Alkem Laboratories Limited (ALKEM)
₹5,050.00 -1.38% last close, 16 Oct
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, Alkem Laboratories' revenue was ₹3,740 Cr (+10.9% year on year, +3.8% on the previous quarter), and net profit ₹521 Cr (-21.6% year on year); the operating margin was 20.5%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹3,740 | +10.9% | +3.8% |
| Operating profit | ₹766 | +3.6% | +48.2% |
| Net profit | ₹521 | -21.6% | +107.6% |
| EPS (₹) | 43.49 | -21.7% | +119.9% |
| Operating margin | 20.5% | — | — |
ALKEM delivery percentage and open interest
NSE end-of-day data for
On Fri, 16 Oct 2026, 74.0% of the ALKEM shares traded on NSE were taken to delivery, against the stock's own 20-session average of 58.66%. The price fell 1.38% on that unusually high delivery, the pattern the delivery dashboard labels distribution. In ALKEM futures, open interest rose 2.37% while the futures price fell 1.50%: short buildup (new short positions).
Delivery in the last 5 sessions: 80.4% · 57.7% · 62.9% · 54.8% · 74.0%
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
Alkem Laboratories has announced the resignation of its Chief Financial Officer (CFO) and Key Managerial Personnel (KMP), Mr. Nitin Agrawal. He tendered his resignation on July 30, 2026, to pursue new professional opportunities, and will formally step down on September 30, 2026. Alkem manages a TTM revenue base of Rs 15,081 Cr and a market cap of Rs 65,498 Cr, making key managerial transitions notable. The company has not yet named a successor in this announcement.
- CFO Nitin Agrawal tendered resignation on 30th July, 2026
- Cessation as CFO and Senior Management Personnel takes effect on 30th September, 2026
- Resignation is to pursue new professional opportunities
- Disclosure filed on 24th September, 2026 under Regulation 30
Alkem Laboratories has announced the resignation of its Chief Financial Officer (CFO) and Key Managerial Personnel, Mr. Nitin Agrawal. He tendered his resignation on July 30, 2026, to pursue other professional opportunities and will officially cease to hold the senior management position on September 30, 2026. The company oversees a market capitalization of Rs 65,498 Cr and TTM revenue of Rs 15,081 Cr, making a smooth financial leadership transition essential. The company has not yet named a successor in this filing.
- CFO Nitin Agrawal tendered his resignation on 30th July, 2026
- Cessation takes effect at the close of business on 30th September, 2026
- Reason stated is to pursue new professional opportunities
- Company oversees TTM revenue of Rs 15,081 Cr and net profit of Rs 2,187 Cr
Alkem Laboratories has issued a Corporate Guarantee of Euro 54.45 Million (~Rs 490-500 Cr) to HSBC UK Bank plc on behalf of its Switzerland-based step-down subsidiary, M/s. Occlutech Holding AG. The guarantee secures a term loan facility of Euro 49.5 Million availed by Occlutech. The transaction represents an arm's length contingent liability for Alkem and is manageable relative to its net worth of Rs 13,999 Cr and cash generation.
- Corporate guarantee issued for an amount of Euro 54.45 Million to HSBC UK Bank plc
- Secures term loan facility of Euro 49.5 Million availed by Occlutech Holding AG
- Occlutech Holding AG is a step-down subsidiary of Alkem Laboratories in Switzerland
- Treated as a contingent liability; promoters have no interest and terms are at arm's length
Alkem Laboratories has announced the launch of NeuCeno (cenobamate), a once-daily oral anti-seizure medication (ASM) for adults with partial-onset seizures, marking the drug's first introduction in India. The drug targets a domestic addressable population of approximately 9.4 million epilepsy patients in India. In clinical studies, adjunctive cenobamate demonstrated up to a 78% reduction in seizure frequency, with up to 30% of patients achieving seizure freedom during the maintenance phase. This launch strengthens Alkem's chronic portfolio, aligning with its strategy to outpace market growth in high-value non-acute therapeutic areas.
