SMS Pharmaceuticals Limited Reports 8% PAT Growth in Q1; On Track with ₹280 Cr Capex
SMS Pharmaceuticals Limited Delivers Steady Q1 FY27 Performance
SMS Pharmaceuticals Limited (USE: PHARMA; BSE: 532815), a leading integrated manufacturer of Active Pharmaceutical Ingredients (APIs) and advanced intermediates, announced its unaudited financial results for the quarter ended June 30, 2026 (Q1 FY27). The company recorded steady top-line growth backed by expansion in its high-value API portfolio and Anti-Retro Viral (ARV) segment.
Key Financial Highlights (Q1 FY27 vs Q1 FY26)
- Revenue from Operations: Increased 6% Year-on-Year (YoY) to ₹207.0 crore, compared to ₹196.1 crore in Q1 FY26.
- Gross Margin: Improved by 217 basis points to 36%, driven by unit economics improvement and backward integration.
- EBITDA: Stood at ₹40.95 crore, up 4% YoY, maintaining margins around 20%. Operational margins faced minor headwinds from annual employee increments and elevated freight costs due to West Asian geopolitical tensions.
- Net Profit (PAT): Grew 8% YoY to ₹20.20 crore compared to ₹18.72 crore in the corresponding quarter last year.
Segment Growth & Strategic Expansion
The Anti-Retro Viral (ARV) segment saw robust momentum, surging 69% YoY to ₹65.22 crore and contributing 32% to total revenue. The Anti-inflammatory portfolio generated ₹46.91 crore (23% share), while Anti-migraine APIs posted a 44% jump to ₹24.79 crore.
To capture further market share in specialized offerings, the company completed 4 DMF/CEP filings during the quarter, staying on course to meet its FY27 target of 10 filings. Its R&D strength has reached 200 professionals, advancing a pipeline of 6 to 8 niche molecules targeted for commercial launch by late FY27.
Capex & Subsidiary Funding
SMS Pharmaceuticals Limited confirmed that its ongoing ₹280 crore capital expenditure program is progressing smoothly. With ₹120 crore already completed, the remaining ₹160 crore will be deployed by FY27. Additionally, the Board has approved a loan infusion of up to ₹50 crore into its subsidiary, SMS Peptides Private Limited, to build a dedicated peptide CDMO facility and research hub.