Fredun Pharmaceuticals approves 7% dividend at 39th AGM

Fredun Pharmaceuticals Limited concluded its 39th Annual General Meeting on June 30, 2026, approving a 7% dividend on equity shares for the financial year ended March 31, 2026. The meeting, held via video conferencing, also sanctioned the issuance of bonus equity shares and an increase in the company's authorised share capital. These decisions were taken as part of the statutory business conducted during the session, which commenced at 09:00 a.m. IST and concluded at 9:20 a.m. IST.

The board's proposal to declare a dividend was among the key resolutions passed by the shareholders. In addition to the dividend, the meeting approved the re-appointment of Dr. (Mrs.) D. N. Medhora, Whole Time Director, who retires by rotation. The shareholders also granted approval for transactions with related parties and the ratification of the remuneration of the Cost Auditor for the financial year ending March 31, 2027.

Key Resolutions Passed

The AGM covered 11 resolutions, ranging from financial approvals to structural changes. The following table details the resolutions and their classification:

Sr. No.	Particulars	Type of Resolution
1.	Adoption of Audited Financial Statements for FY ended March 31, 2026	Ordinary Resolution
2.	Declaration of Dividend at 7% on Equity Shares for FY ended March 31, 2026	Ordinary Resolution
3.	Re-appointment of Dr. (Mrs.) D. N. Medhora, Whole Time Director	Ordinary Resolution
4.	Increase in Authorised Share Capital and alteration of Capital Clause	Ordinary Resolution
5.	Issue of Bonus Equity Shares	Ordinary Resolution
6.	Ratification of Cost Auditor remuneration for FY ending March 31, 2027	Ordinary Resolution
7.	Approval for transaction with Related Parties	Special Resolution
8.	Creation of Charges on movable and immovable properties	Special Resolution
9.	Increase in borrowing limit under Section 180 (1) (c) of Companies Act, 2013	Special Resolution
10.	Granting loans, security, or guarantees to Directors	Special Resolution
11.	Increase limits for investments, loans, and guarantees	Special Resolution

Proceedings and Participation

The meeting was chaired by Dr. (Mrs.) Daulat Nariman Medhora, Chairperson and Joint Managing Director. Ms. Vaishnavi Sahu, Company Secretary and Compliance Officer, oversaw the proceedings. A representative of M/s. R.H. Nisar & Co., Statutory Auditors, and Ms. Kala Agarwal, Practicing Company Secretary appointed as Scrutinizer, were present.

Mr. Fredun Medhora, Managing Director and Chief Financial Officer, apprised the members of the company's performance and highlights for FY 2025-26. He addressed queries from registered speaker shareholders, including Mr. Manjit Singh and Mr. Anil S. Gabaria, regarding the company's operations. The remote e-voting facility was available from June 27 to June 29, 2026, with e-voting also conducted at the meeting via the NSDL platform.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+0.79%	+11.22%	+24.42%	+86.47%	+221.57%	+572.03%

Fredun Pharmaceuticals Limited reported a 27.27% year-on-year increase in total income to INR213 crores for the quarter ended March 31, 2026, driven by strong performance across its new age businesses. Net profit for the quarter surged 56.47% to INR11.07 crores, while EBITDA rose 67.05% to INR29.13 crores, expanding margins by 326 basis points to 13.67%. For the full fiscal year FY26, the company achieved a total income of INR639.12 crores, a growth of 40.08%, with a net profit of INR33.21 crores, up 59.59%.

The financial results were discussed during the Q4FY26 earnings conference call held on June 10, 2026, moderated by Kirin Advisors. Fredun Medhora, Managing Director, highlighted that the company is transitioning from a contract manufacturer to a mass-market consumer product company. He stated that the new age businesses, including pet care and mobility, are growing at a 40% to 50% CAGR with higher gross margins ranging between 45% and 55%.

Financial Performance

Metric	Q4FY26	Q4FY25	YoY Growth
Total Income	INR213 crores	INR167.41 crores	27.27%
EBITDA	INR29.13 crores	-	67.05%
EBITDA Margin	13.67%	-	326 bps expansion
Net Profit	INR11.07 crores	-	56.47%
Net Profit Margin	5.19%	-	97 bps expansion

Metric	FY26	YoY Growth
Total Income	INR639.12 crores	40.08%
EBITDA	INR94.79 crores	72.05%
Net Profit	INR33.21 crores	59.59%

Business Segments and Strategy

Management provided a breakdown of the revenue streams for FY26. The vintage business, growing at 15% to 20%, includes exports of approximately INR120 crores, tolling of INR24 crores, and domestic third-party branding of INR50 crores. The new age businesses contributed significantly, with the pet care business generating INR43 crores in sales and the mobility division recording INR30 crores. The company targets INR100 crores in revenue from the mobility division within 2.5 years.

Fredun Medhora outlined plans to launch hormonal and anti-aging product lines, positioning the company as one of the first to offer medicated hormone products online through the doctor channel. The company is also preparing to launch 'wagr.in', a holistic pet care platform, by early July. Regarding capacity, the company utilizes 43 manufacturing locations, with over 80% of products manufactured in-house.

Guidance and Outlook

The company has provided a growth guidance of 25% to 30% on the top line for FY27. Management indicated that margins are expected to continue improving over the next 8 quarters, potentially reaching a PAT margin of 10% to 12% in the coming years as the demographic reach of new products saturates. The company maintains an order book of INR320 crores to INR330 crores.