- Cenobamate launched for the first time in India under the brand name NeuCeno
- Addresses an estimated 9.4 million people living with epilepsy in India
- Clinical trials showed up to 78% reduction in seizure frequency and up to 30% seizure freedom in maintenance
- Available in 6 tablet strengths: 12.5 mg, 25 mg, 50 mg, 100 mg, 150 mg, and 200 mg
Alkem Laboratories has announced the appointment of Dr. Shubhadeep Sinha to its Senior Management Personnel, effective September 15, 2026. Dr. Sinha brings over 25 years of pharmaceutical industry experience spanning clinical development, medical affairs, pharmacovigilance, and regulatory affairs. His appointment comes as Alkem (TTM revenue ₹15,081 crore) focuses on expanding its chronic segment and complex product capabilities. As an operational management addition, there is no immediate financial impact.
- Dr. Shubhadeep Sinha appointed to Senior Management effective September 15, 2026
- Appointee brings over 25 years of experience in clinical development, regulatory affairs, and pharmacovigilance
- Employment term is ongoing under standard contractual terms of the company
- No family relationship with any directors of the company
Alkem Laboratories has announced the launch of Renocia Exo™, branded as India's first patented Ginsenoside Exosome-based hair growth serum. The therapy integrates phyto-exosomes, biomimetic peptides, and stem cell-supportive actives for regenerative dermatology. Financial revenue contributions or market size targets for the product were not disclosed in the filing. Relative to Alkem's TTM revenue of ₹15,081 crore, individual product launches in the dermatology portfolio represent incremental portfolio additions.
- Launch of Renocia Exo™, India's first patented Ginsenoside Exosome-based hair serum, on September 8, 2026
- Targets regenerative dermatology using multi-targeted actives including biomimetic and copper peptides
- Alkem maintains 20 manufacturing facilities and R&D centers across India and the US
- No commercial sales targets or financial projections were disclosed in the release
Alkem Laboratories conducted its 52nd Annual General Meeting on August 27, 2026, where shareholders approved all ordinary resolutions with requisite majority. The approved items include adoption of FY26 financial statements, confirmation of interim dividend and declaration of final dividend, and the re-appointment of directors including Sandeep Singh and Sarvesh Singh. Additionally, Mrs. Madhurima Singh's re-appointment as Executive Director for a 5-year term starting December 20, 2026, was approved with 98.12% votes in favor.
- All 6 resolutions passed with required majority across 11.96 crore total equity shares
- Mrs. Madhurima Singh re-appointed as Executive Director for 5 years effective December 20, 2026 (98.12% votes in favor)
- Payment of interim dividend confirmed and final dividend declared for FY26
- Total of 77 members attended the AGM held via video conferencing
Alkem Laboratories reported Q1 FY27 revenue of ₹3,740 crore, up 11% YoY, supported by 10.3% growth in India sales (₹2,497 crore) and 16% growth in international sales (₹1,222 crore). EBITDA margin stood at 20.5%, while net profit declined 21.7% YoY primarily due to higher tax provisions. The company disclosed that its key Daman formulation facility received an Official Action Indicated (OAI) status from the US FDA; the unit contributes ~45% of Alkem's US revenue, though existing supplies remain uninterrupted. Additionally, the recently closed Occlutech acquisition is targeted to deliver ~₹400 crore in sales over the remaining 8.5 months of FY27 at breakeven EBITDA.
- Q1 FY27 revenue rose 11% YoY to ₹3,740 crore with EBITDA margins at 20.5%
- Domestic formulations grew 10.3% to ₹2,497 crore, with branded generics growing 12% and chronic outperforming IPM by 250 bps
- Daman plant received US FDA OAI status; the site accounts for ~45% of total US sales
- US CDMO operations incurred ~₹60 crore in quarterly operating expenses, targeting breakeven in 4-5 quarters
- Occlutech acquisition closed mid-July 2026, targeting ₹400 crore revenue in FY27 with breakeven EBITDA
Alkem Laboratories shareholders have approved the Scheme of Amalgamation between Adroit Biomed Limited and Alkem Laboratories Limited at the NCLT-convened meeting held on August 17, 2026. The special resolution passed overwhelmingly with 99.9999% of total votes cast in favor (99,985,212 votes in favor vs. 84 votes against). Institutional and promoter shareholders voted 100% in support, representing strong backing for the domestic integration. The merger will now proceed to the final NCLT approval stage for formal sanction.
