Concall transcriptAug 2026
Aug 2026 · Transcript
Source: Bse
IPCA Laboratories Limited (IPCALAB)
Large CapPharma stocks · Large cap · NSE
Ipca Laboratories Limited is an Indian pharmaceutical company engaged in domestic and export formulations, and API manufacturing. It operates in branded, generic, and institutional segments, with a significant presence in India, US, Europe, and other international markets. The company also has a subsidiary, Unichem, and an associate, Lyka Labs.
Data qualityFresh enough for analysisQuote updated 19 Oct, 03:31 pm ISTDetails
Quote19 Oct, 03:31 pm IST
Base fundamentals14 Oct 2026 · screener
Latest result13 Aug, 01:40 pm IST
Score20 Oct, 04:30 am IST · v4.3-runtime-valuation
Tags02 May 2026
Coverage14/14 · 100%
Valuation2026-07-20 · Rf 6.8% · Pharma P/E 33.5 (n=187)
Technical timing lens
Trend score and candlestick chart
68BullishSMA20 -1.3% / mo · MACD − · sector +3.8pp vs Nifty 500 (3M)
Stock trend: 49
Sector RS: 98
Sector 3M: -1.8% vs Nifty 500 -5.6%
Pharma FPI tailwindFlow only
FPI equity flow was positive in both fortnights, but the sector index is below its 100-session average. View sector evidence
Technical chart
IPCALABD candles · FIT view+16.6%Latest close ₹1814.50 on 2026-10-19
Bar
-1.0%
RSI
31
MACD hist
-15.46
52W pos
72%
2026-10-19O ₹1832.60H ₹1853.90L ₹1797.00C ₹1814.50Vol 1.7L sh
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal
Market context
Relative performance and chart statistics
Adjusted completed-session prices, rebased to 100
IPCALABNifty PharmaNifty 500
- IPCALAB
- -1.3%
- Nifty 500
- -5.6%
- Nifty Pharma
- -1.5%
- Vs Nifty 500
- +4.3 pp
Chart stats
19 Oct 2026- From 52W high
- -11.0%
- 52W range position
- 72%
- ATR (14)
- 3.2%
- Volume vs 20D
- 0.71x
- Avg traded value
- ₹42 Cr
- 20D price channel
- ₹1,797 - ₹2,037
₹2,038
₹1,251.6 - ₹2,038
₹58.3
Latest completed session
20-session average
21.4% annualized volatility
Research snapshot
What the evidence says now
Mixed fundamentals, while price trend supports entry. This looks more like momentum/speculation than a clean fundamental investment setup.
Weak U-Score but strong trend: momentum may be ahead of fundamentals.
Suggested next step
Momentum only
Trend is strong but fundamentals do not support a clean investment thesis.
U-Score
Legacy · WATCHLIST45
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
Latest result
Excellent100
Revenue +20.7% · PAT +82.0% YoY
Technical
Bullish68
Price trend and sector-relative-strength timing.
Valuation
Legacy model-336.0%
Legacy margin-of-safety estimate; the revised evidence label remains in shadow validation.
Trust
Limited evidence81
Financial-only signal; management claim evidence is not sufficient yet.
Financials
Fundamentals, quarterly history, margins, returns and balance-sheet evidence
Financials
Fundamentals, quarterly history, margins, returns and balance-sheet evidence
Latest result
Quarter ended 30 Jun 2026
Excellent · 100/100Rev +21% YoY · PAT +82% YoY · margin expansion · +17% QoQ · operating leverage
Filed 13 Aug 2026
Open results browser →| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹2,788 Cr | +20.7% | +16.8% |
| EBITDA | ₹670 Cr | +61.1% | +38.4% |
| Operating margin | 24.0% | +600 bps | +400 bps |
| PAT | ₹424 Cr | +82.0% | +38.1% |
| PAT margin | 15.2% | +512 bps | +235 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Fundamentals
Valuation
- P/E
- 35.40
- P/B
- 6.02
- EV/EBITDA
- 18.55
- Market Cap
- 48544.00Cr
Profitability
- ROE
- 15.70%
- ROCE
- 17.00%
- ROA
- 11.13%
- Dividend Y
- 0.31%
Growth (CAGR)
- Revenue 5Y
- 12.00%
- EPS 5Y
- 1.00%
- Revenue 3Y
- 16.00%
- EPS 3Y
- 37.00%
Balance Sheet
- Debt/Equity
- 0.10
- Interest Coverage
- 32.35×
- Altman Z
- 8.56
- Book Value
- 318.00
Cash Flow
- FCF Yield
- 1.84%
- FCF Positive Y
- 10/5
- OCF
- 1142.00 Cr
- EPS TTM
- 51.63
Shareholding
- Promoter Hold
- 44.72%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 84%
Financial History
Updated 20/10/2026
Revenue
₹ CrLatest: 9,599+7.9% vs prev
Net Profit
₹ CrLatest: 1,184+50.8% vs prev
Return on Equity
%Latest: 14.7+29.9% vs prev
Technicals
Trend interpretation, Stage 2, relative strength, volume and indicator evidence
Technicals
Trend interpretation, Stage 2, relative strength, volume and indicator evidence
Daily technical trend read
Bearish setupTrend is weak — long-term uptrend intact. RSI 31.
