Morepen Laboratories Limited Earnings Summary — Q1 FY2027
Morepen Laboratories Reports 34% Revenue Growth and 425% Surge in Net Profit in Q1
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 4 consecutive quarters.
- Revenue of ₹570 Cr is 34.1% higher year-on-year.
- Revenue has compounded at 14.2% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit has reached its highest level in 10 quarters.
- Net profit of ₹56 Cr is 424.7% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 35.9% annualised across the period.
- Operating margin stands at 14.5% in Q1 FY2027.
- Operating margin expanded by 880 bps year-on-year.
- Over the last two years operating margin has expanded by 314 bps.
- PBT margin is 13.1%.
- Expense growth of 21.6% remained below revenue growth of 34.1%.
- Operating profit of ₹83 Cr is 241.5% higher year-on-year.
- Operating leverage continues to improve.
- 4 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 82/100 (Strong) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Accelerating | 570 | 485 | 484 | 412 | 425 | 466 | 453 | 438 | 455 | 423 |
| Expenses | Improving | 488 | 460 | 438 | 381 | 401 | 424 | 417 | 394 | 404 | 375 |
| Operating Profit | Volatile | 83 | 24 | 46 | 31 | 24 | 42 | 36 | 44 | 52 | 48 |
| Operating Margin | Volatile | 14.5% | 5.0% | 9.6% | 7.5% | 5.7% | 9.1% | 8.0% | 10.1% | 11.3% | 11.4% |
| Other Income | Volatile | 5 | 8 | 4 | 30 | 4 | 5 | 5 | 5 | 3 | 4 |
| Interest | Volatile | 5 | 4 | 4 | 4 | 4 | 5 | 1 | 1 | 1 | 1 |
| Depreciation | Volatile | 8 | 6 | 10 | 11 | 9 | 16 | 5 | 2 | 6 | 10 |
| Profit Before Tax | Volatile | 75 | 23 | 35 | 46 | 16 | 26 | 35 | 46 | 48 | 42 |
| Tax | Volatile | 18 | 8 | 8 | 5 | 4 | 5 | 9 | 11 | 12 | 13 |
| Net Profit | Volatile | 56 | 16 | 28 | 41 | 11 | 20 | 27 | 35 | 36 | 28 |
| Net Margin | Volatile | 9.9% | 3.3% | 5.7% | 9.9% | 2.5% | 4.4% | 5.9% | 8.0% | 8.0% | 6.7% |
Key Takeaways
- Revenue grew significantly by 34.07% YoY to ₹570.13 Cr, driven by strong performance in the core Pharmaceutical segment.
- Consolidated Net Profit witnessed a massive 425% YoY surge to ₹56.40 Cr, benefiting from operating leverage and lower relative expense growth.
- The Board approved the re-appointment of Mr. Sushil Suri as Chairman & Managing Director for a further three-year term effective October 2026.
- The company has extended the timeline for hiving off its Medical Devices Business into its subsidiary, Morepen Medipath Limited.
- Selling and Distribution expenses saw a sharp rise of 75% YoY, reaching ₹53.31 Cr, indicating aggressive market expansion efforts.
- Standalone results mirror consolidated trends, with standalone net profit rising over 570% YoY to ₹53.99 Cr.
Management Guidance
Management is focused on volume leadership in niche APIs like Montelukast and Loratadine while attempting to transition towards higher margin portfolios and hiving off the medical devices segment for better value unlocking.
Sentiment Shift
Improving
The massive expansion in bottom-line margins and triple-digit profit growth marks a significant recovery from the margin pressures seen in FY26.
Outlook
The outlook remains optimistic given the dominant global market shares in core APIs and the recurring revenue potential from the medical devices (glucometer) segment, although working capital and regulatory friction (GST SCN) remain monitorable risks.
From the Annual Report (Key Quotes)
“Extension of approved timeline for hiving off Medical Devices Business... into Morepen Medipath Limited as a going concern on slump sale basis.”
“The Company is engaged in the Pharmaceutical Business Segment.”
“Subject to the approval of members... re-appointment of Mr. Sushil Suri as the Chairman & Managing Director... for a further period of three (3) years.”
Official Quarterly Documents
Ask AI about this quarter
This summary is AI-generated from Morepen Laboratories Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.