pharmaceuticals Limited (AAREYDRUGS)
₹112.91 +3.83% last close, 16 Oct
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, Aarey Drugs' revenue was ₹44.6 Cr (-56.3% year on year, -76.4% on the previous quarter), and net profit ₹1.0 Cr (-25.3% year on year); the operating margin was 3.0%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹44.6 | -56.3% | -76.4% |
| Operating profit | ₹1.3 | -22.5% | -69.5% |
| Net profit | ₹1.0 | -25.3% | -34.4% |
| EPS (₹) | 0.36 | -25.0% | -34.5% |
| Operating margin | 3.0% | — | — |
AAREYDRUGS delivery percentage and bulk deals
NSE end-of-day data for
On Fri, 16 Oct 2026, 66.01% of the AAREYDRUGS shares traded on NSE were taken to delivery, against the stock's own 20-session average of 64.09%. That is close to its usual level. It closed at a price band (circuit) on 2 sessions in about the last 20. 3 bulk or block deals were reported in AAREYDRUGS in the last 60 days: ₹3 Cr bought and ₹2 Cr sold.
Delivery in the last 5 sessions: 66.6% · 78.7% · 74.2% · 62.1% · 66.0%
| Date | Side | Counterparty | Value | Price | Quantity | Type |
|---|---|---|---|---|---|---|
| 7 Oct | Sell | Amzen Financial Services Private Limited | ₹1.97 Cr | ₹109.00 | 181,006 | Bulk |
| 7 Oct | Buy | Vayumind Innovations Private Limited | ₹1.97 Cr | ₹109.00 | 181,007 | Bulk |
| 30 Sep | Buy | Arya Ravi Maniram | ₹1.44 Cr | ₹100.01 | 144,423 | Bulk |
A description of what the exchange published, not a recommendation. Names such as "accumulation" or "long buildup" label a pattern in the numbers. How delivery is analysed
📢 Recent Corporate Announcements
Aarey Drugs & Pharmaceuticals Limited has submitted its compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018. The certificate was issued by Registrar and Share Transfer Agent MUFG Intime India Private Limited for the quarter and half-year ended September 30, 2026. It confirms that share certificates received for dematerialisation during the period were properly verified, processed, and cancelled. This is a routine quarterly compliance submission with no financial or operational impact.
- Compliance certificate submitted under Regulation 74(5) of SEBI Regulations, 2018
- Covers the quarter and half-year ended September 30, 2026
- Issued by RTA MUFG Intime India Private Limited on October 3, 2026
Aarey Drugs & Pharmaceuticals approved the allotment of 11,50,000 equity shares of face value ₹10 each following the conversion of warrants on September 30, 2026. The company collected ₹5.50 crore (representing the remaining 75% payment at ₹47.85 per warrant on an issue price of ₹63.80). This increases the paid-up share count from 3,07,24,303 to 3,18,74,303 shares, representing an equity dilution of approximately 3.7%. Across both tranches, 35,20,000 warrants have now been converted out of the total 50,00,000 warrants issued, leaving 14,80,000 warrants outstanding.
- Allotted 11,50,000 equity shares upon conversion of warrants at an issue price of ₹63.80 each
- Received balance 75% payment of ₹47.85 per warrant, totaling ₹5,50,27,500 (~₹5.50 Cr)
- Paid-up equity shares expanded from 3,07,24,303 to 3,18,74,303 shares
- Total outstanding warrants remaining for conversion stand at 14,80,000 out of original 50,00,000
- Conversion tranches include 1,50,000 shares to promoter group and 10,00,000 shares to public category
Aarey Drugs and Pharmaceuticals disclosed insider warrant conversions by members of the promoter and promoter group as of September 30, 2026. Across the conversion stages, promoter group entities converted over 25.2 lakh warrants into equity shares, raising promoter group equity holding to 1,32,12,443 shares (41.45% of expanded voting capital). The total equity share capital expanded from 2,83,54,303 shares to 3,18,74,303 shares, with total diluted share capital standing at 3,33,54,303 shares.
