Quest Laboratories Limited has confirmed that its promoters did not create any encumbrance on their shares during the financial year ended March 31, 2026. The disclosure, filed under Regulation 31(4) of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, was submitted to the National Stock Exchange of India on April 07, 2026. This confirmation ensures that the shareholding structure of the promoters remains unencumbered, providing clarity to investors regarding the status of promoter holdings for FY26.

The declaration was made on behalf of the promoter and promoter group by Anil Kumar Sabarwal. In the letter addressed to the National Stock Exchange of India and the Audit Committee of Quest Laboratories Limited , Sabarwal explicitly stated that no encumbrance was made directly or indirectly on the shares held by the promoters during the specified period. The filing was signed digitally by Sabarwal on April 07, 2026.

The submission was facilitated by Ayushi Taunk, the Company Secretary & Compliance Officer for Quest Laboratories Limited. The document was dispatched to the exchange to fulfill regulatory compliance requirements. The company's registered office is located in Pithampur, Dhar, Madhya Pradesh.

Key Details of the Disclosure

The following table summarizes the key information regarding the regulatory filing:

The confirmation of unencumbered shares is a mandatory disclosure intended to inform the market and maintain transparency regarding the financial commitments of the promoters. It assures stakeholders that the promoters have not pledged their shares as collateral for loans or other obligations during FY26.

Quest Laboratories Limited reported a net profit of ₹1,501.74 lakh for the financial year ended March 31, 2026, representing a 10.7% increase compared to the previous year's ₹1,356.64 lakh. Revenue from operations for the year stood at ₹11,182.18 lakh, up from ₹10,396.58 lakh in FY25. The Board of Directors approved the audited standalone financial results during its meeting held on May 29, 2026.

The company’s total income for FY26 was ₹11,436.23 lakh, compared to ₹10,820.97 lakh in the prior year. Total expenses increased to ₹9,625.58 lakh from ₹8,952.55 lakh in FY25. Profit before tax for the year was ₹1,810.65 lakh, slightly lower than the ₹1,868.42 lakh recorded in the previous year. The basic and diluted earnings per share for the year were ₹9.16, up from ₹8.28 in the previous year.

Auditor's Observations

The statutory auditors, C.H. Padliya & Co., issued an audit report with an unmodified opinion. However, the report included an emphasis of matter regarding the valuation of inventory. The auditors stated they could not verify the valuation of inventory as of the Balance Sheet date due to insufficient records provided. Management informed the auditors that physical verification was conducted during the year without noticing major discrepancies.

Financial Position

The company’s total assets as of March 31, 2026, stood at ₹11,115.04 lakh, a decrease from ₹12,164.87 lakh in the previous year. Equity share capital remained unchanged at ₹1,638.72 lakh, while other equity increased to ₹8,043.47 lakh from ₹6,541.73 lakh. Borrowings, both non-current and current, decreased significantly to ₹788.53 lakh from ₹3,025.78 lakh in the prior year.

Cash Flow and Investments

Net cash flow from operating activities was negative at ₹1,071.61 lakh, compared to a negative outflow of ₹2,332.54 lakh in FY25. The company generated a positive net cash flow from investing activities of ₹3,493.67 lakh, primarily driven by the sale of investments. Cash and cash equivalents at the end of the year stood at ₹10.48 lakh.

Key Financial Metrics for FY26