Unichem Laboratories Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Unichem Laboratories Ltd trades at ₹589, in a downtrend and 65 weeks into that stage. That is +34.2% against its own 200-day average. It sits at 86% of a 52-week range of ₹284 to ₹639. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 12 straight weeks.

Today the stock is in a downtrend — week 65 of stage 4. At ₹589 it trades +34.2% versus its 200-day average and sits at 86% of its 52-week range (₹284–₹639).

Against the market, two honest reads. Cumulative: over the last 10.4 years the stock moved +196% while the NIFTY 500 moved +280% — behind the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 12 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

→ The trend is one thing; the bill is another. Are you paying up for it? Next: the P/E sits at the 70th percentile of its own range.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Unichem Laboratories Ltd trades at 46.2× P/E, at the pricey end of its own range (70th percentile). Its long-run median P/E is 26.1×, measured across 10.4 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 46.2× is at the pricey end of its own range (70th percentile), against a long-run median of 26.1× measured over 10.4 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +83.9% against a −6.2% price move — earnings outran the price, pushing the multiple DOWN its own range.

The price move, decomposed: over 5y, of the +11.8%/yr price move, ~+25.0%/yr came from earnings growth and ~−13.2 pp from the multiple (compressing); over 10y, of the +7.1%/yr price move, ~−0.3%/yr came from earnings growth and ~+7.4 pp from the multiple (expanding). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is full against its own past, so the story rests on the earnings line underneath it, not the multiple.

A quarterly PEG curve, which only the second data source carries, is not drawn on this page: its two data sources disagree by up to 338% on reported income across 14 comparable periods. A figure two sources cannot agree on is not drawn — the gap is a decision, not missing data.

→ Cheap or dear rides on the earnings. Are they actually growing? Next: the fundamental stage — where the business sits in its arc, and how growth has compounded.

Stage: No read Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Unichem Laboratories Ltd reads as no read on its fundamental arc. Under eight usable quarters on the growth trio — not enough history for an honest trajectory read. The read is built from 10 quarters across 2 curves, on partial evidence.

Why it matters: with too little history, an honest page says so instead of guessing a trajectory.

One or more growth curves carry a base-effect spike — a large year-on-year move off a near-zero or loss-making comparable quarter. Those spikes are capped before the classifier reads the trajectory, and shown pinned on the chart, so a single distorted quarter does not drive the stage call.

Return readings here are annual, not quarterly — read as level and direction only; they can confirm the growth curves but never drive the stage on their own.

Fewer than eight usable quarters on the growth curves — this page will not guess a trajectory from a stub of history.

→ The stage names the trajectory. Next: the revenue line that produces it, quarter by quarter.

4-Factor Sector Score

44.4/100 — rank 9 of 10 in Pharma - Others · 76% evidence confidence

Unichem Laboratories Ltd scores 44.4 out of 100 against the 10 companies it is compared with in Pharma - Others, ranking 9. Price leads the evidence: RS versus the benchmark is 34.1%, but earnings trajectory is weak. Wait for revenue and profit confirmation.

The four contributions add to the total exactly: 10.3 + 7.2 + 9.6 + 17.3 = 44.4. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Unichem Laboratories Ltd reported ₹575 Cr of revenue in the Mar 26 quarter, −2.0% year on year. Over 10 years it has compounded at 5.1% a year. The last full year, FY26, came in at ₹2,202 Cr. The last four reported quarters add to ₹2,202 Cr.

Unichem Laboratories Ltd reported ₹575 Cr of revenue in the Mar 26 quarter, −2.0% year on year. Over 10 years it has compounded at 5.1% a year. The last full year, FY26, came in at ₹2,202 Cr. The last four reported quarters add to ₹2,202 Cr.

FY26 revenue came in at ₹2,202 Cr (+4.3% on the year), capping 10 years at 5.1% compound. The latest quarter (Mar 26) printed ₹575 Cr, −2.0% year on year.

Pace check: the last four quarters averaged +4.7% growth against the decade's 5.1% — the current year is running in line with its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +4.4% over the last 4 quarters against +12.6%/yr over the last 8 — rolling over.

→ Revenue slipped — did margins hold as it scaled? Next: 8.0% this quarter (−6.0 pp YoY).

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Unichem Laboratories Ltd's operating margin is 8.0% in the Mar 26 quarter, −6.0 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged −16.0% to 16.0%. The current quarter sits inside that band.

Unichem Laboratories Ltd's operating margin is 8.0% in the Mar 26 quarter, −6.0 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged −16.0% to 16.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 8.0%, −6.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged −16.0%–16.0%.

🚨 Why the margin moved: operating margin went −6.0 pp year on year while gross margin went −1.5 pp — the loss came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

→ Margins slipped — did that reach the bottom line? Next: profit −79.2% in the latest quarter.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Unichem Laboratories Ltd earned ₹11.0 Cr of net profit in the Mar 26 quarter, −79.2% year on year. Full-year FY26 profit was ₹253 Cr. The 10-year compound rate is 8.9%. That is 1.9% of the quarter's revenue. The same quarter a year earlier earned ₹53.0 Cr. 5 of the last 12 reported quarters were loss-making.

Unichem Laboratories Ltd earned ₹11.0 Cr of net profit in the Mar 26 quarter, −79.2% year on year. Full-year FY26 profit was ₹253 Cr. The 10-year compound rate is 8.9%. That is 1.9% of the quarter's revenue. The same quarter a year earlier earned ₹53.0 Cr. 5 of the last 12 reported quarters were loss-making.