- Promoters converted 23,70,000 warrants into equity in the first tranche, followed by an additional 1,50,000 warrants allotted to Nimit Rajesh Ghatalia on September 30, 2026
- Post-allotment total promoter and promoter group equity holding stands at 1,32,12,443 shares or 41.45% of total voting capital
- Company's issued equity share capital increased from 2,83,54,303 shares to 3,18,74,303 shares of Rs. 10 each
- Remaining unconverted warrants held by promoters and entities acting in concert stand at 15,30,000 instruments
Aarey Drugs and Pharmaceuticals has disclosed warrant conversions under SEBI PIT regulations resulting in an allotment of 25,20,000 equity shares to promoter group members on September 30, 2026. The total transaction value across seven promoter entities stands at approximately ₹12.06 Cr, representing ~4.1% of the company's current market cap of ₹291 Cr. Key promoter members including Bina Ghatalia, Mihir Ghatalia, and Nimit Ghatalia converted warrants into equity shares, infusing equity capital into the business.
- Total of 25,20,000 convertible warrants converted into equity shares on 30-09-2026
- Cumulative transaction consideration of ~₹12.06 Cr infused by promoter group entities
- Bina Rajesh Ghatalia converted 5,00,000 warrants (value ₹2,39,25,000), taking holding to 14.13%
- Nimit Rajesh Ghatalia converted 5,00,000 warrants (value ₹2,39,25,000), taking holding to 5.18%
- Transaction represents warrant conversion price of ~₹47.85 per share
Aarey Drugs and Pharmaceuticals has disclosed warrant conversions under SEBI PIT regulations resulting in an allotment of 25,20,000 equity shares to promoter group members on September 30, 2026. The total transaction value across seven promoter entities stands at approximately ₹12.06 Cr, representing ~4.1% of the company's current market cap of ₹291 Cr. Key promoter members including Bina Ghatalia, Mihir Ghatalia, and Nimit Ghatalia converted warrants into equity shares, infusing equity capital into the business.
- Total of 25,20,000 convertible warrants converted into equity shares on 30-09-2026
- Cumulative transaction consideration of ~₹12.06 Cr infused by promoter group entities
- Bina Rajesh Ghatalia converted 5,00,000 warrants (value ₹2,39,25,000), taking holding to 14.13%
- Nimit Rajesh Ghatalia converted 5,00,000 warrants (value ₹2,39,25,000), taking holding to 5.18%
- Transaction represents warrant conversion price of ~₹47.85 per share
Aarey Drugs and Pharmaceuticals approved the allotment of 11,50,000 equity shares upon conversion of warrants on September 30, 2026. The conversion was completed at an issue price of ₹63.80 per warrant, with the receipt of the remaining 75% consideration totaling ₹5.50 crore (₹47.85 per warrant). This brings the company's total issued and paid-up share capital up from 3,07,24,303 shares to 3,18,74,303 shares. A total of 14,80,000 warrants remain outstanding for conversion from the original 50,00,000 warrant issue.
- Allotment of 11,50,000 equity shares of face value ₹10 each pursuant to warrant conversion.
- Received balance 75% amount of ₹47.85 per warrant, totaling ₹5,50,27,500.
- Issue price fixed at ₹63.80 per share (including a premium of ₹53.80 per share).
- Paid-up share capital increased from ₹30.72 crore to ₹31.87 crore.
- 14,80,000 warrants remain outstanding for conversion within the 18-month tenure from May 23, 2025.
Aarey Drugs and Pharmaceuticals approved the allotment of 11,50,000 equity shares upon conversion of warrants on September 30, 2026. The conversion was completed at an issue price of ₹63.80 per warrant, with the receipt of the remaining 75% consideration totaling ₹5.50 crore (₹47.85 per warrant). This brings the company's total issued and paid-up share capital up from 3,07,24,303 shares to 3,18,74,303 shares. A total of 14,80,000 warrants remain outstanding for conversion from the original 50,00,000 warrant issue.