- Price above SMA200 (long-term uptrend) but mid-term MAs not aligned.
- SMA20 falling (~1.3% over last month) — short-term momentum negative.
- RSI(14) at 31 — falling, no extreme reading.
- MACD below signal, histogram expanding negatively — bearish momentum building.
- 11% off 52W high · 45% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Nifty 500 leadership
Relative Strength & Trend Stage
90
RS percentile
Stage 2 UptrendEstablished S2
1M return
-9.7%
3M return
-1.3%
6M return
+21.4%
1Y return
+41.1%
RS 1D
0
RS 20D
+1
Sector rank
#1
Industry rank
#3
Stage evidence
- Price is 5.7% above the 30-week proxy.
- The 50-DMA is above the 30-week proxy and its slope is rising +3.3%.
50-DMA
price below
200-DMA
price above
S2 entered
03 Jun 2026
S2 age
97 trading sessions
Sector
leading
Industry
leading
Relative-strength line vs Nifty 500 (base 100)
262 observations
19 Oct 2026Value 136.36+0.04%
RS vs Nifty 500136
Valuation & peers
U-Score 45 · legacy U-Score band WATCHLIST · valuation evidence and comparable companies
Valuation & peers
U-Score 45 · legacy U-Score band WATCHLIST · valuation evidence and comparable companies
Financial Turnaround
Fundamental score breakdown
U band · WATCHLISTValuation1/30
Growth10/25
Quality13/20
Balance Sheet9/15
Cash Flow7/10
Piotroski
8/9 (+5)
Penalties
0
Raw sum
45
Why this score?
Top U-Score contributors and drags from the latest stored fundamentals.
45/100 · legacy band WATCHLIST
Positive drivers
- Piotroski is strong at 8/9.
- Cash flow contributes 7/10 to the score.
- Quality contributes 13/20 to the score.
Main drags
- Fair-value margin of safety is negative at -336.0%.
- Valuation is weaker at 1/30; verify the latest quarterly trend.
- Growth is weaker at 10/25; verify the latest quarterly trend.
Sector valuation model
Healthcare valuation: PE/EVEBITDA with regulatory and pipeline checks
Healthcare valuation needs both earnings quality and regulatory/pipeline context.
Primary lens
PE and EV/EBITDA adjusted for product mix and R&D/pipeline quality.
Secondary checks
USFDA risk, launch pipeline, margin trend, domestic vs export mix.
Main risk check
Regulatory setbacks or one-off product cycles can distort valuation.
PE
35.4
PB
6.0
EV/EBITDA
18.6
ROE
15.7%
ROCE
17.0%
FCF Yield
1.8%
Debt/Equity
0.1
MoS
-336.0%
Score movement
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Stored run: 20 Oct 2026
v4.3-runtime-valuation
Final score
45
Previous: 45
Legacy U-Score band
WATCHLIST
Previous: WATCHLIST
Margin of safety
-336.0%
Previous: -336.0%
Score history
12 stored score snapshots. Latest stored move: +0 points.
20 Oct 2026
v4.3-runtime-valuation
43
43
43
44
43
45
45
45
45
45
45
45
Factor attribution
No pillar movement versus the latest stored run. Historical score trend will appear after snapshot storage is enabled.
Modelled fair value
Graham Number
₹607.79
-198.5% MoS
Growth-justified P/E
8.1
Growth-justified Value
₹416.14
-336.0% MoS
PEG
22.12
Comparable companies
Peers
Business-comparable peers in Pharma — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.
