Alkem Q1 FY27: Revenue rises 11% but profit dips on tax impact
India’s Alkem Laboratories reported an 11% year-on-year revenue increase for the first quarter of fiscal 2027, though net profit declined due to higher tax expenses.
Alkem Laboratories Ltd. said on Monday its revenue for the three months ended June 30 rose 11% year-on-year to ₹2,140 crore ($256 million), driven by strong domestic sales in its core pharmaceutical business.
Net profit, however, fell 7.3% to ₹285 crore from ₹307 crore in the same period last year, as the company’s effective tax rate climbed to 28.5% from 22.1% a year earlier. The increase in tax expenses offset gains from higher sales and volume growth.
Operating profit before interest, depreciation and amortization (EBITDA) rose 12% to ₹475 crore, reflecting improved operational efficiency. The company maintained its focus on branded generics, which accounted for 85% of total revenue.
Alkem said it expects the Indian pharmaceutical market to remain resilient amid steady demand for chronic therapies. The company did not revise its full-year guidance, citing ongoing macroeconomic and regulatory monitoring.
Shares of Alkem were down 1.5% in early trade on the National Stock Exchange of India following the results announcement.
Priya covers listed equities and corporate earnings, reading quarterly results and guidance for what they signal about sector health and forward valuations.
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