- Shareholders approved the Scheme of Amalgamation with Adroit Biomed Limited with 99.9999% votes in favor.
- Overall voter turnout was 83.62% across all categories, totaling 99,985,296 votes polled.
- Institutional investors cast 37,130,858 votes with 100% approval, while promoters cast 56,492,801 votes with 100% approval.
- Public non-institutional shareholders cast 6,361,553 votes in favor (99.9987%) and only 84 votes against (0.0013%).
Alkem Laboratories Limited has informed the stock exchanges that the audio recording of its Q1FY27 earnings conference call is now accessible on its official website. The disclosure is submitted pursuant to SEBI Listing Obligations and Disclosure Requirements Regulations. The document contains procedural information regarding the availability of the recording link without detailing new operational or financial figures.
- Audio recording for the Q1FY27 earnings conference call made available on 14th August, 2026.
- Recording is hosted publicly on the company's investor portal (https://www.alkemlabs.com/investors/earnings-call).
- Filing fulfills statutory compliance obligations under SEBI LODR Regulations.
Alkem Laboratories has announced the reopening of its trading window for designated persons effective August 17, 2026. This follows the disclosure of the company's financial results for the quarter ended June 30, 2026, which were submitted to the exchanges on August 14, 2026. The trading window had been closed since June 29, 2026, in compliance with SEBI Insider Trading regulations. This is a standard administrative procedure that occurs after every quarterly earnings cycle.
- Trading window to officially reopen on August 17, 2026
- Window was closed for a period starting June 29, 2026
- Reopening occurs 48 hours after the August 14, 2026, financial results communication
- Compliance maintained under SEBI (Prohibition of Insider Trading) Regulations, 2015
Alkem Laboratories has approved a ₹75 crore investment to establish a new block at its existing manufacturing site in Baddi, Himachal Pradesh. This capital expenditure represents approximately 0.51% of the company's TTM revenue of ₹14,712 crore and 0.54% of its net worth. The expansion is part of the company's ongoing effort to strengthen its domestic manufacturing footprint, where it currently ranks 5th in the Indian pharmaceutical market. Given Alkem's low debt-to-equity ratio of 0.04, this project is expected to be funded through internal accruals.
- Board approved an investment of up to ₹75 crores for a new manufacturing block.
- The expansion is located within the existing facility at Baddi, Himachal Pradesh.
- Investment magnitude is ~0.51% of TTM revenue (₹14,712 Cr).
- Alkem currently operates 19 manufacturing facilities, with 18 located in India.
Alkem Laboratories reported a 10.9% YoY revenue growth to ₹3,740.2 Cr for Q1FY27, led by a 10.3% growth in the domestic market and a 34.5% surge in non-US international sales. However, Net Profit (after NCI) declined significantly by 21.7% YoY to ₹520 Cr, and EBITDA margins compressed to 20.5% from 21.9% in the previous year. A major regulatory headwind was disclosed as the Daman formulation facility received an 'Official Action Indicated' (OAI) status from the USFDA in August 2026. The company maintains a strong liquidity position with net cash of ₹5,764 Cr as of June 30, 2026.
- Total Revenue from Operations reached ₹3,740.2 Cr, a 10.9% YoY increase.
- Domestic business outperformed the Indian Pharmaceutical Market (IPM) by 100 bps, registering 13.2% growth vs IPM's 12.2%.
- Non-US international sales grew by 34.5% YoY to ₹478.5 Cr, now contributing 12.9% of total sales.
