Akums Drugs & Pharmaceuticals Limited has received credit rating updates from ICRA Limited, with the rating agency reaffirming existing ratings and assigning new ratings for the pharmaceutical contract manufacturer's financing facilities.

Rating Action Summary

ICRA Limited reaffirmed the company's credit ratings and assigned new ratings for expanded facilities, as detailed in their report dated April 10, 2026:

The rating actions increase the company's total rated facilities from Rs. 145.00 crore to Rs. 285.00 crore, reflecting the addition of the new commercial paper programme.

Business Performance and Market Position

ICRA highlighted the company's established position as a leading contract manufacturer of generic pharmaceutical products in the domestic market. The contract development and manufacturing organisation (CDMO) business generated revenue of Rs. 2,533 crore in 9M FY2026, representing 7% YoY growth driven by approximately 11% volume growth, despite negative price variance.

The company operates 14 formulations manufacturing units with combined production capacity of around 49.6 billion units per annum, having commercialised more than 4,100 formulations across more than 60 dosage forms. The diversified customer base serves more than 1,400 clients, including leading domestic and multinational pharmaceutical and wellness companies.

Financial Strength and Liquidity Position

ICRA noted the company's strong financial profile, supported by healthy earnings and robust liquidity position:

The company maintains minimal dependence on external debt and has unutilised working capital limits of around Rs. 450 crore as of September 30, 2025.

Growth Prospects and Strategic Initiatives

The rating agency expects continued growth in the CDMO segment, aided by volume growth in the domestic market and commencement of sales to Europe as part of a long-term contract with a European customer valued at EUR 200 million. The company received an upfront payment of EUR 100 million in Q1 FY2026, strengthening its liquidity position.

Expected capital expenditure of around Rs. 250 crore per annum between FY2026 and FY2028 will primarily focus on developing a manufacturing facility in Zambia and regular replacement and maintenance capex, to be funded through existing liquidity and internal accruals.

Rating Outlook and Risk Factors

ICRA maintained a Stable outlook for the long-term rating, reflecting expectations that the company will continue generating healthy cash flows from its strong CDMO business. However, the ratings remain constrained by vulnerability to competitive pressures and raw material price volatility, particularly affecting the trade generics and API manufacturing businesses which have reported consistent operating losses.

The rating agency noted that exports generated less than 5% of total revenues over FY2025 and 6M FY2026, though expected commencement of sales to Europe and Zambia over CY2027 should help increase geographical diversification.

Akums drugs & pharma has filed its quarterly compliance certificate with stock exchanges for the quarter ended March 31, 2026. The pharmaceutical company submitted the mandatory regulatory document to both the National Stock Exchange of India Limited and BSE Limited on April 4, 2026.

Regulatory Compliance Certificate

The certificate was issued pursuant to Regulation 74(5) of the Securities and Exchange Board of India (Depositories and Participants) Regulations, 2018. This regulation requires companies to confirm compliance with dematerialisation processes and related procedures on a quarterly basis.

Registrar Confirmation

The compliance certificate was provided by MUFG Intime India Private Limited, formerly known as Link Intime India Private Limited, which serves as the company's Registrar & Share Transfer Agent. The certificate was signed by Ashok Shetty, Sr. Vice President-Corporate Registry, and dated April 3, 2026.

The registrar confirmed that securities received from depository participants for dematerialisation during the quarter ended March 31, 2026, were properly processed. Key confirmations included:

• Securities received for dematerialisation were confirmed or rejected to depositories within prescribed timelines
• Security certificates received were mutilated and cancelled after due verification
• Names of depositories were substituted in the register of members as registered owners
• All securities comprised in the certificates have been listed on stock exchanges where earlier issued securities are listed

Company Information

Akums Drugs and Pharmaceuticals Limited operates from its registered office at 304, Mohan Place, L.S.C., Block-C, Saraswati Vihar, New Delhi-110034. The company maintains its manufacturing facility at Plot No. 131 to 133, Block-C, Mangolpuri Industrial Area, Phase-I, Delhi-110083.

The filing represents routine quarterly compliance reporting required under SEBI regulations, ensuring transparency in the company's share transfer and dematerialisation processes.