Morepen Laboratories declared a final dividend of ₹0.20 per equity share for the financial year ended March 31, 2026. The Board of Directors approved the payout during its meeting on May 26, 2026. Shareholders on record as of September 19, 2026 will be eligible for the distribution.

The company scheduled its 41st Annual General Meeting (AGM) for Saturday, September 26, 2026 at 1:00 pm. The meeting will be held through Video Conferencing or Other Audio Visual Means (VC/OAVM) in compliance with Ministry of Corporate Affairs and SEBI regulations.

Dividend Details

The final dividend is subject to deduction of tax at source (TDS) as applicable under the Income Tax Act. Payment will be made within 30 days of approval by shareholders at the AGM. The company emphasized that dividends are taxable in the hands of shareholders.

Shareholder Instructions

Shareholders holding shares in physical form must ensure their KYC details are updated to receive dividends electronically. SEBI mandates electronic payment for all security holders, regardless of whether shares are held in demat or physical form. Physical shareholders should submit Form ISR-1 to the Registrar and Transfer Agent (RTA), MS Services Limited, by August 28, 2026.

Demat holders must verify that their bank account details are correctly updated with their Depository Participant (DP). Failure to update KYC may delay dividend credit. The company will send specific instructions via email to registered addresses.

Special Window for Physical Shares

A special window for transfer and dematerialization of physical shares purchased before April 1, 2019 remains open until February 4, 2027. Eligible shareholders can submit original share certificates and transfer deeds. Shares processed under this window will be credited in demat form and subject to a one-year lock-in period from the date of registration.

Morepen Laboratories reported a record consolidated quarterly revenue of ₹570.13 crore in Q1FY27, accompanied by a 394% year-on-year surge in net profit after tax (PAT) to ₹56.40 crore. The Board of Directors, meeting on August 4, 2026, approved these unaudited standalone and consolidated financial results alongside key corporate governance updates, including the re-appointment of Chairman & Managing Director Sushil Suri for another three-year term. The Board also fixed September 19, 2026, as the record date for the final dividend for FY26, pending shareholder approval at the forthcoming Annual General Meeting (AGM). This performance underscores the company’s accelerating transition from commodity manufacturing to high-margin Contract Development and Manufacturing Organization (CDMO) services.

The financial turnaround is anchored by the commercial validation of its CDMO business. Morepen announced that an ₹825 crore CDMO mandate has entered the commercial supply phase, with ₹58 crore in commercial dispatches completed during the quarter. This shift towards long-duration customer programs is replacing transactional volatility with recurring revenues and higher margins. Simultaneously, the core Active Pharmaceutical Ingredient (API) franchise stabilized, posting 31% growth supported by better product mix and operating discipline. Export revenue also accelerated, rising 111% year-on-year due to prioritized customer mix strategies.

Financial Performance Highlights

*Note: EBITDA figures derived from operational highlights provided in management commentary.

Beyond pharmaceuticals, the medical devices segment contributed to diversified growth, expanding by 19%. The company maintains a scalable healthcare platform with an installed base of 20 million blood glucose meters and annual strip sales of 500 million units. This recurring consumables engine provides margin visibility alongside the company’s broader portfolio upgrade toward premium devices and Continuous Glucose Monitoring (CGM) systems.

Corporate Governance and Strategic Moves

In addition to approving the financial results, the Board addressed key corporate governance matters. The Board proposed the re-appointment of Sushil Suri as Chairman & Managing Director for a further three-year term, effective from October 20, 2026, to October 19, 2029. This appointment is subject to shareholder approval at the 41st AGM, scheduled for September 26, 2026. Furthermore, the Board sought approval to extend the timeline for hiving off the Medical Devices Business into Morepen Medipath Limited (formerly Morepen Medtech Limited), a subsidiary, via a slump sale basis. These structural adjustments aim to streamline operations and focus core competencies.

What the Numbers Show

The divergence between revenue growth (+34%) and EBITDA expansion (+207%) indicates substantial structural improvement in cost efficiency rather than mere volume gains. With PAT growing at 394%, the company is successfully leveraging fixed costs across higher-margin CDMO contracts. The stabilization of the API business, previously characterized by volatile earnings, now supports predictable cash flows, while the new CDMO layer offers scalable upside without proportional increases in overheads. Looking ahead, Morepen has outlined a four-phase capacity augmentation roadmap to meet global demand, increasing manufacturing capacity from 535 kiloliters in Q4FY26 to 1,200 KL by FY30.