Dr Lal PathLabs reported a decline in profitability for the quarter ended March 31, 2026, even as revenue posted steady growth. Revenue from operations rose 16.60% year-on-year (YoY) to ₹702.70 crore from ₹602.60 crore, while profit attributable to owners declined 15.18% YoY to ₹131.30 crore from ₹154.80 crore.
Total income stood at ₹726.70 crore compared to ₹628.40 crore in the corresponding quarter last year. Total expenses increased to ₹566.60 crore from ₹475.00 crore, driven by higher employee costs, collection centre expenses and other operating outgo.
At the operating level, EBITDA stood at ₹186.80 crore for the quarter, compared to ₹169.00 crore in the year-ago period, registering a growth of 10.53%. However, EBITDA margin declined to 26.59% from 28.05%, indicating a contraction of 146 basis points as expenses grew faster than revenue.
Finance costs rose to ₹6.10 crore from ₹5.00 crore, while depreciation and amortisation expense increased to ₹44.60 crore from ₹36.40 crore.
Profit after tax came in at ₹132.20 crore compared to ₹155.50 crore a year ago. Earnings per share (EPS) stood at ₹7.86 versus ₹9.29 in the corresponding quarter last year.
Dr Lal PathLabs is one of India’s leading diagnostic service providers, offering a wide range of pathology and healthcare testing services across the country.
The Board has recommended a final dividend of ₹4 per equity share (40% of face value ₹10) for the financial year ended March 31, 2026, subject to shareholder approval at the upcoming Annual General Meeting. The record date for determining shareholder eligibility has been fixed as June 26, 2026, and the dividend will be credited within 30 days of approval by shareholders.
The company also announced the acquisition of a 100% stake in Shahbazkers Diagnostic Centre Private Limited, which will become a wholly owned subsidiary following completion of the transaction.
Overall, the company delivered steady revenue growth in the March quarter, but higher operating costs led to margin compression and a decline in net profit.