Alkem Laboratories Ltd

Alkem Laboratories Ltd

₹ 5,498 0.85%
29 May - close price
About

Alkem Laboratories is engaged in pharmaceutical business with global operations. The Company is engaged in the development, manufacture and sale of pharmaceutical and nutraceutical products.(Source : 202003-01 Annual Report Page No:107)

Key Points

Leading Pharmaceutical company[1]
Alkem Laboratories holds a 4.1% market share in the Indian domestic formulation market as of 9M FY25, making it the 5th largest pharmaceutical company in India. The company maintains its #1 position in anti-infectives and has a strong presence in gastrointestinal, pain management, vitamins, minerals, and nutrients segments while also expanding in chronic therapies like neurology, cardiology, and diabetology.

  • Market Cap 65,728 Cr.
  • Current Price 5,498
  • High / Low 5,934 / 4,716
  • Stock P/E 28.5
  • Book Value 1,171
  • Dividend Yield 0.82 %
  • ROCE 19.9 %
  • ROE 17.5 %
  • Face Value 2.00

Pros

  • Company is almost debt free.
  • Company has been maintaining a healthy dividend payout of 26.2%

Cons

  • The company has delivered a poor sales growth of 6.01% over past five years.
  • Tax rate seems low
  • Promoter holding has decreased over last 3 years: -5.96%

* The pros and cons are machine generated. Pros / cons are based on a checklist to highlight important points. Please exercise caution and do your own analysis.

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Quarterly Results

Standalone Figures in Rs. Crores / View Consolidated

Mar 2023 Jun 2023 Sep 2023 Dec 2023 Mar 2024 Jun 2024 Sep 2024 Dec 2024 Mar 2025 Jun 2025 Sep 2025 Dec 2025 Mar 2026
2,238 2,253 2,635 2,009 2,365 2,127 2,355 2,287 2,045 2,372 2,542 2,491 2,258
1,906 1,919 1,980 1,517 1,958 1,566 1,714 1,629 1,748 1,752 1,771 1,802 1,914
Operating Profit 332 334 655 492 408 561 640 658 297 620 771 689 344
OPM % 15% 15% 25% 25% 17% 26% 27% 29% 15% 26% 30% 28% 15%
77 65 62 93 71 144 176 216 163 165 164 93 86
Interest 22 21 19 21 21 21 17 21 17 13 13 16 16
Depreciation 57 58 59 57 69 63 61 68 92 59 59 61 78
Profit before tax 330 319 639 508 389 621 738 785 351 714 864 706 336
Tax % 23% 15% -1% 1% 16% 6% 5% 8% 21% 8% 9% 12% 35%
255 271 647 504 325 583 698 723 277 656 787 622 217
EPS in Rs 21.31 22.70 54.07 42.17 27.18 48.78 58.34 60.48 23.16 54.88 65.80 52.03 18.15
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Profit & Loss

Standalone Figures in Rs. Crores / View Consolidated

Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026
3,072 3,911 4,548 5,281 5,714 6,677 7,220 8,830 9,055 7,964 8,813 9,664
2,722 3,180 3,668 4,308 4,667 5,209 5,268 7,018 7,665 6,290 6,657 7,240
Operating Profit 350 731 880 973 1,048 1,468 1,951 1,812 1,389 1,674 2,156 2,424
OPM % 11% 19% 19% 18% 18% 22% 27% 21% 15% 21% 24% 25%
177 240 115 101 66 96 175 199 254 426 698 509
Interest 73 59 24 32 28 39 43 38 86 80 76 57
Depreciation 60 74 76 108 141 187 199 219 230 239 284 257
Profit before tax 395 839 894 934 944 1,338 1,884 1,753 1,327 1,781 2,495 2,620
Tax % 7% 17% 1% 23% 15% 6% 11% 12% 15% 2% 9% 13%
368 700 883 716 800 1,264 1,685 1,541 1,134 1,747 2,281 2,282
EPS in Rs 30.75 58.56 73.86 59.87 66.90 105.75 140.93 128.90 94.88 146.13 190.77 190.87
Dividend Payout % 13% 22% 20% 22% 24% 24% 21% 26% 53% 27% 24% 28%
Compounded Sales Growth
10 Years: 9%
5 Years: 6%
3 Years: 2%
TTM: 10%
Compounded Profit Growth
10 Years: 13%
5 Years: 7%
3 Years: 26%
TTM: 1%
Stock Price CAGR
10 Years: 16%
5 Years: 13%
3 Years: 18%
1 Year: 4%
Return on Equity
10 Years: 18%
5 Years: 18%
3 Years: 18%
Last Year: 18%

