Fermenta Biotech Ltd

Meeting Details

• Date: August 21, 2026.
• Type: One-to-one meeting.
• Mode: Physical.
• Location: Mumbai.

Organizer

• Organizer: Fermenta Biotech Ltd.

Participants

• Key participants: Company officials.
• Role present: Company Secretary & Head – Legal.

Purpose

• Purpose: Intimation of investor meeting.
• Discussion scope: No UPSI to be discussed.

Materials

• Press releases and investor presentations available on company and stock exchange websites.

Rating Action

• Long-term bank facilities upgraded to CARE BBB+; Stable outlook.
• Short-term bank facilities upgraded to CARE A2 from A3+.

Instruments/Facilities Rated

• Long-term bank facilities: CARE BBB+; Stable.
• Short-term bank facilities: CARE A2.
• Total facilities: ₹172.98 crore.

AGM Details

• AGM held Aug 11, 2026, via VC/OAVM from 3:00 to 5:12 PM IST
• Remote e-voting open Aug 8–10; ballot forms available; voting at AGM also offered
• Scrutinizer: V. N. Deodhar; report submitted Aug 11, 2026

Key Resolutions

• Resolution 1: Adopt standalone and consolidated financial statements for year ended Mar 31, 2026; approved 99.9999% in favour
• Resolution 2: Declare dividend of Rs 3.75 per equity share; approved 99.9999%
• Resolution 3: Re-appoint Rajeshwari Datla after retirement by rotation; approved 99.9980%
• Resolution 4: Continue Rajeshwari Datla as Non-Executive Director; approved 99.9980%
• Resolution 5: Ratify remuneration of Cost Auditor; approved 99.9999%
• Resolution 6: Approve material related party transactions; approved 99.9763%
• Resolution 7: Commission to Non-Executive Directors; approved 99.9966%

Dividend

• Dividend of Rs 3.75 per equity share approved

Directors & Auditors

• Rajeshwari Datla re-appointed; continues as Non-Executive Director
• Cost Auditor remuneration ratified

Related Party Transactions

• Material Related Party Transactions approved

AGM Details

• Date and mode: 11 August 2026 at 3:00 PM, via VC/OAVM.
• Record date: 5 August 2026.
• Attendees: 2 promoter-group and 62 public via VC/OAVM.

Key Resolutions & outcomes

• Resolution 1 (Ordinary): Adoption of standalone and consolidated financial statements; passed.
• Resolution 2 (Ordinary): Dividend of Rs 3.75 per equity share declared; passed.
• Resolution 3 (Ordinary): Re-appointment of Rajeshwari Datla by rotation; passed.
• Resolution 4 (Special): Continuation of Rajeshwari Datla as Non-Executive Director; passed.
• Resolution 5 (Ordinary): Ratification of remuneration of Cost Auditor; passed.
• Resolution 6 (Ordinary): Approval for material related party transactions; passed.
• Resolution 7 (Special): Approval of commission/fees for non-executive directors; passed.

Dividend

• Dividend per equity share: Rs 3.75; ordinary resolution approved.

Director changes

• Rajeshwari Datla re-appointed by rotation; continues as Non-Executive Director.

Auditor appointments

• Cost Auditor remuneration ratified; no change to statutory auditors reported.

Material Related Party Transactions

• Approval for material related party transactions; counterparty details not disclosed.

AGM Details

• AGM held on 11 August 2026 via VC/OAVM, started at 3:00 PM IST.
• Record date for dividend eligibility: 5 August 2026.

Key Resolutions

• Adopt standalone and consolidated financial statements for the year ended 31 March 2026.
• Declare dividend of Rs 3.75 per share (75%) for 2025-26.
• Re-appoint Ms. Rajeshwari Datla as Director (retiring by rotation).
• Continuation of Ms. Rajeshwari Datla as Non-Executive Director (special resolution).
• Ratify remuneration of Cost Auditor.
• Approve material related party transactions with Fermenta USA LLC up to Rs 100 crore.
• Approve commission to Non-Executive Directors (special resolution).

Dividend Details

• Dividend of Rs 3.75 per share approved.
• Payable on or before 21 August 2026 to entitled shareholders.

Director Changes

• Re-appointment of Rajeshwari Datla as Director (retiring by rotation).
• Rajeshwari Datla to continue as Non-Executive Director (special resolution).

Auditor & Remuneration

• Cost Auditor remuneration ratified.