- Net Profit fell 21.7% YoY to ₹520 Cr, despite the growth in top-line revenue.
- Daman formulation facility received OAI status in August 2026 following an April 2026 inspection.
Alkem Laboratories reported a standalone basic EPS of ₹47.67 for Q1 FY27, compared to ₹52.04 in the restated year-ago quarter. The company has officially transitioned to the new tax regime (Section 115BAA) starting FY27, which impacted deferred tax calculations. The generic business transfer to Alkem Wellness Limited was finalized via slump sale effective October 1, 2025, representing approximately 6.2% of FY26 total income. Previous year financials have been restated to reflect this business as a discontinued operation.
- Standalone Basic EPS for Q1 FY27 stood at ₹47.67 vs ₹52.04 in Q1 FY26 (restated)
- Generic business (discontinued) contributed ₹918.1 Cr in total income during FY26
- Exceptional impairment of ₹74.7 Cr recognized in FY26 regarding real estate investments
- Estimated liability of ₹82.68 Cr recognized in FY26 for revised Labour Code provisions
- Transitioned to new tax regime (Section 115BAA) effective from April 1, 2026
Alkem Laboratories has received an 'Official Action Indicated' (OAI) classification from the US FDA for its manufacturing facility in Amaliya, Daman. This follows an inspection conducted from April 20 to May 1, 2026, which resulted in 7 observations. While the company continues to supply currently approved products from the site, an OAI status typically means the FDA may withhold approvals for new drug applications (ANDAs) from this facility until remediation is complete. This regulatory hurdle comes as the company seeks to recover from a 15% de-growth in its US business seen in H1FY25.
- US FDA inspection conducted at Amaliya, Daman facility from April 20 to May 1, 2026
- Facility initially received 7 observations in a Form 483
- Status now upgraded to Official Action Indicated (OAI) as of August 6, 2026
- Company operates 19 manufacturing facilities, with this being a key site for the US market
- US business previously faced 15% de-growth in H1FY25 due to price erosion and supply issues
Financial Performance
Revenue Growth by Segment
Total revenue grew 2.3% YoY to INR 12,964.5 Cr in FY25. Domestic formulation sales grew 7% YoY in FY25, while US sales de-grew 15% in H1FY25 due to price erosion and supply chain issues. Rest of World (ROW) sales grew 33% in FY24 and 7% in H1FY25. In Q2 FY26, total revenue reached INR 4,001 Cr, a 17.2% YoY increase.
Geographic Revenue Split
The domestic market is the primary driver, contributing 70% of total revenue (INR 9,075 Cr in FY25). The US market accounts for 22% (INR 2,852 Cr), and the Rest of the World (ROW) contributes the remaining 8-10%.
Profitability Margins
Adjusted PAT margin improved from 14.3% in FY24 to 17.1% in FY25 (INR 2,215 Cr). This improvement was driven by a better product mix and cost control measures. Return on Capital Employed (ROCE) averaged 20% between FY20-FY24 and is projected to reach ~22% by FY27.
EBITDA Margin
EBITDA margin stood at 23.0% in Q2 FY26 (INR 920.8 Cr). The PBILDT margin improved by 520 bps in H1FY25 compared to the previous year, primarily due to benign raw material prices and rationalization of the product portfolio to focus on high-margin chronic therapies.
Capital Expenditure
Planned capital expenditure for FY26 is estimated at INR 700-750 Cr. This spending is intended for capacity maintenance and expansion into new segments like biosimilars and orthopedic implants, funded primarily through internal accruals.
Credit Rating & Borrowing
Maintains a strong credit profile with ratings of CRISIL AA+/Stable/A1+ and CARE AA+; Stable / CARE A1+. Total debt as of March 31, 2025, was INR 1,381 Cr, with an overall gearing ratio of 0.11x, indicating very low reliance on external debt.
Operational Drivers
Raw Materials
Specific names not disclosed, but raw materials, freight, and input costs are cited as major margin drivers, with 'benign' pricing contributing to a 520 bps margin improvement in H1FY25.
