Alkem Laboratories Reports on Sustainability Initiatives in FY 2025-26; Highlights Water Neutrality Target and GHG Reduction Efforts
Alkem Laboratories Limited has detailed its operations and sustainability efforts for the financial year ended March 31, 2026. The company's report highlights significant steps toward environmental stewardship, workforce welfare, and responsible governance across its global operations.Operational Overview and Governance
The company remains dedicated to developing and manufacturing pharmaceutical products, which accounts for 82.4% of the entity’s turnover, while wholesale trading constitutes the remaining 17.6%. Alkem operates 12 plants and 9 offices nationally. The enterprise is overseen by a CSR and Sustainability Committee of the Board, responsible for all sustainability-related decisions.Key details regarding the company's structure and operations are provided below:
| Detail | Finding/Status |
|---|---|
| Financial Year Covered | April 1, 2025 to March 31, 2026 |
| Primary Business Activities | Manufacturing of pharmaceutical products (82.4%) and Wholesale Trading (17.6%) |
| Market Reach | Serves 28 states and 8 Union Territories domestically, and over 40 countries internationally |
| Revenue Growth/Commitment | The company has adopted a target to become water neutral by FY 2030 |
Environmental Commitment and Resource Management
A core focus of Alkem’s sustainability agenda involved robust environmental performance and resource management.Water Stewardship:
The company aimed for water neutrality, launching Project Jal Sanchay—an integrated watershed management programme focused on building community resilience. Operationally, 10 out of its 12 domestic units recycle and reuse water and operate with no discharge of wastewater outside their premises. Alkem also implemented Zero Liquid Discharge (ZLD) systems in select manufacturing locations, covering 58% of the company's total manufacturing units.
Energy Efficiency and Emissions:
Alkem continues to prioritize climate change mitigation through energy efficiency initiatives. During the reporting year, approximately 27% of its energy requirement was met through renewable sources. The company has set a voluntary target to reduce Scope 1 and Scope 2 greenhouse gas emissions by 42% by FY 2033, using FY 2023 as the baseline.
| Environmental Metric | FY 2025-26 (Current Financial Year) | FY 2024-25 (Previous Financial Year) |
|---|---|---|
| Total Scope 1 & 2 Emissions Intensity per rupee of turnover | 0.9 tCO2 e / Million INR | 1.0 tCO2 e / Million INR |
| Water Consumption Intensity per rupee of turnover | 5.5 kl / Million INR | 6.2 kl / Million INR |
| Energy Efficiency (Operational Units) | 100% have ISO 50001 certification | Achieved a 22% reduction in energy consumption |
Waste Management:
The company maintains strict waste management practices, reporting that 99% of its non-hazardous waste is recycled or recovered. Total waste generated was 6,228 metric tonnes (MT), compared to 5,578 MT in the previous financial year. A total of 5,931 MT was recovered through recycling, re-using, and other recovery operations.
Workforce Wellbeing and Social Impact
Alkem maintains a strong focus on employee and worker welfare across its expansive workforce of 17,744 employees and 5,642 workers. The company ensures that both its offices and manufacturing facilities are accessible to differently abled employees in line with the Rights of Persons with Disabilities Act, 2016.Workforce Metrics:
The following table details employee numbers and commitments during the reporting year:
| Workforce Category | Total Count (A) | Female Percentage | Key Operational Data |
|---|---|---|---|
| Employees | 17,744 | 3% (543 female) | 97% of employees are male. |
| Workers | 5,642 | 4% (249 female) | 96% of workers are male. |
Regarding human rights and working conditions, Alkem has established a three-tier grievance management framework that includes an Open Door Policy, Internal Complaints Committee (ICC), and a Whistle-blower mechanism. The company reports no instances of forced or involuntary labor among its workforce.
Stakeholder Engagement and Industry Recognition
Alkem's sustainability efforts extended to the value chain and external validation. The company initiated a Sustainable Supply Chain Programme focused on capacity building and progressive engagement with suppliers concerning ESG expectations.The firm’s commitment garnered recognition, as Alkem’s S&P Global DJSI score improved from 18 to 53 within a short span of three years, while NSE Sustainability assigned the company a favorable rating of 73.
Regarding governance and ethical conduct, the company has implemented an Anti-Bribery and Anti-Corruption Policy that applies to all associated personnel. Additionally, Alkem’s products undergo rigorous quality checks, with its pharmacovigilance framework in place to monitor adverse drug reactions and uphold patient safety commitments.
ALKEM Stock Price Movement
Alkem Laboratories Limited shares closed today, edging higher by 0.50% to settle at ₹5,672.50. The stock finished the session trading within a range of ₹5,654 and ₹5,711.50, with 57,547 shares changing hands in the market.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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