Aarti Pharmalabs Ltd. share price target

Capacity expansion across segments to steer growth beyond FY26Xanthine segment during the quarter witnessed growth mainly on back of increased capacity utilization to 6000 MTPA. The company remains on track to expand its capacity to 9000 MTPA by Q1FY26. Prices of xanthine have improved in spot market as per management. We believe APL to focus more on grabbing the larger wallet share across Pharma and beverage customers in future. We also keep tab on the opportunities emanating from China's anti-involution drive especially on the pricing front. On the CDMO front, the management has guided for 40-50% growth...

Q3FY26 Sequential improvement driven by CDMO despite postponement of one shipment Revenues for the quarter improved 3.3% QoQ to 432.3 crore. EBITDA for the quarter grew by 36.9% QoQ to 102.3 crore and margins to 23.7% mainly driven by 1020 bps QoQ improvement in GPM to 60.1%. PAT for the quarter stood at 48 crore. The growth was subdued in Xanthine and API/ Intermediates segments which reported almost flat numbers sequentially 208 crore and 165 crore respectively. The CDMO segment reported 30% growth QoQ to 53 crore on lower base...

Capacity expansion across segments to steer growth beyond FY26Xanthine segment primarily witnessed the growth on account of capacity debottlenecking of ~1000 MTPA thereby taking overall capacity to 6000 MTPA from 5000 MTPA. The company remains on track to expand its capacity to 9000 MTPA by Q4FY26. Prices of xanthine remained stable, as per management. We believe APL to focus more on grabbing the larger wallet share across Pharma and beverage customers (higher margin opportunities). On the CDMO front, the management is confident of achieving its guidance of 30-40% growth on back of strong order book...