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 27.0
  • Book Value 1,156
  • Dividend Yield 0.82 %
  • ROCE 21.2 %
  • ROE 18.9 %
  • Face Value 2.00

Pros

  • Company has been maintaining a healthy dividend payout of 26.3%

Cons

  • The company has delivered a poor sales growth of 10.7% over past five years.
  • 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

Consolidated Figures in Rs. Crores / View Standalone

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
2,903 2,968 3,440 3,324 2,936 3,032 3,415 3,374 3,144 3,371 4,001 3,737 3,603
2,549 2,579 2,693 2,616 2,534 2,423 2,662 2,615 2,752 2,632 3,080 2,909 3,086
Operating Profit 353 389 747 708 402 609 753 759 391 739 921 828 517
OPM % 12% 13% 22% 21% 14% 20% 22% 23% 12% 22% 23% 22% 14%
-34 66 6 42 76 120 134 93 146 149 104 90 65
Interest 29 30 30 25 27 29 28 36 28 30 35 42 54
Depreciation 78 72 74 70 83 80 79 85 112 88 94 95 106
Profit before tax 212 353 648 655 367 619 780 731 396 771 896 781 423
Tax % 68% 18% 5% 8% 17% 11% 10% 12% 18% 13% 13% 16% 40%
68 288 615 604 304 550 702 641 322 668 779 653 251
EPS in Rs 5.94 23.98 51.90 49.76 24.55 45.60 57.60 52.34 25.58 55.56 63.99 53.19 19.78
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Profit & Loss

Consolidated Figures in Rs. Crores / View Standalone

Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026
3,674 4,905 5,688 6,401 7,357 8,344 8,865 10,634 11,599 12,668 12,965 14,712
3,248 4,038 4,687 5,392 6,237 6,868 6,920 8,580 9,977 10,419 10,452 11,707
Operating Profit 427 866 1,001 1,009 1,120 1,476 1,945 2,054 1,622 2,249 2,512 3,005
OPM % 12% 18% 18% 16% 15% 18% 22% 19% 14% 18% 19% 20%
176 227 110 115 82 102 230 146 101 186 494 409
Interest 81 71 45 55 55 65 59 52 107 112 122 161
Depreciation 71 93 101 143 193 253 275 304 310 299 357 382
Profit before tax 451 928 965 926 955 1,260 1,842 1,844 1,305 2,023 2,527 2,871
Tax % 13% 19% 6% 31% 19% 9% 12% 9% 23% 10% 12% 18%
392 752 905 638 774 1,149 1,618 1,680 1,007 1,811 2,215 2,351
EPS in Rs 32.75 62.02 74.61 52.77 63.61 94.26 132.57 137.63 82.31 150.19 181.11 192.51
Dividend Payout % 12% 20% 20% 25% 25% 27% 23% 25% 61% 27% 25% 28%
Compounded Sales Growth
10 Years: 12%
5 Years: 11%
3 Years: 8%
TTM: 13%
Compounded Profit Growth
10 Years: 12%
5 Years: 9%
3 Years: 32%
TTM: 13%
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: 19%
Last Year: 19%

Balance Sheet

Consolidated Figures in Rs. Crores / View Standalone

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 2,975 3,668 4,444 4,840 5,415 6,137 7,353 8,614 9,021 10,288 11,961 13,796
1,306 658 659 998 944 1,616 1,707 2,668 1,397 1,418 1,381 2,047
986 1,184 1,440 1,803 1,824 2,169 2,435 2,763 3,315 3,844 4,325 5,006
Total Liabilities 5,291 5,534 6,568 7,664 8,208 9,946 11,519 14,069 13,757 15,575 17,691 20,873
1,374 1,450 1,797 2,284 2,530 2,908 2,793 2,902 2,683 2,873 2,852 4,015
CWIP 111 172 299 381 493 363 393 339 323 159 548 138
Investments 481 509 553 444 324 261 333 371 622 484 1,846 1,869
3,325 3,403 3,918 4,555 4,861 6,413 8,000 10,457 10,129 12,060 12,445 14,851
Total Assets 5,291 5,534 6,568 7,664 8,208 9,946 11,519 14,069 13,757 15,575 17,691 20,873

Cash Flows

Consolidated Figures in Rs. Crores / View Standalone

Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026
325 726 471 266 780 585 1,265 1,111 1,682 1,948 1,913
-235 205 -294 -351 -318 -737 -995 -1,433 120 -1,011 -1,288
-52 -927 -138 85 -379 79 -272 380 -1,761 -1,145 -811
Net Cash Flow 39 3 40 0 82 -73 -2 58 42 -207 -186
Free Cash Flow 190 472 -163 -411 253 237 1,116 783 1,453 1,761 1,278
CFO/OP 101% 107% 73% 47% 92% 59% 86% 73% 121% 105% 96%

Ratios

Consolidated Figures in Rs. Crores / View Standalone

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 52 42 46 62 62 72 66 65 67 65 69 74
Inventory Days 169 169 198 221 186 198 241 262 194 197 224 239
Days Payable 101 108 122 147 119 104 112 102 87 129 141 161
Cash Conversion Cycle 121 103 122 135 129 167 196 225 174 132 152 152
Working Capital Days -52 13 34 40 55 44 48 31 66 135 124 141
ROCE % 12% 23% 21% 17% 16% 18% 22% 18% 14% 20% 20% 21%

Insights

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

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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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