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Dishman Carbogen Amcis Ltd
NSE: DCAL BSE: 540701 INE385W01011 Healthcare Pharma 🔎 Screen
₹2,905 Cr
Market Cap
29.8
P/E
0.21
PEG
3.2%
ROCE
1.6%
ROE
0.31
D/E
19.5%
OPM
+42.4%
% from 52W High
17
α RS
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📈 Price History
Ratio Health
Excellent
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Shareholding
About

Dishman Carbogen Amcis Ltd is engaged in Contract Research and Manufacturing Services (CRAMS) and manufacture and supply of marketable molecules such as specialty chemicals, vitamins & chemicals and disinfectants with presence in Switzerland, UK, Europe, China and other countries.

✓ Strengths 2
  • Stock is trading at 0.44 times its book value
  • Company has delivered good profit growth of 20.9% CAGR over last 5 years
! Concerns 5
  • Though the company is reporting repeated profits, it is not paying out dividend
  • Company has low interest coverage ratio.
  • The company has delivered a poor sales growth of 8.93% over past five years.
  • Company has a low return on equity of -0.40% over last 3 years.
  • Company might be capitalizing the interest cost
Key Ratios Snapshot
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Mixed: Revenue grew 18.9% YoY, but Q4 PAT collapsed 49.5% and EBITDA margin contracted 220 bps due to CDMO margin erosion and a tax normalisation swing. quarter Investor Presentation One-Pager? Mar 2026
Revenue
₹851.4 Cr
+18.9% YoY (Q4FY25: ₹716.3 Cr)
EBITDA Margin
19.1%
-220 bps YoY (Q4FY25: 21.3%); CDMO margin dropped 520 bps to 18.7%
PAT
₹21.74 Cr
-49.5% YoY (Q4FY25: ₹43.09 Cr); tax swung from -₹15.4 Cr credit to ₹24.4 Cr charge
Net Debt (ex-lease)
CHF 146.8 Mn
Improved from CHF 157.6 Mn in Mar-25; leverage remains elevated
What Went Right
  • Revenue growth accelerated: Q4 revenue at ₹851.4 Cr (up 18.9% YoY) and FY26 revenue at ₹2,931.9 Cr (up 8.1% YoY).
  • Marketable Molecules segment EBITDA margin surged 950 bps YoY to 21.1% in Q4, driven by higher Vitamin D analogue sales and cost improvements.
  • Full-year EBITDA margin expanded 200 bps to 19.3% (FY25: 17.3%), with PAT jumping to ₹97.5 Cr from ₹3.2 Cr.
  • Net debt reduced by ~6.9% (-CHF 10.8 Mn) from March 2025, reflecting moderate deleveraging.
  • CDMO segment continued to gain traction with late Phase III molecules; FY26 CDMO revenue rose 6.5% to ₹2,441.3 Cr.
What to Watch
  • Q4 EBITDA margin fell sharply to 19.1% (down 220 bps YoY) as CDMO segment margins cratered 520 bps to 18.7%, blamed on lower late-stage development revenue mix.
  • PAT halved in Q4 despite higher revenue, due to normalisation of tax — from a large credit in Q4FY25 to a charge of ₹24.4 Cr in Q4FY26.
  • Other expenses spiked 58.8% in Q4 (₹147.3 Cr vs ₹92.8 Cr), largely unexplained, eroding operating leverage.
  • CDMO revenue growth was largely back-ended; full-year CDMO growth of 6.5% is modest versus industry peers, and quarterly volatility suggests lumpy project flow.
  • Balance sheet remains heavy: total debt (₹27.8 Bn) is ~4.9x EBITDA; interest cost (₹174.2 Cr for FY26) consumed ~31% of EBITDA.
Investor Lens
The Q4 print is a reminder that DCAL's earnings quality remains lumpy. Revenue growth was solid, but the 520 bps CDMO margin drop — attributed to mix shift away from late-stage development — raises questions about the sustainability of project pricing. The full-year margin improvement to 19.3% and the dramatic PAT turnaround are positives, but net debt still stands at CHF 147 Mn, and interest coverage is thin. The market will be focused on whether CDMO margins can stabilise above 19% in FY27, and whether the 10 Phase III molecules translate into meaningful commercial revenue. Without explicit guidance, visibility is low; next quarter's CDMO margin trajectory and order book commentary will be critical.
From investor presentation · AI-generated analysis · Not investment advice
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📊 MIXED Revenue up 19% YoY but PAT plunges 49% on higher costs
Revenue
Revenue rose 18.9% YoY to ₹851 Cr, driven by strong operational performance. Growth was consistent on a QoQ basis as well (+18.2%), indicating sustained demand.
Profitability
Net Profit fell 48.8% YoY to ₹22 Cr despite higher revenue, impacted by a sharp rise in interest (₹43 Cr) and depreciation (₹89 Cr). EPS halved to ₹1.39 from ₹2.75, and a high effective tax rate of 53% further dented bottom line.
Margins
Operating Profit Margin contracted to 19% from 21% YoY, reflecting cost pressures, though it improved sequentially from 16% in Dec 2025. Higher input or operating expenses likely squeezed profitability.
Cash Flow
Balance Sheet
Borrowings stood at ₹3,076 Cr against reserves of ₹6,646 Cr, resulting in a Debt/Equity ratio of 0.4. However, ROCE of 2.42% and negative ROE (-0.32%) signal poor capital efficiency and potential over-leverage.
Key Risks
High borrowings and interest burden (₹43 Cr) continue to weigh on profits. The 53% effective tax rate is unusually high and may not be sustainable. Negative ROE indicates the company is destroying shareholder value.
Outlook
While revenue growth is encouraging, margin compression and high fixed costs need to be addressed. Debt reduction and improvement in ROCE/ROE will be critical for long-term stability.
Generated by AI · Mar 2026 results · Not investment advice
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