Hikal Limited has disclosed suspected misconduct by certain employees involving irregularities and alterations in revenue recognition documentation. A fact-finding review indicated that these issues primarily relate to revenue recognition and its timing, potentially leading to reversals or adjustments in recorded revenue for specific periods. The company estimates that if these irregularities had not occurred, sales for the relevant periods (Q4FY25 and Q1FY26) would have been approximately 2% lower. Hikal has already reversed revenue of ₹80.7 crore for Q2FY26 due to these findings. However, the company confirmed that all underlying sales are genuine and supported by customer purchase orders, and there has been no siphoning, embezzlement, or misappropriation of funds. The suspected irregularities appear to be linked to Q4FY25, Q1FY26, and Q2FY26, involving employees in operational functions such as Sales & Marketing and Logistics. The company is currently evaluating the necessary reporting requirements and will take appropriate steps to inform relevant authorities, based on legal advice.