Pharmaceuticals company Hikal announced Q1FY26 results Revenue recorded at Rs 380 crore, compared to Rs 407 crore during Q1FY25. EBITDA stood at Rs 25 crore, compared to Rs 58 crore during Q1FY25. EBITDA Margin: 6.5% for Q1FY26. PAT stood at Rs -23 crore, compared to Rs 5 crore during Q1FY25. ikal’s long term credit rating is maintained at A+ by ICRA. Jai Hiremath, Executive Chairman, Hikal, said: “The global chemical and life sciences industry continues to face mitigated headwinds, marked by a gradual pickup in demand and capacity utilization, though pricing remains under pressure in some segments. Escalating tariff uncertainties and ongoing trade realignments have added a layer of volatility to global supply chains and procurement cycles. For Q1FY26, our consolidated revenue stood at Rs 380 crore, with EBITDA at Rs 25 crore, reflecting a lower-than-forecasted start to the financial year. Our pharmaceutical segment delivered revenue of Rs 203 crore, with an EBIT margin of -12.9%. After the US FDA audit conducted in February 2025, we received an Official Action Indicated (OAI) communication on 22nd May. This led to temporary deferment of offtake in our pharmaceutical division across both the generic and more profitable CDMO business during the quarter, as customers conducted their own risk assessment audits as part of their own internal protocol before resuming supplies typically. This resulted in a short-term quarterly impact on revenue and profitability. We expect these supplies to resume partly in Q2 and through the rest of the year and confirm our overall guidance for full financial year for the pharmaceutical division. As part of our risk mitigation strategy on the FDA observations, we have taken several proactive measures, including onboarding a seasoned remediation partner to address regulatory observations and the engagement with the regulatory authorities to resolve the matter expeditiously. We have submitted timely comprehensive responses, outlining our CAPA plan along with our implementation progress, and remain actively engaged with the agency to ensure full alignment with regulatory expectations. I would like to reaffirm our unwavering and continued commitment to compliance and quality excellence We did have some positive news during the quarter. GMP audits at our Bangalore API facility by two global regulatory agencies - ANVISA, Brazil and PMDA Japan were successfully concluded. This reinforces our regulatory credentials and positions us well for future growth in Japan and key LATAM markets. Our crop protection business reported revenue of Rs 178 crore with an EBIT margin of 9.7%. The business remained largely flat on a YoY basis, reflecting persistent global overcapacity, and continued pricing pressure, particularly from lower priced Chinese competition. Despite these headwinds, our focus on product mix and cost discipline helped maintain operational efficiency. We expect gradual volume recovery and a more stable pricing environment in the second half of the year, aligned with the seasonal demand uptick. In our animal health business, we continue to make steady progress as several molecules have completed development and validation, and additional ones are moving through the pipeline. These initiatives position us well for global regulatory submissions and eventual commercialization in FY27 and beyond. Despite the challenging start to the year in Q1 we remain confident of delivering on our guidance for FY26. We expect a more meaningful recovery in Q3 and Q4FY26, supported by increased demand visibility, improved capacity utilization, and new product commercialization.” Result PDF
Pharmaceuticals company Hikal announced Q4FY25 & FY25 results Q4FY25 Financial Highlights: Board has recommended a final dividend of 40% of FV Revenue recorded at Rs 552 crore EBITDA stood at Rs 123 crore PAT stood at Rs 50 crore Hikal’s long term credit rating is maintained at A+ by ICRA FY25 Financial Highlights: Revenue recorded at Rs 1864 crore for FY25 compared to Rs 1,787 crore for FY24 PAT stood at Rs 90 crore for FY25 compared to Rs 69 crore for FY24 Commenting on the results, Jai Hiremath, Executive Chairman, Hikal. said, “For the financial year 2025, we achieved revenue of Rs 1860 crore, and EBITDA stood at Rs 328 crore with EBITDA margin of 17.7%. In FY25, we delivered positive financial performance. Our results reflect a clear alignment to positive global trends — particularly the shift toward innovation driven outsourcing, regulatory compliance, and demand for sustainable, niche solutions. By maintaining a sharp focus on operational excellence, expanding our global presence, and investing in differentiated capabilities, we have positioned ourselves to capitalize on emerging opportunities across both businesses. Our Board of Directors has recommended a final dividend of Rs 0.80 per share (40%). Along with an interim dividend of Rs. 0.60 per share (30%) declared in February 2025, the total dividend for FY25 stands at Rs 1.40 per share (70% of FV). The company’s balance sheet has further strengthened. Our Net Debt/Equity has improved from 0.67 in Mar 24 to 0.59 in Mar 25 and we have improved cash flow from operations and managed capital expenditure largely from internal accruals. In Q4 FY25, at an overall company level, our