Akums Drug reports dim Q2 numbers; ₹200-cr investment in Zambia arm lined up

Delhi-based pharmaceutical company Akums Drugs and Pharmaceuticals Limited on Thursday, November 13, reported a 37.6% year-on-year dip in net profit at ₹41 crore for the second quarter ended September 30, 2025. Net profit in Q2FY25 stood at ₹65 crore. 

Revenue went down marginally by 1.5% to ₹1,017.5 crore from ₹1,033 crore in the year-ago period. 

Earnings before interest, tax, depreciation and amortisation (EBITDA) decreased by 22.4% from last year at ₹94 crore, while the EBITDA margin shrunk 250 basis points to 9.2% from 11.7% a year earlier.

The company's board approved an investment of roughly ₹200 crore in its Zambia-based subsidiary, Akums Healthcare (Zambia) Private Limited, 

"The purpose of this investment is to set up a manufacturing facility and to expand its business operations in the Zambian market and meet the growing demand in neighbouring African countries," the management said in a statement. 

On August 22, the company informed the exchanges that it had sealed an agreement with the government of the Republic of Zambia to establish a local manufacturing facility in Zambia and to undertake the manufacturing and supply of medicines in Zambia.

Investments for expansion in the African market will now be made in phases in the form of equity and debt through March 2028. 

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