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