revenue stood at Rs 552 crore. with an EBITDA margin of 22.4%. In Q4 FY25, our pharmaceutical business reported revenue growth of 20% to Rs 351 crore and EBIT growth of 65% to Rs 55 crore, on QoQ basis. In the API segment, we are seeing strong traction driven by wider geographic reach and a growing customer base. In our CDMO, momentum remains robust with a healthy pipeline of projects from global innovators and emerging pharma. We see a trend of customers looking for integrated, specialized solutions which positions us well to capitalize on the rising demand for outsourced development and manufacturing. In Q4FY25, our crop protection business reported revenue growth of 30% to Rs 201 crore on QoQ basis and EBIT growth of 160% to Rs 36 crore. While global pricing for active ingredients remains under pressure due to heightened competition, volumes are gradually improving. Across the industry, leading innovators are undergoing strategic realignments — focused on portfolio rebalancing, product innovation, and strengthening stakeholder partnerships. We view this evolving landscape as a mid to long term opportunity to align closely with global customers. Our animal health segment continues to gain momentum, with our key innovator partnership progressing seamlessly. Our transition is on track to move from the validation and regulatory filing phase to commercialization over next few quarters—a critical milestone that underscores both execution strength and strategic focus. We continue to attract new customers in the animal health segment which will be future pillar for our growth. This year has been marked by heightened macroeconomic uncertainty and geopolitical tensions, with trade disruptions—such as retaliatory tariffs in key markets such as the U.S. and EU— exerting pressure on global supply chains and input costs. Amid this volatility, we are actively reshaping our business by diversifying our product portfolio, forging deeper customer partnerships, and building end-to-end supply chain resilience. In the crop protection business, where margin pressures are rising, we are focusing on capacity utilization and operational efficiency whilst aggressively building the future pipeline. Long term prospects for our company are positive. Our pharmaceutical business has a healthy pipeline of projects from innovators and emerging pharma. Our generics API business will continue to expand globally. We see some short term challenges in our crop protection business on account of the macro-economic backdrop; however, the long-term trajectory of the crop protection business remains positive.” Result PDF
Pharmaceuticals company Hikal announced Q3FY25 results Revenue: Rs 448 crore compared to Rs 448 crore during Q3FY24. EBITDA: Rs 72 crore compared to Rs 65 crore during Q3FY24. EBITDA margin: 16.1% for Q3FY25. PAT: Rs 17 crore compared to Rs 16 crore during Q3FY24. Jai Hiremath, Executive Chairman, Hikal, said: “In the global pharmaceutical industry, we are witnessing positive momentum led by CDMO opportunities while the crop protection industry is showing signs of stabilization. In Q3FY25, our revenue amounted to Rs 448 crore, with an EBITDA of Rs 72 crore, a 11% EBITDA growth on YoY basis. For the 9MFY25, revenue stood at Rs 1307 crore, with an EBITDA of Rs 205 crore, a growth of 3% and 19% respectively. The stable raw materials prices, focused cost improvement initiatives and intensified customer acquisitions helped us to improve our margin profile. Our focused business initiatives have resulted in increased operating cash flows of Rs 102 crore YoY on 9 months basis. Our Board of Directors has recommended an interim dividend of Rs 0.60 per share (30%). In Q3FY25, our pharmaceutical revenue stood at Rs 293 crore with EBIT margin of 11.4%, an increase of 449 bps, on a YoY basis. Our CDMO business continues to see an increasing flow of new enquiries as a result of the China+1 strategy by global pharmaceutical companies. We are confident to deliver profitable growth based on a healthy pipeline of projects in various phases of the life cycle. Our API segment continues to gain traction driven by improved geographical penetration and an increased customer base. In Q3FY25, our crop protection revenue stood at Rs 154 crore, with an EBIT margin of 9%. The sector has started to exhibit signs of stabilization, predominantly driven by domestic markets. We are seeing a marginal recovery in volumes, although global market prices for actives continue to remain low. In our animal health segment, the project under our long-term agreement with an innovator customer is progressing well and we will conclude the validation over the next two quarters. Our products are undergoing registration and ultimately launching these products in global markets. Under our strategic transformation initiative - Pinnacle, we continue to make substantial strides toward achieving sustainable growth across our businesses. We are witnessing early signs of success in development of new capabilities and differentiated technology platform as well as customers base expansion. We have successfully integrated sustainable practices into our ESG initiatives.” Result PDF
Conference Call with Hikal Management and Analysts on Q2FY25 Performance and Outlook. Listen to the full earnings transcript.
