Shares of OneSource Specialty Pharma Ltd. dropped more than 5% on Wednesday, May 13, following disappointing quarterly results. According to reports from CNBC TV18, the company's consolidated net profit for Q4FY26 fell to ₹4.6 crore from ₹98.5 crore in the year-ago period, representing a dramatic 95% decline in profitability. While revenue showed marginal growth to ₹428.2 crore from ₹426 crore year-on-year, the company's operational performance deteriorated significantly.
The company's Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) declined 50% year-on-year to ₹92 crore from ₹182 crore, as reported by CNBC TV18. EBITDA margin contracted sharply to 21.5% from 42.7% in the corresponding quarter last year, indicating significant operational challenges. The company reported a loss before tax of ₹3 crore for the quarter, compared to a profit before tax of ₹84 crore in the year-ago period, highlighting the severity of the operational decline.
For the full financial year FY26, OneSource reported revenue from operations of ₹1,421.6 crore, compared to ₹1,448.5 crore in FY25, according to CNBC TV18. The company reported a consolidated net loss of ₹73.8 crore for FY26 against a profit of ₹179.7 crore in the previous year. Finance costs for the quarter rose significantly to ₹22.4 crore from ₹5.4 crore year-ago, adding to the company's financial pressures.
During the quarter, OneSource received regulatory approval for its proposed acquisition of the oral biologics facility of Steriscience Specialties Pvt. Ltd. from the Competition Commission of India, as reported by CNBC TV18. The board is currently evaluating further steps for proceeding with this acquisition, which could potentially improve the company's strategic positioning despite current operational challenges.
Following the results announcement, shares of the company fell 5.4%, hitting an intraday low of ₹1,731, according to CNBC TV18. As of 1.36 pm on Wednesday, the stock was trading 4.28% down at ₹1,751.80. The stock has erased all the gains it made over the last six months, reflecting investor concerns about the company's deteriorating financial performance and operational challenges.
