Vimta Labs (524394) Q3 25/26 earnings summary

Executive summary

• Q3 FY26 total income was INR 1,005 million, up 10.2% year-over-year, and nine-month total income reached INR 3,043 million, up 20.7% year-over-year, driven by pharmaceutical and food testing services.

• EBITDA margins remained robust at 34.3% for Q3 and 35.1% for nine months, with PAT margins at 17.5% and 18.5% respectively.

• EPS for Q3 FY26 was INR 3.96 and for nine months INR 12.67.

• Operational challenges and restructuring in analytical services led to some revenue deferral to future quarters.

• Unaudited financial results for the quarter and nine months ended December 31, 2025, were reviewed and approved by the Audit Committee and Board on January 28, 2026.

Financial highlights

• Q3 FY26 EBITDA was INR 344 million, PBT INR 234 million, and PAT INR 176 million, all including exceptional items.

• Nine months FY26 EBITDA was INR 1,068 million, PBT INR 749 million, and PAT INR 564 million.

• Cash and cash equivalents at the end of nine months FY26 were INR 666.6 million.

• Q3 FY26 saw a CAPEX cash outflow of INR 248.3 million.

• Bonus shares were issued in June 2025 in a 1:1 ratio, with prior period EPS restated accordingly.

Outlook and guidance

• Management remains confident in near- and long-term growth, citing favorable market conditions in pharma, food, and electronics testing.

• Growth momentum is expected to continue, driven by capacity expansions, operational excellence, and penetration into new markets.

• Q4 is expected to be stronger due to seasonal trends, especially in food testing.

• FY26 revenue target of INR 500 crore may not be fully achieved, but management expects a satisfactory year-end outcome.

• Biologics contract research and development services are on track for commercialization in Q1 FY27, with initial focus on building client trust.