In Week of Mar 28, 2026, Entero Healthcare Solutions Ltd (Pharmacy Distribution) is outperforming Nifty 500 with +41.6% relative strength. Fundamentals: Weak.
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
Based on Q3 FY26 earnings • Updated Mar 28, 2026
What: Full integration of recent MedTech acquisitions expected to contribute significantly to FY27 performance
Impact: +₹500 Cr revenue
“The company is focused on integrating recent MedTech acquisitions, which are expected to contribute significantly to FY27 performance.”
What: NWC days improved to 61 days from 66 days in Q1, improving operating cash flow
“Net Working Capital (NWC) days improved to 61 days on a like-to-like basis in Q3 FY26, down from 66 days in Q1. Operating Cash Flow (OCF) for the quarter was a positive ₹49 crores, putting the company on track to deliver full-year OCF in the range of ₹100 crores.”
What: Outpacing industry growth (26% vs 12%) through organic expansion and acquisitions
Impact: +₹500 Cr revenue
“Growth outpaced the pharmaceutical distribution industry, which grew by 12%, leading to increased market share. Management signaled confidence in maintaining high growth, supported by both organic expansion and recent acquisitions.”
Earnings deceleration risks from management commentary
Trigger: If borrowing costs continue rising at current pace
Impact: -200 bps margin impact
Management view: N/A
Monitor: Interest expenses
Trigger: If gross margin compression continues
Impact: -50 bps margin impact
Management view: One-time GST incentive impact offset by better business mix
Monitor: Gross margin
Key quotes from recent conference calls
“Gross profit came in at rupees 173 crores up 29% year-on-year with our gross margins improving by 30 basis points to 10.1% versus last year. Compared with last quarter, the GP margin was 10 bips lower because of one-time GST incentive amounting to 17 BIPS received from farmer companies being offset by improvement driven by better business mix, margin accretive categories and procurement efficiencies. — CFO”
“Entero Healthcare delivered strong revenue growth in Q3, with year-on-year growth of 26% (28.5% on a like-to-like basis), and organic growth of 17.1%. Growth outpaced the pharmaceutical distribution industry, which grew by 12%, leading to increased market share. — CEO”
“Net Working Capital (NWC) days improved to 61 days on a like-to-like basis in Q3 FY26, down from 66 days in Q1. Operating Cash Flow (OCF) for the quarter was a positive ₹49 crores, putting the company on track to deliver full-year OCF in the range of ₹100 crores. — CFO”
“Management confirmed they are on track to meet FY26 guidance for Operating Cash Flow and EBITDA margins, despite a one-time labor code impact on PAT. — CEO”
Forward-looking targets from management for FY26
Revenue Growth Target
26%
Implied PAT Growth
15%
OPM Guidance
4%
Key Milestones
• Deliver full-year OCF in range of ₹100 crores
• Meet FY26 guidance for EBITDA margins
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | +26% | +26% | Stable |
| PAT (Net Profit) | +17% | +80% | Decelerating |
| OPM | 4.0% | 0 bps | Expanding |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Mar 28, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
Entero Healthcare Solutions Ltd's latest quarterly results (Dec 2025) show
Entero Healthcare Solutions Ltd's profit is growing with an decelerating trend.
Entero Healthcare Solutions Ltd's revenue growth trend is stable.
Entero Healthcare Solutions Ltd's operating margin is expanding.
Entero Healthcare Solutions Ltd's long-term compounding rates
Entero Healthcare Solutions Ltd's earnings growth is decelerating with mixed signals on a sequential basis.
Entero Healthcare Solutions Ltd's trailing twelve month (TTM) performance
Entero Healthcare Solutions Ltd appears significantly overvalued based on our fair value analysis.
Entero Healthcare Solutions Ltd's current PE ratio is 46.3x.
Entero Healthcare Solutions Ltd's current PE is 46.3x.
Entero Healthcare Solutions Ltd's price-to-book ratio is 3.0x.
Entero Healthcare Solutions Ltd is rated Weak with a fundamental score of 32.03/100. This score is calculated from objective financial metrics
Entero Healthcare Solutions Ltd has a debt-to-equity ratio of N/A.
Entero Healthcare Solutions Ltd's return ratios over recent years
Entero Healthcare Solutions Ltd's operating cash flow is negative (FY2025).
Entero Healthcare Solutions Ltd currently does not pay a significant dividend (yield 0.00%).
Entero Healthcare Solutions Ltd's shareholding pattern (Dec 2025)
Entero Healthcare Solutions Ltd's promoter holding has remained stable recently.
Entero Healthcare Solutions Ltd has been outperforming Nifty 500 for 1 consecutive week, indicating early-stage outperformance.
Entero Healthcare Solutions Ltd is a new entry this week — it just started outperforming Nifty 500. New entries are worth monitoring for follow-through.
Entero Healthcare Solutions Ltd has 3 key growth catalysts identified from recent earnings analysis
Entero Healthcare Solutions Ltd has 2 key risks worth monitoring
In Q3 FY26, Entero Healthcare Solutions Ltd's management highlighted
Entero Healthcare Solutions Ltd's management has provided the following forward guidance for FY26
Based on quantitative research signals, here is why Entero Healthcare Solutions Ltd may be worth studying
Entero Healthcare Solutions Ltd investment thesis summary:
Entero Healthcare Solutions Ltd's forward outlook based on current data signals
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
