Financial Performance Highlights

Sandu Pharmaceuticals reported FY 2025-26 revenue of ₹6,993.45 lakhs (compared to ₹6,719.24 lakhs in previous year) with net profit increasing by 23.187% year-over-year to ₹176.62 lakhs. Basic and diluted EPS stood at ₹1.83 (compared to ₹1.60 in previous year). The company recommended a final dividend of ₹1.00 per equity share (10% on paid-up capital) with record date of September 4, 2026 and payment on or before September 25, 2026.

Key financial ratios showed improvement: net profit margin increased to 2.53% (from 2.31%), return on capital employed rose to 6.09% (from 5.18%), and current ratio improved to 2.43 (from 2.18). Inventories decreased significantly to ₹1,047.17 lakhs from ₹1,414.86 lakhs, while cash and bank balances increased to ₹590.77 lakhs from ₹130.39 lakhs.

Corporate Actions and AGM Details

The company announced its 41st Annual General Meeting on September 11, 2026 to be conducted via video conferencing. Agenda items include adoption of audited financial statements, reappointment of Smt Jayshree Sandu as Director, declaration of dividend, appointment of M/s. Dave & Dave as Statutory Auditors for 5 years, ratification of Cost Auditor's remuneration, approval of material related party transactions with Sandu Brothers Private Limited (aggregate value not exceeding ₹100 crore), redesignation of Shri Balram Viswanathan as Chairman and Managing Director, and appointment of Smt Dr Neeti Kapre as Non-Executive Independent Director.

Management Changes

The company underwent significant management changes following the passing of Late Shri Umesh B. Sandu (Managing Director) on June 19, 2026. Shri Balram Viswanathan was redesignated as Chairman & Managing Director effective July 11, 2026 with proposed remuneration of ₹45 lakhs for FY 2026-27, ₹54 lakhs for FY 2027-28, and ₹66 lakhs for FY 2028-29. Dr. Neeti Kapre was appointed as Additional Independent Director effective the same date.

Contingent Liabilities and Disclosures

The company faces ongoing tax and GST disputes totaling ₹368.93 lakhs (₹283 lakhs in income tax demands under appeal at Mumbai High Court and ₹85.93 lakhs in GST demands under appeal at Commissioner of State Tax). Management believes in favorable outcome based on legal advice and has not made any provisions. The company maintained compliance with all SEBI Listing Regulations, with no penalties/strictures imposed by stock exchanges or SEBI during last three years.

Related Party Transactions

Substantial transactions occurred with related party Sandu Brothers Private Limited (78.82% shareholding by promoters/directors) including sales of goods (₹40.78 lakhs), purchases (₹1,648.07 lakhs), and royalty payments (₹127.44 lakhs). The AGM seeks approval for aggregate transactions not exceeding ₹100 crore for FY 2026-27.

Share Capital and Corporate Governance

Paid-up capital remained unchanged at ₹966.10 lakhs (96,60,990 equity shares of ₹10 each) with 91.89% dematerialization. The board comprises 6 members (1 Executive, 5 Non-Executive including 3 Independent Directors) with 5 Board meetings and 4 Audit Committee meetings held during the year. The company maintains whistleblower policy and vigil mechanism with no fraud reported during the financial year.