Ticker
Name
Why peer
Score
PE
ROE
MoS
Verdict
GLAXO
Large
GlaxoSmithKline Pharmaceuticals Limited
Pharmaceuticals
match 166
60
40.9
45.6%
+12%
UNDERVALUED
AJANTPHARM
Large
Ajanta Pharma Limited
Pharmaceuticals
match 165
58
36.7
27.1%
+19%
FAIR VALUE
EMCURE
Large
Emcure Pharmaceuticals Limited
Pharmaceuticals
match 164
58
33.5
20.1%
+26%
FAIR VALUE
PFIZER
Large
Pfizer Limited
Pharmaceuticals
match 161
33
117.0
19.8%
-738%
WATCHLIST
ERIS
Large
Eris Lifesciences Limited
Pharmaceuticals
match 160
55
24.5
18.7%
+47%
FAIR VALUE
Business, management & trust
Growth engines, risks, management commitments and evidence-backed delivery
Business, management & trust
Growth engines, risks, management commitments and evidence-backed delivery
Business and thesis
Where growth can come from, and what can break the case
Thesis intactReviewed 2026-06-12T16:38:32.365Z
Management commentary snapshot
Ipca reports solid FY26 consolidated revenue growth of 8% to INR 9,646 crores, with EBITDA margins improving to 20.72%. Domestic formulations grew 10%, export formulations 9%, and US business 14%.
Management delivered on FY26 consolidated EBITDA margin guidelines, driven by product mix changes and strong domestic/export growth. While raw material and freight costs are rising, management expects to offset these, guiding for 12-13% consolidated growth and improved margins in FY27. Unichem's turnaround is key.
Growth engines
Domestic Formulations
Domestic business is continuously beating the market in both chronic and acute segments, with a policy to take 5-6% price rises annually.
US Generics Pipeline
Ipca expects to commercialize 6-8 products in the US in FY27, while Unichem plans to launch at least 5-6 products in the current year.
ROW Generics Expansion
Generic business in Europe, Australia, and New Zealand has performed well, contributing to overall growth and improved margins.
Cardiac Business
The proportion of cardiac business has moved up, contributing to overall margin improvement on a standalone basis.
Capacity and execution
US Formulation Facility
A formulation facility at Pisgah Labs (US subsidiary) is under construction and expected to be ready for commissioning in Q4 FY27.
Tailwinds
Product Mix Improvement
Overall margin improvement is largely due to product mix changes, with domestic, ROW, cardiac, and generic businesses doing well.
API Cost Pass-Through
For API sales, the company is passing on the entire cost increase to buyers, mitigating margin impact.
Unichem Ireland Facility Closure
Closure of the Ireland facility and shifting production to India will stop EUR 4-5 million in overhead costs, improving Unichem's margins.
Headwinds
Raw Material Price Increases
Overall material costs are expected to rise by 10-12% due to increases in packaging materials, solvents, and certain APIs like paracetamol and metformin.
Elevated Freight Costs
Freight costs increased by almost 25% in Q4 FY26 and this trend is continuing due to geopolitical issues (Iran-US conflict, Strait of Hormuz), impacting profitability.
Unichem Margin Decline
Unichem's EBITDA margins declined from 12% to 8% in FY26 due to loss of market share in certain high-volume US businesses and additional costs.
Institutional Business Decline
Institutional business declined 24% in FY26 due to funding constraints faced by institutions.
Risk radar
Raw Material Price Volatility
Current 10-12% increase in material costs, if sustained or further elevated, could pressure margins despite efforts to pass on costs.
Geopolitical Impact on Logistics
Ongoing geopolitical conflicts are causing elevated freight costs and cargo availability issues, potentially impacting supply chain efficiency and costs.
Competition in US Generics
Unichem lost market share in certain high-volume US businesses, indicating competitive pressures in the generic market.
Institutional Funding Constraints
The decline in institutional business due to funding constraints suggests a vulnerability to public health spending policies and budgets.
Management accountability
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Analyst reading lens
Compare YOY
The company primarily reports full-year (FY26 vs FY25) and quarterly (Q4 FY26 vs Q4 FY25) comparisons, which are more indicative of underlying business trends and performance in the pharmaceutical sector, which can have seasonal variations.
Sector KPIs management disclosed
Domestic Formulations Growth
Domestic formulation business grew 12% in Q4 FY26 (INR 853 crores vs INR 764 crores in Q4 FY25) and 10% for FY26 (INR 3,817 crores vs INR 3,455 crores in FY25).
US Business Growth (Consolidated)
Consolidated US business grew 10% in Q4 FY26 (INR 428 crores vs INR 388 crores in Q4 FY25) and 14% for FY26 (INR 1,567 crores vs INR 1,379 crores in FY25).