Pharmaceuticals company Hikal announced Q2FY25 results Revenue of Rs 453 crore. EBITDA stood at Rs 75 crore. PAT stood at Rs 18 crore. Hikal’s long term credit rating is maintained at A+ by ICRA. Jai Hiremath, Executive Chairman, Hikal, said: “The chemical market is gradually showing signs of improvement in 2024 with volumes showing a marginal growth over last year. In Q2FY25, our revenue amounted to Rs 453 crore, with an EBITDA of Rs 75 crore, reflecting growth on both QoQ and YoY basis. For the H1FY25, revenue stood at Rs 860 crore, with an EBITDA of Rs 133 crore, growth of 4% and 23% respectively. During H1FY25, we have reduced our working capital and improved cashflow. The stable raw materials prices, focused cost improvement initiatives along with intensified customer acquisitions helped us to improve our margins both on a QoQ and YoY basis. In Q2FY25, our pharmaceutical segment generated revenue of Rs 294 crore and an EBIT margin of 13.7%, an increase of 28.1% and 994 bps, respectively on QoQ basis. In our CDMO business, we continue to receive enquiries from several innovator customers, and we have a robust pipeline of projects at various stages of development. In our API segment, we are experiencing a moderate surge in volume demand from existing and new clients. In Q2FY25, our crop protection segment reported revenue of Rs 159 crore, with an EBIT margin of 5%. The Crop Protection sector is beginning to show some signs of stabilization. Domestic markets have shown a relatively better recovery trend in the recent quarters. The excess inventory situation is gradually easing, volumes are steadily recovering, however prices are still depressed in the global markets. We are cautiously optimistic that this gradual recovery will continue in the upcoming quarters. In the Animal Health segment, as a part of long-term agreement with innovator, we have successfully completed the development and validation of six products, and we are on track to finalize the validation of additional products by the end of this year. This is an important milestone in our efforts to secure product registration and eventually launch them in global markets. We continue our efforts to target newer customers in this niche segment. Under our strategic transformation initiative - Pinnacle, we have made significant progress in maintaining growth across our businesses. We have strengthened our efforts in our ESG initiatives, expanded our geographical reach, upgraded our technology infrastructure and acquired new customers. As we move into the next phase of our strategic plan, we are concentrating more on the front-end to seize opportunities that will contribute to building a robust pipeline across our diverse businesses. We remain focused to deliver profitable and sustainable growth across all business segments. We expect the second half to be better than the first half with realization from costimprovement programs and higher revenues.” Result PDF
Conference Call with Hikal Ltd. Management and Analysts on Q1FY25 Performance and Outlook. Listen to the full earnings transcript.
Pharmaceuticals company Hikal announced Q1FY25 results: Revenue of Rs 407 crore EBITDA stood at Rs 58 crore PAT stood at Rs 5 crore Hikal’s long term credit rating is maintained at A+ by ICRA Pharmaceuticals: Revenue Stood at Rs 229 crore Demand for Own Products is robust DMF for 1 product filed during quarter 13 customer audits completed successfully during the quarter In the last 2 quarters have received a growing number of inquiries EBIT Stood at Rs 9 crore A combination of product mix and scheduled plant maintenance shutdowns leading to lower capacity utilization affected our margins Crop-protection: Revenue Stood at Rs 177 crore Positive traction from several major global innovators in Q1FY25 6 CDMO Projects in Pipeline Commercialization of the new products developed in last 2-3 years resulted in revenue growth in CDMO business Own products witnessed volume uptick EBIT stood at Rs 21 crore Favorable product mix led to an increase in margins year on year Global crop protection industry facing challenges: overcapacity and price pressure from competitors, especially China. Commenting on the results, Jai Hiremath, Executive Chairman, Hikal said, “The global chemical industry is experiencing a recovery in demand, with a steady improvement in consumption, production and capacity utilization. We expect prices to stabilize in the coming quarters. In Q1FY25, our revenues reached Rs 407 Cr, with an EBITDA of Rs 58 Cr representing a 5% and 16% growth respectively. This financial improvement was driven by stable raw material prices, as well as our efforts in reducing costs, optimizing processes and diversifying our product range. In Q1FY25, our pharmaceutical business generated revenue of Rs 229 Cr, with an EBIT of 3.8%. While we saw an increase in volume demand from existing customers in the API segment, a combination of product mix and scheduled plant maintenance shutdowns leading to lower capacity utilization affected our margins. In the CDMO segment, we continue to receive multiple requests for proposals from emerging pharmaceutical companies and global innovators. Several projects are progressing through to advanced development stages. We have a healthy pipeline of projects in various stages of development. In Q1FY25, our crop protection business generated revenue of Rs 177 Cr, with an EBIT of 11.9%. While the crop protection market is still challenging, we had a favorable product which led to an increase in margins year on year. With the global crop protection industry facing challenges such as overcapacity and price pressure from competitors, particularly from China, we expect the market to stabilize by the end of this calendar year with volumes recovery. Our animal health business has made significant progress. We have completed the development and validation of five products and are currently on track to finish validating several others by the end of this year. This marks a crucial milestone towards obtaining product registration and eventually launching them commercially in global markets. Under our strategic transformation initiative, Pinnacle, we have achieved significant strides in sustaining growth across our different business segments. We have focused on reducing risks in our supply chain, developing unique capabilities, acquiring new customers, and building a distinctive technology platform. As we move forward with our strategic plan, we will prioritize front-end opportunities to build and commercialize a robust pipeline across business segments. Despite ongoing global challenges, we are confident that market conditions will improve in this financial year. Our primary objective is to achieve profitable and sustainable growth in all our business segments. We are committed to adapting our strategies to meet changing market conditions and to capitalize on the growing list of emerging opportunities.” Result PDF