Capacity Expansion
Operates 19 manufacturing facilities (18 in India, 1 in the US) and 4 R&D centers. A new CDMO plant for Enzene in the US recently became operational in September 2025, with a target revenue capacity of INR 300 Cr within 12-18 months.
Raw Material Costs
Raw material costs remained benign in H1FY25, supporting margin expansion. The company uses a strategy of rationalizing its product portfolio to offset input cost volatility and focus on higher-margin products.
Manufacturing Efficiency
Focusing on 'profitable growth' by rationalizing low-margin products. ROCE is expected to remain healthy at ~22% for FY25-FY27, reflecting efficient asset utilization.
Logistics & Distribution
Distribution is managed by a field force of over 12,000 medical representatives (MRs) and 8,000 stockists to ensure demand off-take for new and existing products.
Strategic Growth
Expected Growth Rate
5-8%
Growth Strategy
Growth will be achieved by outperforming the Indian pharmaceutical market by 100-150 bps through new launches in chronic therapies (diabetes, oncology, neurology). Additionally, the company is scaling its US CDMO business (Enzene) and entering the orthopedic implant market to diversify revenue streams.
Products & Services
Pharmaceutical formulations in therapeutic areas including anti-infectives, gastroenterology, pain/analgesics, anti-diabetics, cardiology, oncology, dermatology, and biosimilars.
Brand Portfolio
Alkem (Parent Brand), Enzene (Biosimilars). Specific product brand names not listed in the provided text.
New Products/Services
Launched 4 products in the US in Q2 FY26. New CDMO operations in the US are expected to contribute INR 70-80 Cr in revenue for the current fiscal year.
Market Expansion
Expanding presence in regulated and semi-regulated markets including Australia, Chile, Philippines, Kazakhstan, and Europe. Target is to increase the share of international revenue beyond the current 30%.
Market Share & Ranking
Ranked 5th in the Indian pharmaceutical market according to IQVIA MAT March 2025.
External Factors
Industry Trends
The industry is shifting toward chronic therapies and biosimilars. Alkem is positioning itself by increasing its chronic segment sales force and investing in Enzene Bioscience to capture higher-growth biotech opportunities.
Competitive Landscape
Faces intense competition in the acute segment from other large Indian generic players, leading to pricing pressure.
Competitive Moat
Moat is built on a 50-year legacy, a dominant position in anti-infectives/gastro (Rank 5 in India), and a massive distribution network of 12,000+ MRs. This scale makes it difficult for new entrants to compete on distribution and brand recall.
Macro Economic Sensitivity
Sensitive to healthcare spending and inflation in raw material/freight costs, which impacted margins in previous years before normalizing in FY24.
Consumer Behavior
Increasing demand for chronic disease management (diabetes, heart health) is driving the company's shift in focus from acute to chronic therapies.
Geopolitical Risks
Operations in 40+ countries expose the company to changes in import/export policies and political conditions in key global markets.
Regulatory & Governance
Industry Regulations
Subject to USFDA inspections (all sites currently have EIR) and Indian DPCO/NLEM price controls which affect ~30% of domestic revenue.
Risk Analysis
Key Uncertainties
High dependence on the acute segment (80% of domestic sales) which is slower-growing and prone to price revisions. Regulatory risks from USFDA or Indian price control changes could impact margins by 2-3%.
Geographic Concentration Risk
High concentration in India (70% of revenue), making the company vulnerable to domestic regulatory shifts.
Third Party Dependencies
Dependency on 8,000 stockists for distribution; however, no single supplier dependency is highlighted.
Technology Obsolescence Risk
Risk of falling behind in the biosimilar race; mitigated by Enzene's R&D and new US manufacturing plant.
Credit & Counterparty Risk
Receivables of 70 days and unencumbered cash surplus of INR 4,620 Cr (March 2025) indicate strong liquidity and low counterparty risk.
