Company Overview
Laurus Labs Limited reported strong financial performance for FY 2025-26 with consolidated revenue of ₹6,813 crore, representing 23% year-on-year growth. The company demonstrated significant margin expansion with EBITDA surging 64% to ₹1,826 crore (margins at 26.8%, +670 bps) and Profit After Tax increasing 148% to ₹889 crore.
Business Segment Performance
The CDMO business was the standout performer with 36% growth to ₹2,080 crore, driven by 125+ active projects across human health, animal health, and crop science. The Affordable Medicines segment grew 18% to ₹4,733 crore, comprising API (₹2,746 crore, +13%) and FDF (₹1,987 crore, +26%) segments. ARV revenues reached ₹2,807 crore with 10% growth.
Operational and Financial Highlights
The company maintained strong operational metrics with 15 manufacturing sites (7 FDA approved), 8,126 employees including 1,540+ scientists, and zero critical findings across 132 quality audits. Gross margins improved to 60.4% from 55.4%, while Return on Capital Employed reached 17.7% (+8 percentage points). The company invested ₹1,070 crore in capex (16% of revenue) focused on expanding CDMO capabilities, peptides development, microbial fermentation, and gene therapy/ADC infrastructure.
Strategic Developments and Investments
Laurus made significant strategic investments including ₹9.07 crore capital contribution to associate Kurnool Renewables Private Limited (26% stake) and ₹49 crore to joint venture KRKA Pharma Private Limited (49% stake). The Board approved a Composite Scheme of Arrangement involving demerger of Laurus Synthesis Private Limited's Unit-1 and merger with Sriam Labs, with amalgamation of remaining business with Laurus Labs, filed with NCLT Amaravati Bench for expected completion by September 2026.
ESG and Sustainability Performance
The company published comprehensive Business Responsibility and Sustainability Report (BRSR) as per SEBI requirements, showing improved S&P Global ESG score of 81/100 (+10 points). Key metrics included renewable energy consumption of 117,375 GJ, water withdrawal of 16,63,049 KL, Scope 1 emissions of 3,77,764 metric tonnes CO2e, and waste recovery rate of 71.4%. The company maintained zero high-consequence injuries and strong safety records.
Capital Structure and Dividend
Total equity stood at ₹5,251.94 crore with net debt-to-EBITDA improving to 1.3x from 2.3x. The company declared total dividend of ₹2.00 per share (100%) for FY26 through two interim dividends of ₹0.80 and ₹1.20 per share, with record date of May 8, 2026 for the second interim dividend.
Corporate Governance and AGM
The 21st Annual General Meeting is scheduled for July 2, 2026 to approve financial statements, dividends, and director appointments including re-appointment of Krishna Chaitanya Chava and Soumya Chava, and appointment of new independent directors Dr. Shekhar Chintamani Mande and Mrs. Sutapa Banerjee. The board composition maintains 50% independent directors and 20% women representation.
Regulatory Compliance and Forward Outlook
The financial statements were prepared in accordance with Indian Accounting Standards and filed pursuant to SEBI Listing Regulations. The company maintains forward-looking statements regarding growth strategy, market position, and expansion plans while acknowledging risks and uncertainties in the operating environment.