Material Related Party Transactions

• Material RPT with Fermenta USA LLC up to Rs 100 crore.

Voting Results

• All AGM resolutions passed with requisite majority; no significant dissent reported.

AGM presentation

• Presentation for shareholders at the 74th AGM is enclosed.

FY26 financial highlights

• Revenue from operations ₹525 crore; total income ₹548 crore.
• Profit before tax ₹96 crore; tax ₹26 crore; net profit ₹70 crore.
• Core EBITDA ex-real estate ₹120 crore; EBITDA margin 23.3%.
• Revenue up 14% year-on-year to ₹548 crore.

Capacity expansion and IP

• ₹110 crore Dahej capex approved for plant-source D3, Calcifediol, and enzymes.
• Granted plant-source D3 process patent and EDQM CEP for D3 100 SD.

Balance sheet and liquidity

• Total debt ₹109 crore; cash ₹92 crore; current ratio 1.86.

Strategic focus and mix

• Real estate unlocking completed; non-nutrition revenue now 15%.
• Geographic mix balanced; Europe emerging as a strong second market.

Business Overview

• Core business: nutrition ingredients, APIs/intermediates, green chemistry, and environmental solutions.
• Serves pharma, nutrition, animal feed, and related industries globally.

Key Operational Highlights

• Q1 FY27 revenue ₹126.2cr; ex-real-estate ₹124.3cr; YoY decline.
• India revenue share rose to 47% of consolidated revenue.
• Human nutrition revenue up 24% QoQ to ₹76.5cr; volumes up 18% QoQ.
• FSSAI approval for VITADEE Green® received on 6 July 2026.
• Ranked 7th nationwide in Great Mid-size Workplaces 2026.

Financial Performance

• Revenue from operations ₹121.8cr; total income ₹126.2cr; YoY -13%.
• EBITDA ₹22.4cr; QoQ -11%; YoY -39%.
• Profit after tax ₹9.5cr; YoY -56%.
• EPS (diluted) ₹3.34.
• Raw materials 35% of revenue; employee costs 19%; admin 13%; finance costs 2%.
• Animal nutrition volumes down 52% QoQ; realisation down 40% YoY.
• India accounted for 47% of revenue in Q1 FY27.

Capital Structure & Liquidity

• Deleveraging ongoing; finance costs 2% of revenue.
• Dahej capex planned at ₹110 crore for Calcifediol scale-up.
• Balance sheet described as deleveraged with growth pipeline funding.

Strategic Priorities & Outlook

• Extend Vitamin D3 leadership; plant-source D3; expand to EU via EDQM CEP.
• Open new geographies; pursue selective acquisitions and partnerships.
• Integrate complementary technologies to accelerate Innovation Chemistry pipeline.
• Capex for Calcifediol scale-up supports capacity expansion (₹110 crore Dahej).
• Deleveraged balance sheet enables visible growth pipeline.
• Diversify revenue across vitamins, biocatalysis, premixes, and green chemistry.

Risks & Mitigation

• Animal nutrition soft segment; volume discipline mitigates weak pricing.
• FY25 base effects skew YoY comparisons; adjust for non-recurring items.
• Regulatory approvals and standards, including EDQM CEP and US FDA compliance.

Governance & Leadership

• CFO Sumesh Gandhi presented the Q1 FY27 earnings.
• No governance changes disclosed in this update.

Financial highlights

• Revenue excluding real estate INR 124.3 crore; flat QoQ, down 12% YoY.
• EBITDA ex-real estate INR 22.3 crore; down 37% YoY, down 10% QoQ.
• Consolidated PAT INR 9.5 crore; down 56% YoY, down 49% QoQ.
• Diluted EPS Rs 3.34.

Key developments and outlook

• VITADEE Green plant-source Vitamin D3 received FSSAI approval on 06 July 2026.
• Domestic revenue share rose to 47% in Q1FY27 from 38% a year earlier.
• Dahej plant-based Vitamin D3 capacity expansion planned; commercial-scale capacity coming up.
• Nationwide Vitamin D deficiency awareness campaign launched May 2026; ongoing in FY27.
• Ranked 7th among India's Great Mid-sized Workplaces 2026.

Board actions

• Board approves standalone and consolidated unaudited results for quarter ended June 30, 2026.
• Limited Review Reports issued by SRBC & Co. LLP with unmodified opinion.
• Board meeting commenced 11:00 a.m. IST and concluded 01:10 p.m. IST.