API Holdings, the parent of healthtech startup PharmEasy, narrowed its consolidated net loss by 67% to Rs 520 crore in the year ended March 2026 from Rs 1,572 crore in the previous fiscal year, according to its annual report.
In FY26, the company shifted towards higher-margin businesses, including diagnostics, hospital management systems, pathology laboratories and generic pharmaceuticals, which delivered better EBITDA margins.
Revenue from operations rose 13% to Rs 6,619 crore, compared with Rs 5,872 crore in FY25, as the company entered the quick commerce segment, which brought in high-margin customers.
Additionally, the company attributed the growth to fuller utilisation of its existing warehouses, sales infrastructure, and marketing spend.
API Holdings has two income streams: products and services.
In FY26, the company earned Rs 5,670 crore by selling pharmaceutical, over-the-counter (OTC), surgical, consumable and private label products.
Additionally, it raked in Rs 941 crore from diagnostics, teleconsulting, licensing, fulfilment and technology services.
Inside PharmEasy parent’s business model
API Holdings operates in the pharmacy distribution and diagnostics segments.
B2B: Ascent Health and Wellness Solutions, AknaMed
Ascent Health, a subsidiary of API Holdings, supplies pharmaceutical products to chemists and institutions. It sources these products directly from pharma companies and allows retailers to place orders on its OMS platform.
Meanwhile, AknaMed caters to hospitals, providing them with pharma products, consumables and surgical supplies.
Together, the B2B businesses clocked a revenue of Rs 4,082 crore in FY26 and posted an EBITDA loss of Rs 3.6 crore.
In the quarter ended June 2026 (Q1 FY27), Ascent and AknaMed turned EBITDA profitable with Rs 70 lakh, while their combined revenue stood at Rs 1,006 crore.
Diagnostics: Thyrocare
Thyrocare offers 1,375 diagnostic tests and services across India through a network of owned and third-party laboratories, collection centres, and a team of pathologists and phlebotomists.
The diagnostic services are offered to end consumers, hospitals and other B2B entities.
Consumers can access these services by visiting a collection centre, scheduling home sample collection through helplines, or booking tests online via PharmEasy, Thyrocare’s mobile app and website, and other third-party platforms.
In Q1 FY27, Thyrocare clocked a revenue of Rs 240 crore, a 24% jump year-on-year (YoY). Here are some key operational metrics from the April-June quarter.
- Patients: 5.4 million, up 17% YoY
- Tests conducted: 55.2 million, up 28% YoY
- Complaints per million tests: 3.1, down 24% YoY
B2C: PharmEasy
API Holdings runs its consumer-facing operations via PharmEasy.
PharmEasy is an e-commerce marketplace that facilitates the sale and purchase of pharmaceuticals and OTC products through a network of third-party retail pharmacies and service providers. Diagnostics and other healthcare services are also cross-sold on the platform.
The app also enables on-demand home delivery of prescription and OTC pharmaceutical products.
In FY26, PharmEasy reported a revenue of Rs 1,335 crore and an EBITDA loss of Rs 44 crore. During the April-June quarter of FY27, the company’s revenue stood at Rs 348 crore, while its EBITDA loss came in at Rs 17 crore.
Zooming into expenses
API Holdings saw a marginal decline in its total expenditure. Total expenses stood at Rs 7,147 crore in FY26, compared with Rs 7,209 crore last year.
Purchase of stock-in-trade: This was the largest cost center for the PharmEasy parent. Spending under this bucket rose 11% to Rs 5,245 crore from Rs 4,730 crore.
Employee benefit expenses: Employee costs declined 48% to Rs 477 crore from Rs 908 crore in FY25, largely due to lower ESOP costs, which fell to Rs 62 crore from Rs 482 crore in FY25.
Other expenses: Rose 8% YoY to Rs 657 crore. This included contractual payments to delivery associates at Rs 112 crore and sales promotion and marketing expenses of Rs 73 crore.
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