Lincoln Pharmaceuticals Limited has received credit rating reaffirmation from CRISIL Limited, with the rating agency maintaining its assessment of the pharmaceutical company's financial strength and market position. The company announced on January 10, 2026, that it received the credit rating confirmation on January 09, 2026, under Regulation 30 of SEBI (LODR) Regulations, 2015.

Credit Rating Details

CRISIL has reaffirmed Lincoln Pharmaceuticals' credit ratings across its bank facilities totaling ₹102.00 crore. The rating structure demonstrates the company's strong creditworthiness across different facility types.

Financial Performance Highlights

The rating reaffirmation reflects Lincoln Pharmaceuticals' robust financial performance and market positioning. CRISIL's analysis incorporated the consolidated business and financial risk profiles of Lincoln Pharmaceuticals Limited and Zullinc Healthcare Ltd, referred to collectively as the Lincoln group.

Key Rating Strengths

CRISIL highlighted several factors supporting the rating reaffirmation. The company benefits from established market position with 1,700 registered products across more than 15 therapeutic segments. Lincoln Pharmaceuticals derives 60-65% of its revenue through exports, demonstrating strong international presence. The promoters bring more than three decades of experience in the pharmaceutical industry, contributing to revenue growth at a compound annual growth rate of 10.00% over five fiscals through 2024.

The financial risk profile remains healthy with consolidated networth of ₹671.00 crore against nil debt as of March 31, 2025. The company maintains strong liquidity with cash accruals expected to exceed ₹90.00 crore and current ratio of 4.33 times. Liquid investments stood at ₹173.10 crore in shares, debentures and mutual funds as of March 31, 2025.

Areas of Concern

CRISIL identified working capital-intensive operations as a key weakness, with gross current assets expected at 170-185 days over the medium term. The company has extended loans and advances of ₹141.00 crore as of March 31, 2025, compared to ₹104.00 crore in the previous year. The pharmaceutical sector's exposure to regulatory risks and intense competition remains a monitoring factor.

Bank Facility Breakdown

The rated facilities are distributed across multiple banking partners, providing diversified funding sources for the company's operations.

Outlook and Rating Sensitivity

CRISIL maintains a stable outlook for Lincoln Pharmaceuticals, expecting the company to continue benefiting from its established market presence and healthy financial risk profile. The rating agency indicated that upward factors could include revenue growth at 20.00% CAGR with steady operating margins and improved geographical diversification. Conversely, operating profitability below 13.00% or significant working capital stretch could pressure the ratings.

Lincoln Pharmaceuticals Limited, a leading healthcare company based in Gujarat, India, has announced strong financial results for the first quarter, along with significant corporate governance decisions.

Financial Performance

The company reported a standalone net profit of Rs. 27.70 crore for Q1, marking a 16.93% year-on-year growth compared to Rs. 23.69 crore in the same quarter of the previous year. Total income for the quarter rose by 7.39% to Rs. 169.34 crore, up from Rs. 157.69 crore in the corresponding period last year.

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) showed a substantial increase of 17.92% year-on-year, reaching Rs. 39.08 crore compared to Rs. 33.14 crore in the same quarter of the previous fiscal year. The company's earnings per share (EPS) for the quarter stood at Rs. 13.82.

Corporate Governance

In a recent board meeting, Lincoln Pharmaceuticals made several key decisions regarding its leadership:

1. Mahendra G. Patel was re-appointed as Managing Director for a five-year term from October 1, 2025, to September 30, 2030.
2. Hashmukh I. Patel was re-appointed as Whole Time Director for the same period.
3. Ashish R. Patel and Munjal M. Patel were both re-appointed as Whole Time Directors for five-year terms from November 14, 2025, to November 13, 2030.

These re-appointments are subject to shareholder approval at the upcoming Annual General Meeting.

Business Expansion and Future Outlook

Lincoln Pharmaceuticals has set ambitious targets for growth:

• The company aims to achieve a revenue of Rs. 1,000 crore within the next three years.
• It is targeting an annual growth rate of 15-18%, driven by strong performance in cardiac, diabetic, dermatology, and ENT segments.
• The company plans to expand its global footprint from the current 60+ countries to 90 countries in the next 2-3 years.

Mahendra Patel, Managing Director, highlighted that the company has started a Bulk Drug Manufacturing Plant, with product approvals received for 10 products and others in process. The company plans to invest Rs. 4 crore in this plant from internal accruals.

Investor Confidence

Foreign Institutional Investors (FIIs) have shown increased confidence in Lincoln Pharmaceuticals, raising their stake from 3.95% to 5.13% over the past year.

Conclusion

Lincoln Pharmaceuticals' strong quarterly results, coupled with its strategic re-appointments and expansion plans, indicate a positive outlook for the company. As it continues to focus on innovation and global expansion, the company appears well-positioned for sustained growth in the pharmaceutical sector.