Mar 26 profit was ₹11.0 Cr, −79.2% year on year. On the full year, FY26 printed ₹253 Cr (+83.3%), and the 10-year compound rate is 8.9%.

🚨 Why profit moved: revenue contributed −2.0% and the margin −6.0 pp — the quarter was revenue-led despite a thinner margin.

Pace comparison, last four quarters: profit −118.0% vs revenue +4.7%. Profit is growing slower than sales — costs are eating the growth before it reaches the bottom line.

→ Profit rose — but did the cash follow? Next: −62% of the last 3 years' profit arrived as cash.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years −62% of Unichem Laboratories Ltd's reported profit arrived as operating cash — a gap worth watching. In FY26 that was ₹4.0 Cr of operating cash against ₹253 Cr of profit. After ₹107 Cr of capital spending, ₹−103 Cr was left as free cash.

FY26: operating cash of ₹4.0 Cr against reported profit of ₹253 Cr, leaving free cash of ₹−103 Cr after ₹107 Cr of capital spending. Across the last 3 fiscal years the conversion rate is −62% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

🚨 Why conversion sits at −62%: the cash cycle tightened 32 days between FY21 and FY26 — cash that used to wait in the cycle now reaches the bank sooner. Less than 70% of profit arriving as cash is the thing to watch on this page.

Router verdict: no single sink dominates — the next section checks both the working-capital cycle and the capital spending.

→ So follow the cash to where it goes. Next: a 358-day cycle and ₹282 Cr of building.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Unichem Laboratories Ltd's cash conversion cycle runs 358 days in FY26, down from 390 days in FY21. Capital spending ran ₹282 Cr over the last 3 years. At FY26 sales of ₹2,202 Cr each day of that cycle holds about ₹6.0 Cr, so roughly ₹2,160 Cr sits inside the business at any moment.

FY26: debtors at 137 days, inventory at 349 days — roughly 11.5 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 358 days, tighter than FY21's 390.

The full loop: cash goes out to suppliers and production on day 0; stock waits 349 days to sell; customers pay about 137 days after that; and suppliers themselves are paid at 128 days — netting out to the 358-day cycle.

In money terms: at FY26 sales of ₹2,202 Cr, each day of the cycle holds about ₹6.0 Cr — so the 358-day loop keeps roughly ₹2,160 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹282 Cr over the last 3 fiscal years against ₹373 Cr of depreciation — spending at or below maintenance level. Capital work-in-progress stands at ₹100 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: neither the cycle nor the build-out is hoarding the cash — the machine is reasonably clean.

→ Does all this activity actually earn its cost of capital? Next: ROCE is 4%.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Unichem Laboratories Ltd earns a ROCE of 4% in FY26. That is up from a trough of −5% in FY23. A return-on-invested-capital spread against the cost of capital is not computable from what is held here. The wiring behind it is 11.5% net margin on 0.59× asset turns.

FY26 ROCE is 4%, recovered from a FY23 trough of −5% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 11.5% net margin × 0.59× asset turns × 1.36× balance-sheet leverage ≈ 9.2% on equity. Margin does its share; leverage is modest — this is an earned return, not a borrowed one.

The quarterly return curves and the return-on-invested-capital overlay, which only the second data source carries, are not drawn on this page: its two data sources disagree by up to 338% on reported income across 14 comparable periods. A figure two sources cannot agree on is not drawn — the gap is a decision, not missing data.

→ Returns like these — is the balance sheet borrowing to make them? Next: debt-to-equity is 0.18.

Debt Debt-to-equity says how much of the business is funded by borrowings; interest cover says how many times operating profit pays the interest bill. Low and high, respectively, is the safe corner.

Unichem Laboratories Ltd carries ₹500 Cr of borrowings against ₹2,717 Cr of equity in FY26, a debt-to-equity of 0.18. Operating profit covers the interest bill 6×. Over 5 years borrowings went from ₹119 Cr to ₹500 Cr. Capital spending ran ₹282 Cr across the last 3 of those years.

FY26: borrowings of ₹500 Cr against equity of ₹2,717 Cr — a debt-to-equity of 0.18. Operating profit covers the interest bill 6×. Over 5 years borrowings went from ₹119 Cr to ₹500 Cr while capital spending ran ₹282 Cr in just the last 3 — part of the build-out is riding on borrowed money.

The total-debt and debt-to-equity series, which only the second data source carries, are not drawn on this page: its two data sources disagree by up to 338% on reported income across 14 comparable periods. A figure two sources cannot agree on is not drawn — the gap is a decision, not missing data.

→ Who owns this, and are they adding or leaving? Next: Domestic institutions cut 1.1 points over 8 quarters.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Domestic institutions cut 1.1 points of Unichem Laboratories Ltd over 8 quarters, the biggest move on the register. That takes domestic institutions to 10.5% of the company. Promoters moved +0.0 points over the same window, to 70.2%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Domestic institutions: −1.1 points over 8 quarters to 10.5%; Promoters: +0.0 points over 8 quarters to 70.2%; Foreign institutions: +0.0 points over 8 quarters to 0.9%.

🚨 Why the register moved: domestic institutions drove it (−1.1 points) — distribution into the market’s bid.

→ One last check: does the safety math agree? Next: the balance-sheet safety line.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Unichem Laboratories Ltd: the Z-score is withheld — it comes from the second data source this page could not reconcile, and a solvency score is not worth printing on a number two sources dispute. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure.

The safety line in one sentence: the Z-score is withheld — it comes from the second data source this page could not reconcile, and a solvency score is not worth printing on a number two sources dispute.

Frequently asked questions