Hester Biosciences Limited announced its audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, with the Board of Directors approving the results at their meeting held on May 15, 2026. The statutory auditors, Chandulal M. Shah & Co., Chartered Accountants, issued an unmodified audit opinion on both standalone and consolidated financial results. Alongside the results, the Board recommended a dividend of INR 11 per equity share of INR 10 each, representing 110% for FY26, subject to shareholder approval at the ensuing Annual General Meeting.

Standalone Financial Performance

Hester Biosciences delivered a strong standalone performance in Q4 and FY26, driven primarily by the Poultry Healthcare division. The following table presents the standalone revenue breakdown by division:

The Poultry Healthcare division recorded strong growth during Q4 and FY26, supported by improved market penetration, expanded placements, and sustained demand for vaccines. The Animal Healthcare division continued to be impacted by delays in government immunisation programmes and uneven demand across certain commercial markets. Other Operating Income during FY26 primarily comprises milestone-linked grant income associated with development-focused programmes. During the quarter, the company received marketing and manufacturing licences for its H9N2 Avian Influenza vaccine, further strengthening its poultry vaccine portfolio.

Standalone Profitability

Standalone profitability improved significantly, with gross profit margins expanding and EBITDA nearly tripling in Q4. The table below summarises key profitability metrics:

Gross profit margins improved during Q4 and FY26, supported by a favourable product mix and continued operational discipline. EBITDA and PAT growth were driven by stronger contribution from the Poultry Healthcare division, improved product mix, and continued cost optimisation initiatives. The company maintained its focus on process standardisation, business hygiene, and disciplined working capital management during the year. Profitability for FY26 also includes certain non-operational financial income.

Consolidated Financial Performance

At the consolidated level, Hester Biosciences reported robust growth across revenue and profitability metrics, with Q4 consolidated PAT surging 974%. The table below presents the consolidated financial highlights:

Consolidated performance was supported by improved operational execution and stronger profitability across key business segments. Overseas operations continued to witness mixed market conditions, though the company strengthened its presence across selected African and export markets during the year. Consolidated profitability also benefited from foreign exchange gains and exceptional financial items during the year, which included the partial divestment of the company's stake in Texas Lifesciences. The company continued its participation in the GALVmed-led VITAL 2 programme focused on vaccine awareness and adoption initiatives in Africa.

Operational and Strategic Developments

During the quarter, the company capitalised its BSL-3 facility as part of its ongoing capacity expansion and infrastructure strengthening initiatives. The company is also undertaking optimisation of certain manufacturing infrastructure in line with current operational and scale-up requirements, with a focus on improving utilisation efficiency and operating cost structure. On the corporate governance front, the Board approved the re-appointment of Ms. Priya Gandhi as Executive Director for a period of three years with effect from October 28, 2026, subject to shareholder approval. Ms. Priya Gandhi has been associated with the company since 2016 and holds a Postgraduate degree in Management for Family Business from the Indian School of Business, Hyderabad. She is the daughter of Mr. Rajiv Gandhi, CEO & Managing Director, and niece of Mr. Sanjiv Gandhi, Non-Executive Director.

Way Forward

FY26 was characterised by operational strengthening, capacity expansion, and improved execution for Hester Biosciences. The company remains focused on strengthening its biologicals portfolio across poultry and animal healthcare, improving market penetration in domestic and export markets, and reducing dependence on institutional business through portfolio diversification. With the commercialisation of the H9N2 Avian Influenza vaccine, expanded manufacturing capabilities, and continued focus on scientific engagement and field execution, the company remains committed to building sustainable long-term growth. Hester also continues to strengthen its presence across Africa and other export markets through registrations, market development initiatives, and strategic partnerships.

Hester Biosciences Limited has submitted a mandatory regulatory declaration confirming that its promoters and promoter group did not create any encumbrances on their shareholdings during the financial year ended March 31, 2026. The declaration was filed with both BSE and NSE on April 3, 2026, in compliance with SEBI regulations.

Regulatory Compliance Declaration

The company filed the declaration pursuant to Regulation 31(4) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. This regulation mandates that promoters and promoter groups must declare annually whether they have created any encumbrances on their shareholdings during the financial year.

Promoter Group Representative

Mr. Rajiv Gandhi submitted the declaration on behalf of the promoters and promoter group. In his communication to the stock exchanges, he confirmed that during the financial year ended March 31, 2026, no encumbrances were made on promoter holdings, either directly or indirectly.

The declaration also requested that this disclosure be presented to the company's Audit Committee for their review and comments, ensuring proper internal governance oversight.

Stock Exchange Communication

The company's Company Secretary and Compliance Officer, Vinod Mali, formally communicated the declaration to both major stock exchanges where Hester Biosciences shares are listed.

Corporate Governance Significance

This annual declaration forms part of the regulatory framework designed to ensure transparency in promoter shareholding patterns. The requirement helps investors and regulators monitor any changes in promoter commitment to their shareholdings through encumbrances such as pledging or hypothecation of shares.

The timely filing of this declaration demonstrates Hester Biosciences' commitment to regulatory compliance and corporate governance standards. Such disclosures are essential for maintaining investor confidence and ensuring transparency in promoter shareholding arrangements.