PharmEasy parent API Holdings narrowed its consolidated net loss by 67% to ₹520 Cr in the fiscal year ended March 2026 (FY26) from ₹1,572 Cr in the previous fiscal, with its operating revenue growing 12.7% YoY to ₹6,618.5 Cr.
The company attributed the improvement to its focus on customer experience, higher-value profitable segments, capacity utilisation, increasing wallet share and leveraging digital capabilities.
In its FY26 annual report, API Holdings said it improved margins by focusing on higher-margin products, particularly its private label brands, and optimising discounts in its B2R business.
Including other income of ₹70.8 Cr, the company’s total revenue stood at ₹6,689.2 Cr for FY26. However, it continued to report a loss before tax of ₹456.1 Cr.
In the first quarter of FY27, API Holdings reported a 10% YoY increase in revenue to ₹1,754 Cr while EBITDA rose to ₹39.3 Cr. Gross margin improved to 21.4% from 19.9% in FY26, and EBITDA margin reached 2.2%. Its B2B business grew 8.2% YoY to ₹1,006 Cr revenue and turned EBITDA-positive at ₹70 lakh.
The company said that PharmEasy’s B2C business posted ₹348 Cr revenue, with EBITDA losses narrowing to ₹17 Cr. Thyrocare reported 24% YoY revenue growth to ₹240 Cr, processed 5.4 Mn patients and conducted 55.2 Mn tests.
Where Did API Holdings Spend In FY26?
API Holdings’ consolidated expenses declined marginally by 0.9% to ₹7,146.7 Cr in FY26 from ₹7,208.6 Cr in the previous fiscal year. Purchases of stock-in-trade remained its largest expense, while lower employee benefit costs contributed to the overall reduction.
Purchases Of Stock-In-Trade: The expense rose 10.9% to ₹5,244.8 Cr from ₹4,729.6 Cr, accounting for about 73% of total expenses. The increase came as the company’s operating revenue expanded during the year.
Employee Benefit Expense: Employee costs fell 47.5% to ₹476.9 Cr from ₹908.4 Cr in FY25. A substantial part of the decline came from lower employee share-based payment expenses, which dropped to ₹62 Cr from ₹482.2 Cr in FY25.
Other Expenses: This category increased 7.5% YoY to ₹656.7 Cr from ₹610.7 Cr. Major components included ₹111.8 Cr of contractual payments to delivery associates, ₹73.4 Cr of sales promotion and marketing, ₹72.6 Cr of manpower charges, and ₹63.4 Cr of legal and professional fees.
API Holdings also reported a tax expense of ₹64.2 Cr, comprising ₹68 Cr in current tax, offset by a deferred tax credit of ₹4.2 Cr, and a prior-period charge of ₹0.4 Cr.
Products Account For 86% Of Revenue
API Holdings generates revenue from the sale of products and services. Product sales contributed ₹5,670 Cr, or 85.7% of revenue, in FY26. These include pharmaceutical, over-the-counter (OTC), surgical, consumable and private label products.
The company sources products from manufacturers and wholesalers and supplies them to local chemists, large pharmacies, doctors, clinics, online retailers on the PharmEasy platform and hospitals.
A significant part of this business flows through its chemist-focused distribution operations, while Aknamed supplies hospitals. The group also generates product revenue through collection kits sold by Thyrocare.
Services contributed ₹941.3 Cr, or 14.2% of revenue, in FY26. This includes diagnostics, teleconsulting, licensing and technology services.
Thyrocare’s diagnostic operations account for a substantial part of this stream, serving franchise partners, consumers, hospitals, diagnostic companies and independent phlebotomists. API Holdings also earns service revenue from diagnostic tests sold through the PharmEasy marketplace, fulfilment services and technology platforms, including Retailio, which connects pharmaceutical wholesalers and pharmacies.
How API Holdings’ Subsidiaries Contribute
Although API Holdings has six direct subsidiaries and 18 step-down subsidiaries, four businesses account for much of its activity across B2B distribution, diagnostics and consumer healthcare.
B2B: Ascent Wellness And Pharma Solutions, Aknamed
Ascent Wellness and Pharma Solutions supplies pharmaceutical products to chemists and institutions, sourcing directly from pharmaceutical companies and enabling retailers to place orders through a platform. Aknamed supplies hospitals with pharmaceutical products, consumables and surgical products sourced from pharmaceutical companies and distributors.
Together, the B2B businesses generated ₹4,082.4 Cr in revenue in FY26, with an EBITDA loss of ₹3.6 Cr. In Q1 FY27, they recorded combined revenue of ₹1,005.6 Cr and EBITDA of ₹70 Lakh.
Diagnostics: Thyrocare Technologies
Thyrocare, API Holdings’ listed diagnostics arm, is a key contributor to the group’s profitability. In FY26, it operated 41 laboratories, offered 1,275 tests, processed about 21 Cr tests and had more than 10,800 franchisees.
Its revenue grew 24% YoY to ₹240 Cr in Q1 FY27.
B2C: PharmEasy
PharmEasy operates the group’s consumer-facing healthcare marketplace. In FY26, the segment generated ₹1,334.5 Cr in revenue and reported an EBITDA loss of ₹44.1 Cr.
In Q1 FY27, it recorded revenue of ₹347.9 Cr, alongside an EBITDA loss of ₹17 Cr.
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