Akums Drugs & Pharma conducted its Q3FY26 earnings conference call on February 16, 2026, revealing strong operational performance driven by robust CDMO growth and progress on international expansion initiatives.

Financial Performance Highlights

The company reported consolidated operating revenue of ₹1,160 crores for Q3FY26, marking a significant 14.8% year-on-year growth and 14% quarter-on-quarter improvement. Operating EBITDA reached ₹147 crores, up 21% year-on-year and 55.4% quarter-on-quarter, with margins improving to 12.7%.

CDMO Business Drives Growth

The CDMO segment emerged as the primary growth driver, generating revenue of ₹916 crores, up 16.3% year-on-year and 13.8% quarter-on-quarter. The segment benefited from double-digit volume growth across existing customers and therapeutic areas, despite continued API pricing pressures.

Segment-wise Performance Analysis

Domestic branded formulation revenue stood at ₹115 crores, growing 4.2% year-on-year with EBITDA of ₹25 crores, up 25.1% year-on-year. International branded formulation showed remarkable recovery with revenue of ₹50 crores, increasing 18% year-on-year and over 120% quarter-on-quarter.

The API business continued facing challenges with revenue of ₹54 crores but negative EBITDA of ₹7 crores, though losses reduced from ₹11 crores in Q3FY25. Trade generics revenue declined 18% year-on-year to ₹25 crores with EBITDA loss of ₹3 crores.

European Expansion Progress

Management highlighted significant progress on European operations. The company received EU GMP accreditation for its oral liquids facility Plant 2 in January 2026, following successful inspection in October 2025. Commercial supplies to Europe are expected to commence in FY28, with an annual revenue potential of EUR 35 million through December 2032.

Plant 1 also received renewal of EU GMP certification, with finished oral formulation supplies to Europe already commenced in the current fiscal.

Zambia Contract Update

The Zambia project remains on track with commercial supplies from Indian plants expected in H1 of calendar year 2026. The contract involves $25 million annual supplies for the first two years, with local facility construction planned to begin soon, taking approximately two years for completion.

Technology and Infrastructure Investments

The company initiated SAP S/4HANA transformation to improve efficiency and automation across operations. Additionally, Darwinbox implementation aims to enhance employee experience and automate HR functions. These technological upgrades support the company's future-ready organization strategy.

Cash Position and Outlook

Akums maintains a strong cash surplus of ₹1,573 crores with operating cash flow of ₹1,109.5 crores and free cash flow of ₹944.5 crores. Management indicated active evaluation of acquisition opportunities that complement existing business operations.

The company expects continued double-digit volume growth in Q4FY26, with management expressing confidence in sustaining current performance levels across key business segments.

Akums drugs & pharma has announced its quarterly earnings conference call to discuss the unaudited financial results for Q3FY26. The pharmaceutical company filed the requisite disclosure with stock exchanges on January 31, 2026, in compliance with regulation 30 of SEBI listing requirements.

Earnings Call Schedule

The earnings call is scheduled for February 16, 2026, at 12:00 PM IST. The conference will be hosted in collaboration with Ambit Capital, with Gaurav Tinani from Institutional Equities serving as the moderator for the session.

Company Representatives

The earnings call will feature senior leadership from Akums Drugs & Pharmaceuticals Limited to discuss the quarterly performance and address analyst queries:

• Mr. Sanjeev Jain - Managing Director
• Mr. Sandeep Jain - Managing Director
• Mr. Sumeet Sood - Chief Financial Officer
• Mr. Sahil Maheshwari - Head Strategy

Conference Access Details

The company has provided multiple access options for participants to join the earnings call. Domestic participants can use the primary access numbers, while international participants have dedicated toll-free numbers for various regions.

Regulatory Compliance

The earnings call announcement was made pursuant to regulation 30 read with Part A of Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Company Secretary & Compliance Officer Dharamvir Malik signed the disclosure document, which has been updated on the company's website at www.akums.in for stakeholder reference.