Fredun Pharmaceuticals profit nearly doubles in September quarter

Fredun Pharmaceuticals Limited nearly doubled consolidated profit after tax to Rs 18.57 crore in the quarter ended 30 September 2026, from Rs 9.43 crore a year earlier, as revenue from operations rose to Rs 265.85 crore from Rs 143.59 crore. The board approved the unaudited results on 5 November 2026.

How did Fredun Pharmaceuticals perform in the September quarter?

Fredun Pharmaceuticals reported consolidated profit before tax of Rs 29.65 crore for the September 2026 quarter, compared with Rs 12.71 crore in the September 2025 quarter. Tax expense increased to Rs 11.08 crore from Rs 3.27 crore, resulting in profit after tax of Rs 18.57 crore versus Rs 9.43 crore. The company reported no exceptional or prior-period items in either period.

Revenue from operations increased by Rs 122.27 crore year on year to Rs 265.85 crore. Other operating income was Rs 1.78 crore, compared with Rs 1.71 crore a year earlier, taking total income from operations to Rs 267.64 crore from Rs 145.29 crore.

Fredun Pharmaceuticals also increased profit sequentially from the June 2026 quarter. Profit after tax was Rs 13.13 crore in the quarter ended 30 June 2026, while revenue from operations was Rs 227.76 crore and profit before tax was Rs 20.55 crore, all below the September-quarter figures.

What changed in Fredun Pharmaceuticals’ costs and profit?

Fredun Pharmaceuticals recorded total expenses of Rs 237.98 crore in the September 2026 quarter, up from Rs 132.59 crore in the prior-year quarter. The Rs 105.40 crore increase in expenses was lower than the Rs 122.34 crore rise in total income from operations, while profit before tax increased by Rs 16.95 crore.

Material consumed was Rs 239.81 crore, compared with Rs 99.26 crore a year earlier. The expenses statement also included a negative Rs 47.72 crore change in inventories of finished goods, work-in-progress and stock in trade, compared with a positive Rs 4.41 crore in September 2025; under the reported statement, the negative inventory-change line reduced total expenses.

Finance costs rose to Rs 8.78 crore from Rs 7.73 crore, depreciation and amortisation increased to Rs 3.93 crore from Rs 1.89 crore, and other expenses rose to Rs 18.19 crore from Rs 6.15 crore. Employee benefits expense was Rs 9.11 crore, compared with Rs 8.30 crore in the year-earlier quarter.

For the half year ended 30 September 2026, Fredun Pharmaceuticals reported revenue from operations of Rs 493.61 crore, against Rs 262.99 crore in the corresponding half year of 2025. Half-year profit before tax rose to Rs 50.20 crore from Rs 21.75 crore, while profit after tax increased to Rs 31.71 crore from Rs 16.20 crore.

How did Fredun Pharmaceuticals’ cash flow and balance sheet change?

Fredun Pharmaceuticals generated net operating cash flow of Rs 17.53 crore in the half year ended 30 September 2026, compared with Rs 13.50 crore a year earlier. Net profit after tax for the six months was Rs 31.71 crore, but working-capital changes reduced operating cash generation by Rs 56.54 crore.

Inventory increased by Rs 102.72 crore during the latest half year, versus an increase of Rs 49.45 crore in the corresponding 2025 period. Trade receivables rose by Rs 4.35 crore after declining by Rs 48.95 crore a year earlier, while trade payables increased by Rs 35.05 crore compared with a Rs 38.61 crore increase in the previous period.

Fredun Pharmaceuticals spent Rs 41.86 crore on fixed-asset purchases during the half year, compared with Rs 20.74 crore a year earlier. Net cash used in investing activities was Rs 41.71 crore, and cash and bank balances declined by Rs 9.61 crore to Rs 55.37 crore at 30 September 2026 from Rs 64.98 crore at the start of the period.

Fredun Pharmaceuticals’ total assets increased by Rs 131.49 crore between 31 March 2026 and 30 September 2026. Property, plant and equipment rose to Rs 151.84 crore from Rs 117.63 crore, non-current borrowings increased by Rs 30.62 crore, and current borrowings were broadly unchanged at Rs 165.80 crore.

What share-capital and review details did Fredun Pharmaceuticals disclose?

Fredun Pharmaceuticals allotted 1,10,25,380 fully paid-up bonus equity shares on 16 July 2026 in a ratio of two equity shares for every one equity share held. The company said it retrospectively adjusted basic and diluted earnings per share, or EPS, for all comparative periods under Indian Accounting Standard 33, Earnings per Share. Quarterly and half-yearly EPS are not annualised.

During the half year, Fredun Pharmaceuticals allotted 1,60,533 equity shares after conversion of 1,60,533 warrants and receipt of the applicable consideration. Paid-up equity share capital was Rs 16.90 crore at 30 September 2026, compared with Rs 5.47 crore at 31 March 2026 on the consolidated balance sheet.

Fredun Pharmaceuticals said statutory auditors Rakesh Nisar & Co issued an unmodified limited-review conclusion on the unaudited standalone and consolidated results. The review documentation dated 5 November 2026 said nothing had come to the auditor’s attention to indicate a material misstatement or a failure to make required disclosures; it also stated that a limited review is narrower in scope than an audit.

Conclusion

Fredun Pharmaceuticals delivered higher consolidated September-quarter revenue and profit, with revenue from operations rising by Rs 122.27 crore and profit after tax increasing by Rs 9.14 crore year on year. The first-half figures also show profit after tax of Rs 31.71 crore and operating cash flow of Rs 17.53 crore, alongside Rs 41.86 crore of fixed-asset purchases.

What to watch next is the effect of the 16 July 2026 bonus issue and the conversion of 1,60,533 warrants on weighted-average shares and EPS, which Fredun Pharmaceuticals said are calculated using applicable weighted-average shares and dilutive potential equity shares. The disclosed balance sheet also leaves inventory at Rs 372.53 crore at 30 September 2026 after a Rs 102.72 crore half-year increase.