Dr Lal PathLabs Q3 net profit falls 6.4% on new labour code impact

Diagnostics major reports a one-time charge linked to new labour codes even as revenue rose over 10% on higher sample volumes and network expansion

Diagnostics major Dr Lal PathLabs (DLPL) on Friday reported a 6.4 per cent year-on-year (YoY) drop in consolidated net profit for the December quarter (Q3 FY26) due to a one-time charge linked to the notification of new labour codes.

 

The firm’s Q3 FY26 net profit stood at ₹91.7 crore, down from ₹98 crore reported in the same period last year. DLPL said it took a one-time charge of ₹30.1 crore linked to the new labour codes, according to a regulatory filing on the bourses.

 

The company’s earnings before interest, tax, depreciation and amortisation (Ebitda) also fell 3.2 per cent year on year to ₹149 crore in Q3, compared with ₹154 crore recorded in the same period last year.

 

 

On the other hand, DLPL’s revenue from operations rose to ₹659.8 crore in Q3 FY26, a 10.6 per cent year-on-year increase from ₹596.7 crore reported in Q3 FY25.

 

This growth was mainly sample-volume driven, which grew 7.8 per cent YoY. “It was led by calibrated network expansion in our core metro markets and deeper penetration in Tier-3 and Tier-4 cities and towns,” the company said in its investor presentation for the quarter.

 

Commenting on the performance, Ved Prakash Goel, group chief financial officer (CFO) at DLPL, said the firm has expanded its network in underpenetrated markets through new laboratories and patient service centres (PSCs) and strengthened channel partnerships to enhance reach and increase contribution from non-metro regions.

 

As India’s largest diagnostics service provider, DLPL operates 298 clinical laboratories, including a national reference laboratory in Delhi and regional reference laboratories in Kolkata, Bengaluru and Mumbai, as of December 31, 2025.

 

Its network also includes 6,607 patient service centres (PSCs) and 12,365 pick-up points (PUPs), serving individual patients, hospitals, healthcare providers and corporate clients.

 

On Friday, DLPL’s stock fell 1.85 per cent to close at ₹1,369.10 apiece on the Bombay Stock Exchange (BSE).