ZIM Laboratories Limited has announced the completion of a regulatory re-inspection by German and Portuguese authorities at its Kalmeshwar facility. The inspection, held from 4 May to 7 May 2026, is part of the company's EU GMP compliance and remediation process. Management indicated that a positive outcome is expected following the resolution of CAPA, with the draft inspection report anticipated in the coming days. The company remains actively engaged with regulatory authorities to finalize the process.

For the financial year ended 31 March 2026, the company reported a consolidated net profit of ₹58 Mn, a decrease of 52% from ₹122 Mn in the previous year. Revenue from operations for FY26 stood at ₹3,744 Mn, down 1.2% from ₹3,790 Mn in FY25. The performance was impacted by an estimated ₹20-25 crore revenue disruption in the MENA region due to geopolitical conflicts and ongoing EU GMP constraints on regulated market pipelines.

Q4 & FY26 Financial Highlights

In the quarter ended 31 March 2026, net profit fell 23.4% to ₹37 Mn from ₹49 Mn in the same quarter of the previous year. Revenue from operations for Q4FY26 was ₹1,053 Mn, compared to ₹1,087 Mn in Q4FY25. EBITDA for the quarter declined 18.1% to ₹134 Mn, with margins contracting to 12.7% from 15.0% in the prior year. Sequentially, the company noted improvements in operating metrics and business momentum.

Business Mix and Operational Performance

The Pharma business contributed 87% (₹911 Mn) of total revenue in Q4FY26, while Nutra contributed 13% (₹141 Mn). For the full year, Pharma revenue increased to 80% of the mix from 75% in FY25. Export business accounted for 84% of total revenue in FY26 at ₹3,150 Mn. The MENA business declined to 35% due to adverse geopolitical situations, while Asia (Ex. India) grew from 24% to 30%. Revenue from NIP and OTF platforms stood at ₹254 Mn in Q4, representing 22% of operating income.

R&D and Strategic Developments

Total R&D spend for FY26 was ₹311 Mn, representing 8.3% of revenue. This included ₹108 Mn allocated towards Bio-Equivalence (BE) studies and regulatory filings. The company reported 57 total filings and 34 Marketing Authorizations received during the year. Additionally, the Board approved the issuance of 47,64,497 equity shares to Florintree Trinex LLP on a preferential basis, aggregating up to ₹35 crore. Management stated that proceeds are being deployed for capacity expansion, CAPA infrastructure, and a dedicated enzyme NIP suite.

The following table outlines the key consolidated financial metrics for the year and quarter ended 31 March 2026:

zim laboratories has appointed M/s Dhananjay V. Joshi & Associates as the Cost Auditor for the financial year 2026-27. The decision was taken by the Board of Directors at its meeting held on May 19, 2026, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The appointment is pursuant to Section 148 of the Companies Act, 2013. The Board meeting commenced at 12:45 p.m. (IST) and concluded at 4:30 p.m. (IST).

Details of the Appointment

The appointed firm, M/s Dhananjay V. Joshi & Associates, is a firm of Practicing Cost Accountants with a Firm Registration No. of 000030. The firm offers services in the domain of Cost and Management Accounting, Cost Audits, and other consultancy services. Its head office is situated in Pune, India.

The intimation regarding the appointment has been submitted to the stock exchanges for their records.