Balance Sheet

Standalone Figures in Rs. Crores / View Consolidated

Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026
Equity Capital 24 24 24 24 24 24 24 24 24 24 24 24
Reserves 3,077 3,576 4,369 4,861 5,441 6,257 7,602 8,720 9,326 10,531 12,298 13,975
1,103 380 368 548 503 1,209 1,384 2,294 1,182 1,005 439 611
657 843 1,137 1,381 1,324 1,616 1,763 2,132 2,200 2,478 2,835 2,651
Total Liabilities 4,861 4,822 5,898 6,814 7,292 9,106 10,773 13,169 12,731 14,038 15,596 17,261
870 875 1,126 1,471 1,606 1,837 1,758 1,882 1,825 1,782 1,591 1,586
CWIP 96 147 218 299 382 314 323 232 229 91 76 86
Investments 1,071 1,158 1,518 1,544 1,696 1,956 2,152 2,529 3,006 2,829 4,407 5,552
2,824 2,644 3,037 3,500 3,609 4,999 6,539 8,526 7,672 9,336 9,521 10,037
Total Assets 4,861 4,822 5,898 6,814 7,292 9,106 10,773 13,169 12,731 14,038 15,596 17,261

Cash Flows

Standalone Figures in Rs. Crores / View Consolidated

Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026
242 630 499 318 745 682 1,324 1,299 1,437 1,687 2,189
-260 311 -362 -273 -313 -995 -1,121 -1,669 197 -866 -1,007
26 -958 -125 -60 -276 173 -209 437 -1,711 -959 -1,037
Net Cash Flow 8 -17 13 -15 156 -141 -5 67 -77 -138 145
Free Cash Flow 111 463 47 -175 392 415 1,230 1,065 1,298 1,586 2,003
CFO/OP 99% 106% 80% 51% 91% 62% 84% 90% 120% 122% 120%

Ratios

Standalone Figures in Rs. Crores / View Consolidated

Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026
Debtor Days 45 45 51 60 62 85 79 73 71 80 65 59
Inventory Days 143 139 175 180 159 156 207 202 164 257 196 212
Days Payable 90 110 139 144 121 116 131 114 103 219 188 192
Cash Conversion Cycle 97 74 86 97 100 125 155 162 133 119 72 79
Working Capital Days -62 12 29 43 51 39 45 13 50 171 128 143
ROCE % 11% 22% 21% 19% 17% 20% 23% 18% 13% 16% 20% 20%

Insights

In beta
Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025
Number of Manufacturing Facilities
Number

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R&D Spend (as % of Revenue)
Percentage
Cumulative ANDA Filings
Number
Number of Brand Families
Number
Number of Stockists
Number
Cumulative ANDA Approvals
Number
Field Force Size (MRs)
Number
Domestic Market Share (IPM)
Percentage
R&D Expenditure (Percentage of Turnover)
%

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Shareholding Pattern

Numbers in percentages

Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
57.16% 56.74% 56.74% 56.74% 56.38% 55.66% 55.66% 55.13% 53.04% 51.20% 51.20% 51.20%
5.63% 6.03% 8.49% 9.11% 8.69% 9.02% 10.14% 9.40% 9.11% 9.47% 9.97% 10.15%
16.34% 17.63% 15.91% 15.63% 18.56% 19.21% 18.01% 19.42% 21.80% 21.93% 21.54% 21.39%
20.85% 19.58% 18.86% 18.51% 16.37% 16.12% 16.19% 16.05% 16.05% 17.39% 17.30% 17.25%
No. of Shareholders 66,79069,44265,18465,83069,62774,74484,03884,32679,74067,19664,53662,835

* The classifications might have changed from Sep'2022 onwards. The new XBRL format added more details from Sep'22 onwards.

Classifications such as banks and foreign portfolio investors were not available earlier. The sudden changes in FII or DII can be because of these changes.

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