Board approves unaudited results for September 2026 quarter; auditors' limited review unmodified
Board approved the unaudited results for the quarter and half year ended September 30, 2026; the auditors' limited review conclusion is unmodified.
By ScoutQuest · · 3 min read
| Line item | Latest | Year ago | YoY | Prev qtr | QoQ |
|---|---|---|---|---|---|
| Revenue from operations | 560.5 | 903.3 | −37.9% | 1,038.1 | −46% |
| Total income | 637.9 | 997.3 | −36% | 1,125.5 | −43.3% |
| Profit before tax | (1,010.6) | 326.5 | — | 431.7 | — |
| Profit after tax | (775.4) | 242.2 | — | 322.1 | — |
| Total comprehensive income | (783.2) | 242.2 | — | 322.1 | — |
| Basic EPS | (31.41) | 9.81 | — | 13.05 | — |
- Total income YoY change
- Year ago 997.3 (−36%)
- Period
- 30-Sep-2026 (Unaudited)
Also decided at the meeting
- Appointed Dr. Vikas Gupta as MD & CEO and Mr. Bhagwat Singh Deora as CFO, effective July 29, 2026 (MD appointment for five years approved by shareholders on Sept 24, 2026).
- Adopted Employee Stock Option Scheme 2026 (ESOP 2026) for grant of up to 16,67,000 stock options, approved by shareholders on September 24, 2026.
- On October 8, 2026, Board approved rights issue of partly paid-up equity shares of face value ₹5 each for an amount not exceeding ₹9,000.0 million.
Auditor's review
Conclusion: Unmodified
Notes to the results
- Exceptional items of ₹682.6 million: ₹610.0 million from termination of arrangements with a major customer and ₹72.6 million write-off of import licences invalid after change in control/name.
- Company acquired cardiology brand trademarks from Pfizer for ₹12,900.0 million, capitalised as intangible assets (incl. stamp duty ₹400.0 million).
- Novartis AG transferred its 70.68% stake (1,74,50,680 shares) to WaveRise Investments and ChrysCapital Fund X on July 29, 2026; name changed to Evonile Pharma Limited.
- Other expenses include one-time transition and acquisition expenses of ₹154.2 million.
Board meeting outcome
Evonile Pharma Ltd, formerly Novartis India Ltd, held its Board meeting on Tuesday, November 03, 2026. The Board considered and approved the unaudited financial results for the quarter and half year ended September 30, 2026, and took on record the Limited Review Report dated the same day issued by the statutory auditors, B S R & Co. LLP. The numbers are standalone — the Company has a single operating segment, Pharmaceuticals, and no subsidiary, associate or joint venture entities.
Auditor's conclusion
The auditors carried out a review under SRE 2410, which is narrower in scope than an audit. They state that nothing has come to their attention that causes them to believe that the statement, prepared in accordance with Ind AS 34, has not disclosed the information required by Regulation 33 or that it contains any material misstatement. The conclusion is unmodified.
Quarter and half year in numbers (standalone, ₹ in million)
- Revenue from operations for the quarter ended September 30, 2026: 560.5
- Loss for the period for the quarter: 775.4
- Exceptional items for the quarter and half year: 682.6
The notes explain the exceptional charge as 610.0 arising from the termination, effective September 30, 2026, of an exclusive sales and distribution arrangement with a major customer, together with related inventory purchase arrangements, and 72.5 relating to the unamortised carrying value of import licences that became invalid following the change in control of the Company. Other income for the quarter mainly comprises interest on bank deposits.
Other items the Board and the notes cover
- Cardiology trademarks: an asset purchase agreement with Pfizer Inc. USA and Pfizer Products Inc. USA for trademarks of a cardiology brand registered in India and certain related intellectual property rights; the Company capitalised ₹12,500.0 million as intangible assets, including stamp duty.
- Retina portfolio: an Exclusive Promotion and Distribution Agreement dated September 8, 2026 with Novartis Healthcare Private Limited gives the Company exclusive rights to promote and distribute products from its retina portfolio in India, for an upfront consideration; the Company describes this as its entry into the ophthalmology therapy area.
- Rights issue: the Board on October 8, 2026 approved raising funds through a rights issue to eligible equity shareholders, aggregating to not more than ₹5,000.0 million. SEBI approval for the proposed issue was received on October 30, 2026, and the price, ratio, record date and schedule will be decided by the Board or the Rights Issue Committee.
- ESOP 2026: shareholders approved a scheme covering up to 16,67,000 stock options, exercisable into an equal number of equity shares; no options had been granted under the scheme up to September 30, 2026.
- Name and ownership: the name changed from Novartis India Limited to Evonile Pharma Limited with a fresh certificate of incorporation dated October 1, 2026. The entire promoter shareholding held by Novartis AG was transferred to WaveRise Investments Limited, ChrysCapital Fund X and Two Infinity Partners on July 29, 2026; control passed to them and the Company was reclassified from the promoter category to the public category.
- Leadership: Dr. Vikas Gupta took over as Managing Director and Chief Executive Officer and Mr. Bhagyat Singh Deoras as Chief Financial Officer with effect from July 29, 2026, and shareholders approved the MD and CEO appointment on September 24, 2026.
How a retail reader can look at this
- The quarter ends in a loss, and the exceptional charge of 682.6 is a one-time item linked to a customer arrangement ending and to import licences going invalid, not a recurring operating cost.
- The distribution arrangement that was terminated took effect on September 30, 2026, so that business does not continue beyond this quarter.
- Two portfolio additions — the acquired cardiology trademarks and the exclusive rights over the retina products — are the new lines the Company is putting in place as that older arrangement ends.
- The rights issue is the next concrete event for shareholders; its terms are still to be decided by the Board or the Rights Issue Committee.
- These results are unaudited and have been subject to a limited review, which gives less assurance than a full audit.
Also from Evonile Pharma
Evonile Pharma reports first results after change of control
3 Nov 2026
Evonile Pharma Q2 and H1 FY27 results update: Q2 revenue down 38% YoY after business-model change
3 Nov 2026
BSE in-principle approval received for proposed rights issue of up to ₹9,000.00 million
1 Nov 2026
More numbers
- Loss for the period, Q2 FY27 (₹ in million, printed as (775.4))775.4
- Exceptional items, quarter and half year ended Sep 30, 2026₹682.6 million
- Exceptional item from customer termination and inventory arrangements₹610.0 million
- Exceptional item from invalidated import licences₹72.5 million
- Capitalised cost of cardiology trademarks bought from Pfizer entities₹12,500.0 million
- Rights issue size approved by the Board on October 8, 2026₹5,000.0 million
- Stock options under ESOP 2026 scheme16,67,000
- Total income, latest quarter637.9 (₹ in million)
- Total income, year-ago quarter997.3 (₹ in million)
- Total income, previous quarter1,125.5 (₹ in million)
- Total comprehensive income, latest quarter(783.2) (₹ in million)
- Total comprehensive income, year-ago quarter242.2 (₹ in million)
- Total comprehensive income, previous quarter322.1 (₹ in million)
- Profit after tax, latest quarter(775.4) (₹ in million)
- Profit after tax, year-ago quarter242.2 (₹ in million)
- Profit after tax, previous quarter322.1 (₹ in million)
- Revenue from operations, latest quarter560.5 (₹ in million)
- Revenue from operations, year-ago quarter903.3 (₹ in million)
- Revenue from operations, previous quarter1,038.1 (₹ in million)
- Profit before tax, latest quarter(1,010.6) (₹ in million)
- Profit before tax, year-ago quarter326.5 (₹ in million)
- Profit before tax, previous quarter431.7 (₹ in million)
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