Evonile Pharma posts Rs 77.54 crore September-quarter loss

Evonile Pharma Limited posted a Rs 77.54 crore loss for the quarter ended September 30, 2026, after Rs 68.26 crore of exceptional charges, reversing a Rs 32.21 crore profit in the June 2026 quarter. Revenue from operations fell to Rs 56.05 crore, while the unaudited results were approved on November 3, 2026.

Why did Evonile Pharma report a quarterly loss?

Evonile Pharma reported a loss because it recorded a Rs 32.80 crore loss before exceptional items and tax, followed by a Rs 68.26 crore exceptional charge in the September 2026 quarter. Total income was Rs 63.79 crore and total expenses were Rs 96.59 crore, leaving a loss before exceptional items despite Rs 56.05 crore of revenue from operations.

The exceptional charge comprised Rs 61 crore arising from the termination and related inventory-purchase arrangements with a major customer, plus Rs 7.26 crore for the unamortised carrying value of import licences. Those licences became invalid following the July 2026 change in control and the subsequent company name change, according to the filing.

A Rs 23.52 crore tax credit reduced the Rs 101.06 crore loss before tax to the Rs 77.54 crore reported loss after tax. Evonile Pharma also recorded a Rs 78 lakh other comprehensive loss, including a Rs 1.04 crore remeasurement loss on defined-benefit plans and a related Rs 26 lakh tax amount, taking total comprehensive loss to Rs 78.32 crore.

How did Evonile Pharma's revenue and costs change?

Evonile Pharma's revenue from operations declined to Rs 56.05 crore in the quarter ended September 30, 2026, from Rs 103.81 crore in the June 2026 quarter and Rs 90.33 crore in the September 2025 quarter. Other income, mainly interest income on bank deposits, was Rs 7.74 crore, compared with Rs 8.74 crore in the preceding quarter and Rs 9.40 crore a year earlier.

Purchases of stock-in-trade rose to Rs 137.58 crore from Rs 76.05 crore in June 2026, while changes in inventories produced a Rs 90.49 crore credit, compared with a Rs 20.38 crore credit in the preceding quarter. The two inventory-related lines therefore produced a net cost of Rs 47.09 crore in September, lower than the Rs 55.67 crore net cost in June.

Employee-benefit expense increased to Rs 14.35 crore from Rs 4.72 crore quarter on quarter. Finance costs rose to Rs 4.83 crore from Rs 6 lakh, depreciation and amortisation increased to Rs 3.89 crore from Rs 42 lakh, and other expenses reached Rs 26.43 crore, including Rs 15.42 crore of one-time transition and acquisition costs.

What do Evonile Pharma's half-year results show?

Evonile Pharma posted a Rs 45.33 crore loss for the half year ended September 30, 2026, compared with a Rs 51.84 crore profit in the half year ended September 30, 2025. Revenue from operations fell to Rs 159.86 crore from Rs 177.88 crore, and total income declined to Rs 176.34 crore from Rs 197.89 crore.

Before exceptional items and tax, the six-month result remained a Rs 10.37 crore profit, compared with Rs 69.87 crore in the corresponding prior-year period. The Rs 68.26 crore exceptional charge moved the half-year position to a Rs 57.89 crore loss before tax, while a net Rs 12.56 crore tax credit reduced the final reported loss to Rs 45.33 crore.

Total expenses increased to Rs 165.97 crore in the half year from Rs 128.02 crore a year earlier. Purchases of stock-in-trade rose to Rs 213.63 crore from Rs 101.47 crore, while the inventory-change credit widened to Rs 110.87 crore from Rs 4.18 crore, making working-stock movements a material factor in the period's expense outcome.

What transactions affected Evonile Pharma during the quarter?

Evonile Pharma executed agreements on September 7, 2026 with Pfizer Inc., USA and Pfizer Products Inc., USA to acquire India-registered cardiology trademarks and certain related intellectual-property rights. It capitalised Rs 1.29 thousand crore as intangible assets, including Rs 40 crore of stamp duty, for that acquisition.

On September 8, 2026, Evonile Pharma entered an exclusive promotion and distribution agreement with Novartis Healthcare Private Limited for two retina-portfolio products in India. The arrangement required Rs 10 crore of upfront consideration and marked the company's entry into ophthalmology, although the filing provides no sales estimate, profitability projection or product launch schedule.

Evonile Pharma also entered a termination agreement with a major customer on August 7, 2026, ending exclusive sales and distribution of Established Medicine Brands from September 30, 2026. Separately, Novartis AG transferred 1,74,50,680 shares, representing 70.68% of equity share capital, to WaveRise Investments Limited, ChrysCapital Fund X and Two Infinity Partners on July 29, 2026.

What changed in Evonile Pharma's balance sheet and cash flows?

Evonile Pharma's intangible-assets balance was Rs 1.30426 thousand crore at September 30, 2026, following the cardiology trademark acquisition, while total equity declined to Rs 771.72 crore from Rs 817.83 crore at March 31, 2026. The Rs 46.11 crore decline in equity matched the half-year comprehensive loss reported for the six-month period.

Borrowings were Rs 283.51 crore of non-current debt and Rs 512.50 crore of current debt at September 30, while the corresponding March 31 balance-sheet lines had no reported borrowings. Cash and cash equivalents increased to Rs 248.24 crore from Rs 52.50 crore, whereas bank balances other than cash and cash equivalents declined to Rs 4.32 crore from Rs 615.20 crore.

Operating activities generated Rs 138.19 crore of cash in the half year ended September 30, 2026, compared with Rs 11.98 crore a year earlier. Investing activities used Rs 736.89 crore, including Rs 1.31324 thousand crore spent on property, plant, equipment and intangible assets, while financing activities generated Rs 794.44 crore, including Rs 800 crore of net long-term borrowings.

Conclusion

Evonile Pharma's September-quarter loss reflected both lower revenue of Rs 56.05 crore and charges associated with the major-customer termination, which accounted for Rs 61 crore of the Rs 68.26 crore exceptional-item total. Although the half year remained profitable before exceptional items and tax at Rs 10.37 crore, the reported six-month outcome was a Rs 45.33 crore loss after exceptional charges and tax credits.

The next disclosed event to watch is the proposed rights issue of partly paid-up equity shares of up to Rs 9 hundred crore. The board approved the proposal on October 8, 2026 and the company received Securities and Exchange Board of India approval on October 30, 2026, but the issue price, rights entitlement ratio, record date and issue schedule remain to be determined by the board or its Rights Issue Committee.