Concord Biotech (CONCORDBIO) Q4 25/26 earnings summary

Executive summary

• FY 2026 saw revenue and profitability decline due to delayed customer procurement, geopolitical headwinds, supply chain disruptions, and US tariff uncertainty, but strategic investments, product expansion, and regulatory compliance were advanced, including successful global inspections.

• New facilities for injectables and softgels were commercialized, Stellon Biotech was established in the US, and investments in cell and gene therapy via Celliimune Biotech were made.

• Audited standalone and consolidated financial results for FY 2026 were approved with an unmodified audit opinion; a dividend of Rs. 7.55 per share was recommended.

• Appointment of new internal and cost auditors and an additional independent director for a five-year term.

Financial highlights

• FY 2026 revenue declined 12% year-over-year to ₹1,054.9 Cr; Q4 revenue down 24% to ₹326.1 Cr.

• FY 2026 EBITDA was ₹259.2 Cr (down 27%), with a margin of 24.6%; adjusted EBITDA margin (excluding new facility/subsidiary costs) was 38.8%.

• Profit after tax dropped 30% to ₹259.2 Cr; gross profit margin improved to 76.7% for FY 2026.

• Cash and cash equivalents at year-end were ₹12.2 Cr; CapEx for the year was ₹65 Cr.

• Operating cash flow was ₹266.9 Cr, with a CFO to EBITDA conversion of 73%.

Outlook and guidance

• Management expects FY 2027 growth to exceed historical rates (~18%), with strong visibility in the first half and growth starting from Q1.

• Gross margins are expected to remain in line with historical levels, and operating leverage plus energy cost savings (1%-1.5% EBITDA impact) are anticipated to improve margins by up to 200 basis points.

• CapEx guidance for FY 2027 is ₹20-30 Cr, with no major expansions planned unless new projects arise.

• Board recommended a final dividend and set July 24, 2026, as the record date for dividend eligibility.