Pharmaceuticals company SMS Pharmaceuticals announced Q2FY26 results Revenue grew 23% YoY driven by higher volumes and market share gains Gross margin expanded 30% YoY, driven by backward integration EBITDA increased 54% YoY, aided by operating leverage PAT stood at Rs 25.32 crore, up by 80% YoY; Record highest in a quarter Operating cash flows remained strong, supporting ongoing capex Rs 280 crore Capex programme on track for completion by November 2026 On track to achieve our FY26 outlook P. Vamsi Krishna, Executive Director, stated: "We concluded Q2FY26 on a strong note with 80% PAT growth YoY. We continued to see strong demand across our diversified portfolio, with market share gains in key APIs driving revenue growth. This quarter marks an inflection point as our backward integration efforts are now driving margin expansion. This has strengthened our value proposition to existing customers and is helping us expand our customer base in regulated markets. Our R&D; has delivered strong outcomes over the past few years, with successful product launches that continue to see a strong demand and an expanding presence in regulated markets. We are strengthening this capability further — with a dedicated team of over 100 scientists today, we plan to double our R&D; strength over the next two years. To date, we have filed over 120 DMFs and aim to add around 30 more over the next 24–30 months. The Rs 280 crore capex programme, to be completed by November 2026, will enhance capacity for existing APIs and build capacities for new product pipeline. This includes a Rs 30 crore outlay for acquiring land for a greenfield project. Investments have also begun in R&D; for the peptide initiative, with commercial operations targeted to begin in FY29. Together, these initiatives provide a clear path for growth over the next 24–30 months. Our continued focus on product mix optimisation, backward integration, economies of scale and pipeline of new products will enable us to achieve our target of 20% revenue growth and EBITDA margin expansion to 20% in FY26." Result PDF
Pharmaceuticals company SMS Pharmaceuticals announced Q1FY26 results Revenue from operations in Q1FY26 was Rs 196.05 crore, up 19% YoY. Gross margins grew by 12% YoY to reach Rs 65.35 crore EBITDA for Q1FY26 rose by 17% YoY to reach Rs 39.37 crore. EBITDA margin stable at 20%, improving 364 bps sequentially but down 30 bps YoY. PAT was Rs 20.50 crore, up 24% YoY. PAT margin was stable at 10% in Q1FY26. P. Vamsi Krishna, Executive Director, said: "We commenced FY26 on a strong footing, driven by our diversified product portfolio and notable client wins in key APIs. We made strong progress on our strategic roadmap, laying a solid foundation for the next five years of growth. Our joint venture with Chemo continues to be value accretive, with our anti-diabetic portfolio gaining market share in Europe. We are also deepening our strategic partnership with them through an expanded basket of anti-diabetic products. In Ibuprofen, we continue to see growing demand, supported by strong visibility in regulated markets and a competitive cost position driven by improved processes and plant engineering. We have successfully commissioned our backward integration project. This milestone marks a critical step in strengthening our supply chain and improving cost efficiencies. The project has delivered the desired outcomes in quality and performance, and we are now scaling up production. With full backward integration now in place for our key APIs, we expect to see a meaningful improvement in margins over the next few quarters. On the R&D; front, we have established a robust pipeline of high-potential molecules. In the next 18 months, we aim to accelerate regulatory momentum with multiple DMF, CEP, and dossier filings, targeting around 30 submissions over the next three years. We will be doubling our R&D; spend over the next 18 months. Our peptide-focused subsidiary has commenced construction of its dedicated R&D; facility, while the capex plan for a CDMO greenfield site in Andhra Pradesh has been finalised, with land acquisition underway. To support these initiatives, we are undertaking a Rs 250 crore capacity expansion programme, which will be funded through a mix of internal accruals and debt. Our disciplined capital allocation strategy will support sustained revenue growth alongside continued margin expansion. We remain on track to achieve our targeted 20% revenue growth for FY26 with an EBITDA margin above 20%, translating to an asset turnover ratio of ~1.0x, among the best in the industry. Our growth will continue to be driven by a diversified product mix, a strong pipeline of new products and our proven execution capabilities". Result PDF
Pharmaceuticals company SMS Pharmaceuticals announced Q4FY25 & FY25 results Q4FY25 Financial Highlights: Revenue from operations in Q4FY24 was Rs 248.20 crore, up 1% YoY, driven by strong demand for key APIs. PAT for Q4FY25 stood at Rs 20.31, up 18% In Q4FY25, gross margins improved to 30%, an increase of 444 bps year-on-year, driven by backward integration, product mix, and a stable pricing environment. EBITDA margins for Q4FY25 stood at 16%, up 277 bps year-on-year, and PAT margins rose to 8%. FY25 Financial Highlights: For FY25, revenue from operations reached Rs 782.75 crore, reflecting a 10% YoY growth. We witnessed healthy growth in our high-value product portfolio. PAT for FY25 stood at Rs 69.14, up by 39% For FY25, gross margin increased to 33%, EBITDA margin to 18%, and PAT margin improved to 9%. The Board has recommended a final dividend of Rs 0.4 (40%) per equity share with a face value of Rs 1 each for FY25. New Capex of Rs 250 crore to expand capacity for new products and CMO busines Commenting on the performance, P. Vamsi Krishna, Executive Director, stated: We concluded FY25 on a strong note with 39% PAT growth, driven by volume growth and margin expansion. This was made possible by the disciplined execution of our strategy over the past four years: strengthening and diversifying our product portfolio, driving operational efficiencies, and achieving cost leadership through backward integration and scale. A key milestone was the successful ramp-up of ibuprofen, positioning us among India’s leading producers. We also onboarded several large customers across our API portfolio, further strengthening long-term revenue growth. With the backward integration project completed, key APIs at the take-off stage, and a new Capex plan underway, we are entering FY26 with strong momentum and greater earnings visibility. We are also building a robust pipeline of new molecules to drive long-term growth. Result PDF
Pharmaceuticals company SMS Pharmaceuticals announced Q3FY25 results Revenue from operations in Q3FY24 was Rs 173.35 crore, up 7% YoY, driven by strong demand. In Q3FY25, gross margins improved to 39%, up 729bps YoY and 870bps sequentially. EBITDA margins for Q3FY25 stood at 19%, up 120bps YoY and 316bps sequentially. PAT rose to Rs 18.24 crore, up 341bps YoY and 336bps sequentially, with PAT margin expanding to 11%. P. Vamsi Krishna, Executive Director, said: “We continued to see healthy volume demand for our products, supported by notable client wins across key APIs an encouraging sign for future growth. While we are navigating pricing pressures, our focus on profitability has kept margins strong and steady. Looking ahead, we expect to end the year on a strong note. The second phase of our backward integration project, set to begin commercial production in March 2025, will drive margin expansion from FY26 onwards. Our CMO business is also set to take off and contribute to our performance. Additionally, our capacity expansion remains on track, enabling us to scale volumes across our key APIs.” Result PDF