Hikal Limited has released the transcript of its earnings conference call held on May 27, 2026, to discuss the financial and operational performance for the quarter and financial year ended March 31, 2026. For Q4 FY26, the company reported revenue of ₹519 crore and EBITDA margins improved to 20.3%. For the full fiscal year FY26, revenue stood at ₹1,713 crore with EBITDA margins at 12.9%. The company highlighted progress in strengthening quality systems and compliance frameworks, which are beginning to reflect in business performance and customer engagement. The Pharmaceutical business saw improved demand trends in both APIs and CDMO segments, with capacity utilization increasing. Strategic investments in a high-potency laboratory, expanded R&D infrastructure, and a new pilot plant are expected to enhance its position in complex chemistries. The Crop Protection business showed recovery in Q4, driven by improving customer volumes and normalization after inventory corrections. The Animal Health business continues to strengthen, supported by increasing outsourcing activity and expansion of its CDMO pipeline. Hikal is focusing on improving product mix, diversifying into higher-value segments, and driving operational and ESG excellence. Financially, for FY26, the company reported revenue of ₹1,713 crore and EBITDA of ₹220 crore. Q4 FY26 saw revenue of ₹519 crore with EBITDA of ₹105 crore. An exceptional item of ₹47 crore for impairment of a manufacturing plant at Panoli and ₹85 crore for new labor code and impairment charges for the full year were noted. Capital expenditure for FY26 was ₹149 crore. The debt-to-equity ratio reduced to 0.56. Management discussed challenges faced, including the impact of the FDA warning letter on pharma shipments, which is expected to recover in subsequent quarters. They expressed confidence in resolving the FDA issue within the next few quarters and returning to historical growth levels. The company is also retooling a multipurpose agrochemical facility into a pharmaceutical facility, expected to be operational in FY27.