Export Formulations Growth
Export formulation business grew 9% for FY26 to INR 2,083 crores from INR 1,919 crores in FY25. Promotional branded export grew 14% for FY26.
API Business Growth
API business grew 10% for FY26 to INR 1,396 crores from INR 1,266 crores in FY25.
Management forward view
FY27 Consolidated Growth Guidance
Management expects overall company consolidated growth of around 12-13% for FY27, including Unichem.
FY27 Consolidated EBITDA Margin Guidance
Consolidated EBITDA margin is projected to improve to around 22-22.3% in FY27 from 20.72% in FY26.
FY27 Unichem Margin Outlook
Unichem's margin is expected to improve to around 12-13% in FY27, driven by US business growth and cost savings from the Ireland facility closure.
Domestic Price Increase Strategy
The company plans to take a slightly higher price rise of 6-7% in the domestic market in FY27 to offset input cost increases.
Thesis monitor
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Consolidated EBITDA Margin | 20.72% (FY26) | Achievement of FY27 guidance of 22-22.3%. |
| Unichem EBITDA Margin | 8% (FY26) | Improvement towards the FY27 guidance of 12-13%. |
| Raw Material Cost Trends | 10-12% increase | Stabilization or decline in key raw material prices and effective pass-through. |
| Freight Costs | 25% increase in Q4 FY26 | Moderation of freight costs and impact on overall profitability. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trust Score
81Limited evidence · low confidenceTrust Lite
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Limited evidence: Claim history is still being built. It ranks around the 93rd percentile of the scored universe and 90th percentile within Pharma. No major sub-score weakness stands out.
This is a financial-behaviour screen, not a claim-tested management reliability verdict.
Computed 20 Oct 2026
management-trust-v1
70 docs text-extracted · 54 concalls text-extracted
Score band
Limited evidence
Financial behaviour is scored, but management claims do not yet have enough outcome checks.
Relative rank
93rd percentile
overall median 67 · Pharma: 90th pctile, median 70 · Large: 82nd pctile, median 73
Evidence depth
Financial-only
70 documents have extracted text, but claim history is not strong enough yet.
Claim delivery
Outcome history still building
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Limited evidence · low confidenceWhat it measures
Reliability of management and financial delivery, using financial behaviour only.
Confidence
Treat this as an early read until more concalls and outcomes are matched.
Investor use
Can support position sizing if valuation and trend also agree.
Read Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Promoter
78
strong · holding, pledge, alignment
Cash flow
77
strong · profit to cash conversion
Balance sheet
96
strong · leverage and solvency
Discipline
68
acceptable · capital discipline
Results
87
strong · quarterly consistency
Trust positives
- ▸Promoter pledge is zero.
- ▸FCF yield is positive at 1.8%.
- ▸10 years of positive FCF.
- ▸Debt/equity is 0.10.
Trust risks
- ▸No major Trust Lite risk flags.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Continue researching IPCA Laboratories Limited
Important announcements & filings
Latest exchange and company disclosures found within the past two years.
Open source ↗
AnnouncementAug 2026
Aug 2026 · Announcement under Regulation 30 (LODR)-Change in Management 29 May - Ipca announced FY26 audited results, Rs 6/share dividend, and Prashant Godha reappointed for five years from Aug 16, 2026.
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 14 Aug
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 15 Jul
Source: Bse
Credit rating
Announcement under Regulation 30 (LODR)-Credit Rating 7 Jul - India Ratings affirmed Ipca’s IND AA+/Stable bank facilities and IND A1+ commercial paper ratings.
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 2 Jul
Source: Bse
Concall transcriptJun 2026
Jun 2026 · Transcript
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Press Release / Media Release 12 Jun - Ipca signs global licensing deal with BRL for subcutaneous biologics delivery platform and monoclonal antibodies.
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 9 Jun
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Newspaper Publication 1 Jun
Source: Bse
Announcement
Announcement under Regulation 30 (LODR)-Dividend Updates 29 May - Ipca Labs approved FY26 audited results, recommended Rs6 dividend, and reappointed Prashant Godha for five years.
Source: Bse
AnnouncementApr 2026
Apr 2026 · Announcement under Regulation 30 (LODR)-Scheme of Arrangement 26 Jun - Ipca board approved amalgamation of Krebs Biochemicals; appointed date 1 Apr 2026, 7 shares per 200, no cash.
Source: Bse
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.