- Allotment of 11,50,000 equity shares of face value ₹10 each pursuant to warrant conversion.
- Received balance 75% amount of ₹47.85 per warrant, totaling ₹5,50,27,500.
- Issue price fixed at ₹63.80 per share (including a premium of ₹53.80 per share).
- Paid-up share capital increased from ₹30.72 crore to ₹31.87 crore.
- 14,80,000 warrants remain outstanding for conversion within the 18-month tenure from May 23, 2025.
Aarey Drugs & Pharmaceuticals has issued intimation letters to shareholders regarding its 36th Annual General Meeting (AGM) scheduled for September 30, 2026. The communication complies with Regulation 36(1)(b) of SEBI LODR, providing web links to the FY2025-26 Annual Report for members without registered email addresses. The cut-off date to identify these shareholders was September 4, 2026. The meeting will be conducted via Video Conferencing or Other Audio Visual Means at 03:00 PM IST.
- 36th Annual General Meeting scheduled for Wednesday, September 30, 2026, at 03:00 PM IST
- AGM to be held through Video Conferencing (VC) / Other Audio Visual Means (OAVM)
- Cut-off date for dispatch to members without registered email IDs was Friday, September 4, 2026
- Compliance letter issued under Regulation 36(1)(b) of the SEBI Listing Regulations
Aarey Drugs & Pharmaceuticals has issued notice for its 36th Annual General Meeting scheduled for September 30, 2026, via video conferencing. The company is seeking shareholder approval for multiple related party transactions, including loan/advance arrangements up to Rs 45 crore for Enam Organics India Ltd and Rs 30 crore for Worth Investment & Trading Co. Ltd. E-voting will be open from September 27 to September 29, 2026, with a cut-off date of September 23, 2026. The filing also encloses the Integrated Annual Report for FY26.
- 36th Annual General Meeting to be held on September 30, 2026 at 03:00 PM via VC/OAVM
- Shareholder approval sought for related party transactions, including up to Rs 45 Cr with Enam Organics India Ltd
- Approval sought for up to Rs 30 Cr related party limit with Worth Investment & Trading Co. Ltd
- Cut-off date for e-voting fixed as September 23, 2026, with voting window open September 27-29, 2026
Aarey Drugs & Pharmaceuticals Limited has announced the closure of its Registers of Members and Share Transfer books from September 24, 2026, to September 30, 2026 (both days inclusive). This book closure is being conducted pursuant to Regulation 42 of SEBI LODR Regulations for the purpose of convening the company's 36th Annual General Meeting. This is a standard annual compliance requirement with no operational or financial impact on the business.
- 36th Annual General Meeting announced by the company
- Book closure begins on Thursday, 24th September, 2026
- Book closure ends on Wednesday, 30th September, 2026 (both days inclusive)
- Notification issued under Regulation 42 of SEBI LODR Regulations
Aarey Drugs & Pharmaceuticals Limited announced that its Board of Directors approved the Annual Report and Notice for convening the 36th Annual General Meeting (AGM). The AGM is scheduled for Wednesday, September 30, 2026, at 3:00 PM IST via video conferencing. The Board also approved the book closure, e-voting cut-off dates, and appointed Mr. Virendra G. Bhatt as the scrutinizer for the e-voting process.
