Poly Medicure Q4 FY26: EBITDA margin drops to 21%

What stood out in the March-quarter results

Poly Medicure reported a mixed set of Q4 FY26 numbers for the quarter ended March 2026, where strong revenue growth was offset by a sharp decline in profitability. Multiple market summaries highlighted margin compression as the key negative, even as the company posted its highest-ever quarterly revenue in one of the reported datasets. The operating margin fell to its weakest level in several quarters, with one description calling it the lowest in eight quarters and another referencing the weakest margin in 13 quarters.

The stock reacted negatively after the results. Poly Medicure declined 3.78% to close at ₹1,538.35, compared with the previous close of ₹1,598.75, as investors focused on the profit decline and margin contraction.

Consolidated snapshot: revenue up, profit down

As per market reports cited in the provided text, Poly Medicure’s consolidated revenue from operations rose 21.25% year-on-year to ₹534.51 crore in Q4 FY26. Despite that jump, consolidated net profit was reported to have fallen sharply. One report put Q4 FY26 consolidated net profit at ₹65.04 crore, down 29.17% year-on-year, while another data table cited ₹66.29 crore, down 27.81% year-on-year.

Profit before tax (PBT) was reported at ₹85.22 crore in Q4 FY26, up 30.63% year-on-year. At the operating level, EBITDA was reported at ₹112.1 crore in Q4 FY26 versus ₹121.9 crore in Q4 FY25 (down 8%). Another summary described EBITDA at ₹110 crore versus ₹119 crore (down 7.4%). While the absolute EBITDA figures vary across the provided sources, all versions point to the same direction of travel: weaker operating profitability.

Margin compression: from ~27% to ~21%

The key concern in the quarter was margins. The EBITDA margin was reported at 21% in Q4 FY26 versus 27.6% in Q4 FY25, a contraction of 667 basis points. Another dataset stated operating margin (excluding other income) fell to 20.65% in Q4 FY26 from 27.10% in Q4 FY25, describing it as the lowest in at least eight quarters.

The provided text also notes PAT margin compression, stating PAT margins fell to 12.17% from 20.83% a year earlier. Separately, a transcript excerpt referenced that standalone EBITDA margins had been around 27% in Q4, while consolidated margins decreased due to one-off expenses in subsidiaries.

A second quarterly table shows a different base

A separate quarterly table titled “Quarterly - Poly Medicure Q4 Results” (all figures in ₹ crore) shows a different set of numbers for the quarter ended Mar 25, including total revenue of ₹440.83 crore and net income of ₹91.83 crore. This table also lists sequential comparisons with Dec 25 and year-on-year comparisons with Mar 24.

The same broader text, however, repeatedly references consolidated Q4 FY26 revenue of about ₹535 crore and consolidated profit of about ₹65-₹66 crore. Taken together, the material indicates the difference is likely due to reporting bases (standalone versus consolidated) as also reflected in the transcript’s reference to standalone margins versus consolidated margins, but the provided inputs do not explicitly label the first table as standalone.

Segment performance: renal and “others” lead growth

The results commentary also broke revenue into segments. Revenue from the infusion therapy segment rose 1.9% year-on-year to ₹256.1 crore. Revenue from the renal segment climbed 21.3% year-on-year to ₹56.2 crore. Revenue from the others segment was reported at ₹222.1 crore, up 55.2% year-on-year.

These segment trends help explain why topline growth remained strong even as margins weakened. A higher share of lower-margin categories, changes in product mix, or cost increases can pressure consolidated margins, but the provided text attributes part of the margin impact to one-off subsidiary expenses rather than product economics.

Market reaction: shares end lower after results

Poly Medicure declined 3.78% to close at ₹1,538.35 after the Q4 FY26 results were in focus. The market summary linked the move to the year-on-year drop in consolidated profit despite a strong increase in revenue from operations, along with the reported margin contraction.

The price move was framed as an immediate response to the mismatch between headline revenue growth and weaker profitability metrics such as EBITDA margin and operating margin.

Key numbers at a glance

Full-year FY26: revenue higher, profit lower

On a full-year basis, the company’s consolidated net profit fell 4.85% to ₹322.13 crore in FY26. Consolidated revenue from operations increased 12.3% to ₹1,875.25 crore in FY26 over FY25.

This combination of higher revenue but lower profit reinforces the quarter’s central theme: cost pressures and margin movement matter as much as topline growth for valuation and investor sentiment.

Dividend update

Another result note in the provided text said Poly Medicure declared a dividend of ₹3.5 per share for FY26, subject to approval. Dividend declarations can support sentiment, but in this case the market focus remained on profitability and margins.

Why the margin print mattered

The reported drop in margins was large enough to dominate the Q4 narrative. The EBITDA margin contraction from 27.6% to 21%, and the operating margin (excluding other income) fall from 27.10% to 20.65%, represent a sharp reset in near-term profitability.

The transcript excerpt also flagged that consolidated margins were hit by one-off subsidiary expenses, while standalone margins were described as around 27% in Q4. For investors, the next key question will be whether the consolidated margin weakness proves temporary (linked to one-offs) or persists due to operating cost and mix pressures. The provided inputs do not include guidance, but they do show management commentary pointing to one-offs and an expectation of a stable trajectory in the infusion business.

Conclusion

Poly Medicure’s Q4 FY26 results delivered strong revenue growth but weaker profitability, with EBITDA and operating margins contracting sharply versus last year. The stock closed 3.78% lower at ₹1,538.35 as the market reacted to the margin compression and reported PAT decline. The next set of updates will be watched for clarity on the extent of one-off subsidiary costs and whether consolidated margins stabilise in subsequent quarters.