Akums Drugs & Pharma , India's largest contract development and manufacturing organization (CDMO), has reported strong financial performance for the first quarter, with significant growth in profitability and key operational milestones.

Financial Highlights

• Total income stood at ₹1,051.00 crore
• Adjusted EBITDA reached ₹156.00 crore, reflecting a robust 19.10% year-on-year growth
• EBITDA margins improved to 14.80% from 12.70% in the previous year, a 210 basis points improvement
• The company achieved a cash surplus of ₹1,518.00 crore, bolstered by a €100 million advance payment for its European contract

Operational Achievements

Akums Drugs & Pharma reached a significant milestone by securing 1,000 Drug Controller General of India (DCGI) approvals, with 27 new approvals added during the quarter. This achievement strengthens the company's product portfolio and enhances its competitive edge in the pharmaceutical market.

Segment Performance

The trade generics and API segments continued to face operational losses, though the company reports these losses are gradually reducing.

Strategic Developments

Akums Drugs & Pharma made significant strides in its global expansion strategy:

1. Received its first European dossier approval for Rivaroxaban
2. Filed its first dossier for Dapagliflozin combination in Switzerland
3. On track to commence commercial supplies for the European contract from April 2027

Management Commentary

Mr. Sanjeev Jain, Managing Director, stated, "This date marks just over one year since we got listed. We continue to work towards strengthening the organization with a focus on long-term growth. Our commitment to becoming a global CDMO player remains steadfast."

Mr. Sandeep Jain, Managing Director, added, "We continue to deliver strong performance despite the industry headwinds of decreasing API prices and muted volume growth. With a sustained focus on R&D, we have been able to deliver robust growth. Achieving 1,000 DCGI approvals is a key milestone that sets Akums apart from its peers, allowing us to offer margin-accretive differentiated offerings."

Future Outlook

The management expressed confidence in the company's future prospects, citing a strong pipeline and prudent capital allocation. They remain focused on strengthening Akums Drugs & Pharma's CDMO leadership, scaling high-value capabilities, and driving operational excellence to deliver sustainable and profitable growth in the years ahead.

Akums Drugs & Pharma continues to demonstrate resilience and growth in a challenging market environment, leveraging its strong R&D capabilities and strategic initiatives to maintain its position as a leading player in the Indian pharmaceutical industry.

Akums Drugs , a prominent player in the pharmaceutical sector, has reported a significant turnaround in its financial performance for the fourth quarter of the fiscal year. The company's latest consolidated financial results reveal a remarkable shift from loss to profit, accompanied by a notable increase in revenue.

Profit Turnaround

Akums Drugs posted a net profit of ₹148.00 million in Q4, marking a substantial improvement from the ₹413.00 million loss reported in the same quarter of the previous year. This represents a positive swing of ₹561.00 million, highlighting the company's successful efforts in enhancing its bottom line.

Sequential Growth

The company's performance also showed strong sequential growth. Compared to the previous quarter's profit of ₹65.00 million, the Q4 net profit of ₹148.00 million represents a quarter-on-quarter increase of approximately 127.69%.

Revenue Performance

Akums Drugs reported a robust revenue figure of ₹10.55 billion for Q4. This indicates a year-on-year growth of about 11.76% from the ₹9.44 billion recorded in the same period last year. The revenue growth underscores the company's ability to expand its market presence and potentially increase its product offerings or market share.

Financial Overview

To provide a clearer picture of Akums Drugs' Q4 performance, here's a summary of the key financial metrics:

All figures in ₹ million

The company's transition from a significant loss to a healthy profit, coupled with double-digit revenue growth, suggests a positive trajectory for Akums Drugs. These results may reflect successful cost management strategies, improved operational efficiencies, or favorable market conditions in the pharmaceutical sector.

Investors and industry observers will likely be watching Akums Drugs closely in the coming quarters to see if this positive trend continues and translates into sustained growth and profitability for the company.