Laxmi Dental soars after Q4 FY26 profit jumps 136% YoY
Revenue from operations rose 21.9% YoY and 12% QoQ to Rs 73.95 crore during the quarter. The company said Q4 FY26 marked its highest-ever quarterly revenue.
EBITDA climbed 41.8% YoY and 93.8% sequentially to Rs 13.5 crore in Q4 FY26. EBITDA margin improved to 18.3% from 15.7% in the year-ago quarter and 10.5% in Q3 FY26.
The company said EBITDA during the quarter was impacted by around 74 basis points due to higher US tariffs during the first half of the quarter.
Gross profit margins stood at 70.5% during the quarter, showing sequential improvement despite a higher contribution from lower-margin scanner sales. The company said gross margins for the core dental business excluding scanner sales remained steady at around 76%.
Profit before tax and exceptional items jumped 98.8% YoY to Rs 11.14 crore in Q4 FY26, while reported profit before tax rose 85.3% to Rs 11.14 crore from Rs 6.01 crore in Q4 FY25.
On the cost front, raw material cost surged 187.35% YoY to Rs 11.81 crore in Q4 FY26. Employee benefit expenses rose 9.6% YoY to Rs 26.76 crore in Q4 FY26. Finance costs declined sharply by 72.2% to Rs 0.35 crore from Rs 1.26 crore, while depreciation and amortisation expenses increased marginally by 2.1% to Rs 4.38 crore from Rs 4.29 crore. Other expenses declined 14.2% YoY to Rs 11.87 crore from Rs 13.84 crore.
For FY26, consolidated revenue from operations increased 16.2% YoY to Rs 277.86 crore from Rs 239.11 crore in FY25. EBITDA rose 3.6% to Rs 43.4 crore, while EBITDA margin stood at 15.6% compared with 17.5% in FY25.
FY26 profit before tax and exceptional items rose 39.9% YoY to Rs 34.7 crore. However, reported profit before tax declined 9.1% to Rs 28.93 crore, while PAT after share of profit/loss from joint ventures fell 9.2% to Rs 28.92 crore.
Management said FY26 margins were impacted by multiple one-off factors, including a 72 basis points impact from US tariffs, a one-time expense of Rs 5.78 crore related to labour code changes, and higher ESOP expenses of Rs 5.26 crore compared with Rs 2.19 crore in FY25. FY25 also included an exceptional gain of Rs 7.03 crore from property sale, making the base non-comparable.
The company recorded a tax benefit of Rs 1.3 crore in Q4 FY26 related to the one-time gratuity provision recognised in Q3 FY26 following labour code changes.
Net cash flow used in operating activities stood at Rs 4.99 crore in FY26 compared with net cash generated from operating activities of Rs 43.83 crore in FY25, mainly due to higher working capital deployment.
Commenting on the performance, Rajesh Khakhar, chairperson and whole-time director of Laxmi Dental, said the company delivered its strongest-ever quarterly performance despite geopolitical uncertainties and higher US tariffs. He added that digital penetration in the Indian dental business stood at around 80%.
Managing director and CEO Sameer Merchant said the dental laboratory business reported its highest-ever quarterly performance with 27% YoY growth, supported by recovery in domestic operations and record international revenue. The aligner solutions business reported revenue of Rs 18 crore during the quarter, while Bizdent, the clear aligner business, recorded 11% YoY growth.
Laxmi Dental is an integrated dental products company engaged in manufacturing custom-made crowns and bridges, clear aligners, thermoforming sheets and other dental products with operations across India and exports to over 95 countries.
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