- 36th Annual General Meeting scheduled for September 30, 2026, at 3:00 PM IST
- Meeting conducted via Video Conferencing / Other Audio Visual Means (VC/OAVM)
- Approved Draft Board's Report and Annual Report for the financial year ended March 31, 2026
- Appointed Practicing Company Secretary Mr. Virendra G. Bhatt (COP No. 124) as Scrutinizer
Aarey Drugs & Pharmaceuticals reported a 56.3% YoY drop in Q1 FY27 revenue from operations to Rs 44.63 Cr compared to Rs 102.21 Cr in Q1 FY26. Profit Before Tax fell 70.2% YoY to Rs 0.52 Cr (Rs 51.56 lakhs) against Rs 1.73 Cr in the year-ago period. Net profit stood at Rs 1.02 Cr, down 25.3% YoY, supported by a deferred tax credit of Rs 0.81 Cr. Finance costs remained high at Rs 1.67 Cr, up 61.4% YoY.
- Revenue from operations plunged 56.3% YoY to Rs 4,462.55 lakhs from Rs 10,220.83 lakhs in Q1 FY26
- Profit before tax contracted 70.2% YoY to Rs 51.56 lakhs compared to Rs 172.82 lakhs in Q1 FY26
- Net profit came in at Rs 102.37 lakhs versus Rs 137.13 lakhs in Q1 FY26, down 25.3% YoY
- Finance costs surged 61.4% YoY to Rs 167.44 lakhs from Rs 103.76 lakhs in Q1 FY26
- Diluted EPS dropped to Rs 0.36 from Rs 0.48 in Q1 FY26
Aarey Drugs & Pharmaceuticals has allotted 25.20 lakh equity shares following the conversion of warrants issued in May 2025. The company received Rs 12.06 crore, representing the final 75% payment of the Rs 63.80 issue price per warrant. The allottees are primarily from the promoter group (Ghatalia family), and the conversion results in an equity dilution of approximately 17.6%. This cash infusion is significant for a company with a TTM PAT of only Rs 4 crore.
- Allotment of 25,20,000 equity shares of face value Rs 10 each upon warrant conversion
- Total cash inflow of Rs 12,05,82,000 received as the final 75% subscription amount
- Issue price fixed at Rs 63.80 per share, which is a ~22% discount to the current market price of Rs 81.8
- Paid-up capital increased from 2,83,54,303 shares to 3,33,54,303 shares
- 24,80,000 warrants remain outstanding for conversion before the May 2027 deadline
Aarey Drugs & Pharmaceuticals Limited has submitted its quarterly compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018 for the quarter ended June 30, 2026. The certificate, issued by MUFG Intime India Private Limited, confirms that dematerialization requests were processed and share certificates were mutilated/cancelled within prescribed timelines. This is a standard administrative filing required for all listed companies to confirm the integrity of share records. It has no impact on the company's financial performance or its ongoing Rs 24.43 Cr capex project.
- Compliance certificate issued for the quarter ended June 30, 2026.
- Registrar MUFG Intime India Private Limited confirmed processing of all demat requests.
- Confirmation that securities are listed on stock exchanges where earlier securities were listed.
- Company is currently executing a Rs 24.43 Cr capex project to add 26,000 MT capacity.
Aarey Drugs & Pharmaceuticals Limited has announced the closure of its trading window for insiders and designated persons starting July 01, 2026. This is a standard regulatory requirement under SEBI (Prohibition of Insider Trading) Regulations for the upcoming financial results for the quarter ending June 30, 2026. The window will remain closed until 48 hours after the results are officially declared to the exchanges. The specific date for the board meeting to approve these results has not yet been announced.
- Trading window closure effective from Wednesday, July 01, 2026.
- Closure pertains to the Unaudited Financial Results for the quarter ended June 30, 2026.
- Restriction applies to all Insiders, Designated Persons, and their immediate relatives.
- Window will reopen 48 hours after the declaration of the quarterly financial results.
Financial Performance
Revenue Growth by Segment
The company operates in a single reportable segment (API/Bulk Drugs). Revenue for FY2024 was INR 397.65 Cr, representing a 5.09% decline from INR 418.96 Cr in FY2023. However, 9MFY2025 revenue surged 97.47% to INR 365.84 Cr compared to INR 185.26 Cr in the previous year's period. Trading activities specifically contributed INR 473.74 Cr in sales during the year.
