Lyka Labs reported a sharp turnaround in profitability for the first quarter of FY27, with standalone net profit rising 159% year-on-year to ₹210.01 lakh. The pharmaceutical company’s consolidated net profit also jumped 105.44% to ₹204.66 lakh, driven primarily by a 68.03% surge in export revenues which reached ₹1,483.42 lakh. While top-line growth was robust, EBITDA margins contracted slightly due to higher finance costs and lower other income, signaling a shift in cost dynamics despite strong operational volumes.

The Board of Directors approved the unaudited financial results on August 10, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results reflect the company’s performance for the quarter ended June 30, 2026. Statutory auditors have provided an unqualified conclusion on the financial statements. The figures are presented under the Indian Accounting Standards (Ind AS) as applicable.

Financial Performance

Lyka Labs’ standalone revenue from operations grew 45.01% to ₹4,230.94 lakh in Q1FY27, compared to ₹2,917.64 lakh in the corresponding period last year. Consolidated revenue expanded 28.11% to ₹4,230.94 lakh from ₹3,302.54 lakh. The growth was broad-based, with domestic sales rising 15.91% to ₹2,652.11 lakh and exports more than doubling in momentum.

Standalone EBITDA increased 21.32% to ₹501.12 lakh, but the margin compressed to 11.84% from 14.16% in Q1FY26. Consolidated EBITDA rose 15.02% to ₹496.57 lakh, with margins slipping to 11.74% from 13.07%. Finance costs increased 18.42% to ₹100.82 lakh (standalone), while other income declined 45.89% to ₹41.85 lakh.

Revenue Breakdown

The revenue mix showed distinct trends between domestic and international markets. Export revenues surged 68.03% to ₹1,483.42 lakh, entirely driven by branded formulations. In contrast, domestic sales grew at a more modest 15.91% to ₹2,652.11 lakh. Within the domestic segment, branded veterinary products nearly doubled, up 97.83% to ₹587.35 lakh, while branded human formulations rose 62.27% to ₹737.67 lakh. However, Principal-to-Principal (P2P) sales declined 13.64% to ₹1,327.09 lakh, indicating a strategic shift or market softness in this segment.

What the Numbers Show

The disproportionate growth in exports versus domestic sales highlights Lyka Labs’ increasing reliance on international markets for top-line expansion. While the 159% jump in net profit is impressive, it is partly aided by base effects from Q1FY26. The contraction in EBITDA margins despite high revenue growth suggests that input costs or pricing pressures in the export segment may be intensifying. Additionally, the decline in P2P sales warrants monitoring, as it could impact volume stability if not offset by continued strength in branded formulations.

Lyka Labs Limited will hold its 47th Annual General Meeting (AGM) on Monday, 10 August 2026, at 12.30 p.m. through Video Conferencing and Other Audio Visual Means (VC/OAVM). Shareholders will vote on the ratification of cost auditor remuneration and approve material related party transactions with IPCA Laboratories Limited for FY 2026-27. The approval for transactions with the promoter, IPCA Laboratories Limited, is sought for an aggregate value not exceeding ₹75,00,00,000.

The company has dispensed with sending physical copies of the notice and Annual Report for the financial year 2025-26, adhering to relevant MCA and SEBI circulars. The Annual Report for FY26 is accessible on the company’s website, www.lykalabs.com . The remote e-voting period commences at 9.00 a.m. on Thursday, 6 August 2026, and concludes at 5.00 p.m. on Sunday, 9 August 2026.

Business to be Transacted

The ordinary business includes the adoption of the audited financial statements for the year ended 31 March 2026 and the appointment of a director in place of Mr. Shashil Philip Mendonsa, who retires by rotation and is eligible for re-appointment.

Special business includes the ratification of remuneration for the Cost Auditor, Messrs Nidhi Subhash Tibrewala & Co., for FY 2025-26 and FY 2026-27. The remuneration is fixed at ₹1,60,000 plus applicable taxes and out-of-pocket expenses for each financial year. The previous cost auditor, Messrs Rajaram Madhav Walavalakar & Co, resigned effective 5 March 2026.

Related Party Transactions

Shareholders will consider an ordinary resolution to approve material related party transactions with IPCA Laboratories Limited, a promoter of the company. The transactions, which include the sale and purchase of raw materials, contract manufacturing, and inter-corporate deposits, are proposed for an aggregate value of ₹75 crore for FY 2026-27. The Audit Committee and Board of Directors have reviewed and recommended the transactions, stating they are in the ordinary course of business and on an arm’s length basis.

Key Dates for AGM Proceedings

Shailendra Kumar Agrawal, Company Secretary and Compliance Officer, is the point of contact for any grievances related to electronic voting.