Akums Drugs shares rally 9% hit 52-week high after Q1 results; stock up 67% YTD

Akums Drugs shares rose sharply on Monday to hit a 52-week high after the company reported strong Q1 FY27 results. Revenue rose 13.9% year-on-year, while profit increased 55%. EBITDA grew 35.4%, supported by strong performance in its CDMO business...

Agencies
Shares of Akums Drugs and Pharmaceuticals were in high demand on Monday after the pharmaceutical company announced its financial results for the first quarter of FY27.

Akums Drugs shares rallied 8.5% to hit a 52-week high of Rs 756.85 apiece on the NSE during intraday deals on Monday, August 10. So far, the counter has yielded a return of 67%, in contrast to the benchmark NSE Nifty50, which has posted a decline of nearly 6% during the same period, according to exchange data.

Although the counter has pared its gains partially, it continues to see solid buying interest from investors. At 01:37 PM on Monday, the counter was seen exchanging hands at Rs 732.60 apiece, up 5.04% from the previous close on the NSE. At the same time, the Nifty50 was quoted at 24,600, up marginally by 29 points, or 0.12%.


At the current market price, the company's market capitalisation stood at Rs 11,530 crore on the NSE as of August 10.

Akums Drugs Q1 results

The pharmaceutical company on Saturday, August 8, reported operating revenue of Rs 1,167 crore in Q1 FY27, registering a 13.9% year-on-year growth compared with Rs 1,024 crore in Q1 FY26. The company's profit after tax (PAT) stood at Rs 101 crore, compared with Rs 65 crore in the corresponding quarter last year. PAT margin also improved to 8.4% from 6.2%, according to the exchange filing submitted by the company.
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Akums Drugs' earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 35.4 per cent year-on-year to Rs 175 crore, with the EBITDA margin improving to 15.0 per cent from 12.6%

The CDMO business remained the key growth driver during the quarter. CDMO revenue increased to Rs 964 crore, compared with Rs 813 crore in Q1 FY26, while CDMO EBITDA grew 36.8 per cent year-on-year to Rs 163 crore from Rs 119 crore in Q1 FY26, supported by continued volume growth and improvement in API prices.

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Management commentary
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Commenting on the results, Sanjeev Jain, Managing Director, said, "FY27 has begun on a strong and encouraging note. The consistent performance of CDMO showcases a healthy demand environment as well as our clients' trust in Akums as the preferred manufacturing partner."

Sandeep Jain, Managing Director, added, "We remain focused on strengthening our CDMO leadership, scaling high-value capabilities, and driving operational excellence. Backed by a strong pipeline and prudent capital allocation, we are well-positioned to deliver sustainable growth in the years ahead."
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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
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