Geographic Revenue Split
Not disclosed in available documents. Operations are concentrated at the manufacturing plant in Tarapur, Maharashtra.
Profitability Margins
Operating margins declined to 1.64% in FY2024 from 1.84% in FY2023. PAT margins improved slightly to 1.18% in FY2024 from 0.90% in FY2023. For 9MFY2025, operating profitability further declined to 1.94% from 3.18% in 9MFY2024.
EBITDA Margin
Operating profitability stood at 1.94% in 9MFY2025, a significant drop from 3.18% in 9MFY2024, reflecting increased cost pressures or lower contribution margins.
Capital Expenditure
The company is undergoing a CAPEX of INR 24.43 Cr to add 26,000 MT of capacity in two phases (13,000 MT each), with completion dates in November 2025 and August 2026.
Credit Rating & Borrowing
Short-term rating was downgraded to 'ACUITE A3' from 'ACUITE A3+' due to declining revenues and profitability. Total debt as of March 2024 was INR 31.35 Cr, with a gearing of 0.24x.
Operational Drivers
Raw Materials
Chemical products, solvents, and drug intermediaries represent the primary raw materials, though specific chemical names and their individual cost percentages are not disclosed.
Capacity Expansion
Current capacity not explicitly stated; however, the company is expanding by 26,000 MT total (13,000 MT in Phase 1 by Nov 2025 and 13,000 MT in Phase 2 by Aug 2026).
Raw Material Costs
Not disclosed as a specific percentage of revenue, but the company notes reduced contribution margins on sales led to a 5.66% fall in net profit ratio to 0.85% in FY2025.
Strategic Growth
Expected Growth Rate
18.20%
Growth Strategy
Expansion of API/Bulk drug manufacturing through a INR 24.43 Cr CAPEX project. This project is divided into two phases of 13,000 MT each, with Phase 1 operational by November 2025 and Phase 2 by August 2026. The company aims to leverage its 30-year industry presence and R&D to capture growth in a market expanding at over 6% per annum.
Products & Services
API (Active Pharmaceutical Ingredients), Bulk Drugs, Chemical Products, Solvents, and Drug Intermediaries.
Brand Portfolio
Aarey Drugs and Pharmaceuticals Limited.
New Products/Services
Regular research and development is undertaken to improve product offerings in the API and Bulk Drug segments, though specific new product names were not disclosed.
External Factors
Industry Trends
The API and Bulk Drug industry is posting healthy growth rates, with the market for the product mix expanding at above 6% per annum. The industry is characterized by high competition from established players, requiring continuous R&D and scale improvements to maintain margins.
Competitive Landscape
Faces high competition and pricing pressure from larger, well-established pharmaceutical and chemical players.
Competitive Moat
The company's primary moat is its 30-year operational track record and established relationships with customers and suppliers, which helps partially offset pricing pressures. However, this moat is challenged by the superior pricing power of larger competitors and the company's thin operating margins (1.64%).
Regulatory & Governance
Industry Regulations
Compliance with SEBI Listing Regulations and Ind AS 34. Operations are subject to pharmaceutical and chemical manufacturing standards, including oversight by the Audit Committee on financial reporting and internal controls.
Risk Analysis
Key Uncertainties
The primary risks include the ability to successfully scale operations to improve profitability margins, managing a moderately intensive working capital cycle (high GCA), and the potential for financial risk profile deterioration if debt-funded CAPEX (INR 24.43 Cr) exceeds expectations.
Geographic Concentration Risk
Operations are concentrated in Maharashtra, with the manufacturing plant located in Tarapur and the head office in Mumbai.
Technology Obsolescence Risk
Addressed through regular R&D to improve product offerings, though the company remains susceptible to technology shifts in the API manufacturing sector.
Credit & Counterparty Risk
Receivables turnover ratio improved by 16% to 2.98 in FY2025, indicating better collection efficiency, though the overall working capital cycle remains a concern.
