IDT Australia (ASX:IDT), a pharmaceutical manufacturing company based in Boronia, Victoria, has announced a strategic realignment aimed at bolstering profitability and operational efficiency. The company, known for its expertise in developing and producing high potency and high containment pharmaceutical products, anticipates annualised cost savings of approximately $1 million in FY26 as a result of these changes. This realignment involves rebalancing resources towards higher-return core business activities and streamlining underperforming areas.
The company’s Q1FY26 performance showed positive revenue growth across its three key verticals. Preliminary unaudited revenue from these verticals increased by 18.2% compared to the previous corresponding period, reaching $4.3 million. Total revenue, including disbursements, amounted to $4.6 million, a decrease of 10.1% compared to last year due to fluctuations in disbursements. The revenue composition from the three verticals was API at 45.7%, Specialty Orals at 29.2%, and Advanced Therapies at 25.1%. IDT reported an EBITDA loss of $0.3 million for the quarter.
IDT is also shifting its emphasis within the Specialty Orals vertical towards radiopharmaceuticals, supported by recent contract wins and a strong pipeline. The company continues to see robust market demand, with $3.4 million in new contracts signed during Q1FY26. Mark Simari, Executive Chair of IDT Australia, stated that the company is focused on transforming IDT into a more profitable entity by focusing on its API strengths, adapting to market dynamics, reducing costs, and pursuing opportunities in radiopharmaceuticals and advanced therapeutics.
Regarding the previously announced Memorandum of Understanding with Gelteq Limited, IDT reports that the parties have not yet progressed to a formal agreement due to external delays. IDT will provide further updates on the collaboration as developments unfold. The company’s annual general meeting next month will provide more details on its strategy and business outlook.
