Aarti Drugs Limited — Investor Meet, 23-05-2026: Analysts/Institutional Investor Meet/Con. Call Updates

Aarti Drugs' Q4 & FY26 earnings call revealed a strong sequential recovery. Q4 revenue hit ₹721.1 Cr (up 20% QoQ), with PAT at ₹55.3 Cr (up 36% QoQ) and EBITDA margins at 13.4%. FY26 was challenging, but pricing trends stabilized by year-end.

Management aims for 8-10% volume growth and positive realization, targeting 13.5-14% EBITDA margins in FY27. The Methylamines plant achieved over 40% utilization in Q4, with over 70% expected within a year, boosting metformin backward integration. Salicylic Acid production is paused for process improvements and derivative scale-up; an antidumping duty application is ongoing. Formulation revenue jumped 41% YoY in Q4, driven by non-oncology exports, expected to maintain its ₹90 Cr run rate. Exports now comprise 38% of consolidated revenue, with regulated markets contributing 73%. The company plans ₹300-400 Cr capex over 2-3 years for brownfield expansions and oncology development, aiming for ₹1,000 Cr in formulation sales within 3-5 years. Management expresses confidence in improving profitability and returns as new facilities ramp up.