Ind-Swift Laboratories Ltd

Financial Performance

• Q1 FY27 operating income ₹186.08 crore; +21.16% YoY
• EBITDA ₹33.32 crore; 2.85x YoY; margin 17.91%
• PAT excluding exceptional item ₹24.68 crore; +2.04x YoY
• PAT margin 13.26%; +827 bps YoY

Operating Update

• Export contribution 57.20% of Q1 FY27 sales vs 48% Q1 FY26
• Exports share 26.64%; domestic branded 6.41%; ethical 6.14%; domestic contract 3.61%
• Dossiers filed 2,100+; global registrations 850+
• Samba facility upgrade to EU-GMP/PIC/S underway

CDMO & Pipeline

• Viatris two products contributed ₹5-6 crore in Q1
• Two products expected ~₹100-130 crore in year one
• Total incremental CDMO revenue ~₹200 crore over two years; ramp to FY29
• Export gross margin ~55%
• New product criteria: minimum 50% gross margin
• CDMO capex for deals: ₹50-75 crore; revenue 150+
• Synthimed stake: hold; no divestment this year; tag-along right
• FY30 vision: revenue ₹1500 crore; net profit ₹200+ crore

Capex & Capacity

• Capex ₹250 crore over ~2.5 years; Jammu facility, new warehouse, production expansion
• Q1 capacity utilisation for Ibuprofen/granules ~70%
• Target 90% capacity utilization by FY29
• R&D 5-6 molecules to be filed FY27-29; capex after filings

Guidance & Outlook

• FY27 revenue expected around ₹900 crore; potential early achievement
• EBITDA margins 18-20% sustainable; could rise to 21-22% with higher sales
• CDMO incremental revenue current year ~₹150 crore; export ₹750 crore with 45% CDMO
• FY29 revenue target not explicitly confirmed; management to revisit year-end

Facility upgrade and expansion

• Jammu facility to be upgraded to EU-GMP and PICS standards.
• Total upgrade investment planned at ₹45 crores (excluding R&D and registrations).
• Approval expected by early 2028; plant to serve Rest of World markets.
• Projected additional revenue of ₹100 crores from 2029-30 onwards.
• Facility built in 2008; 14,700 sq meters, OSD and ointments capacity.
• Post-upgrade, will support CDMO and own-branding business.
• Current WHO-GMP and ISO 9001:2008 compliance; to be EU-GMP and PICS post-upgrade.

Q1 FY27 financial highlights

• Operating income rose to ₹186.08 crore, up 21.16% YoY.
• EBITDA ₹33.32 crore; margin 17.91%.
• PAT excluding exceptional items ₹24.68 crore; PAT margin 13.26%.

Earnings call audio release

• Audio recording of Q1 FY26-27 earnings call for quarter ended 30 June 2026 is available on investor site.
• Transcript of call will be shared with stock exchanges and uploaded on the company site in due course.

Business overview

• Transformed from API to finished dosage formulation (FDF) manufacturer.
• CDMO partnerships with Viatris/Manx/Arrotex commercialized; FY27 revenue ₹200–₹220 cr.
• Two launches: Ibuprofen Sachet (Europe), Macrogol Sachet (UK/Australia).
• Domestic high-margin mix: Ethical, Own-Brand, CMO; Samba EU-GMP upgrade underway.
• FY27 revenue growth expected >50%; 20–25% medium-term CAGR; EBITDA margin up 600–800 bps.

Operational highlights

• Commercialization of Viatris, Manx and Arrotex partnerships; ₹200–₹220 cr FY27 revenue.
• Ibuprofen Sachet (Europe) and Macrogol Sachet (UK/Australia) launched.
• Samba facility upgrade to EU-GMP/PIC/S standards underway.
• Dossiers filed to 2,100+; approvals to 520+ across 85+ countries.
• Global product registrations surpassed 850; regulated-market expansion ongoing.

Financial performance

• Q1 FY27 standalone total revenue ₹193.71 cr; PAT ₹24.68 cr.
• Q1 FY27 EBITDA ₹33.32 cr; EBITDA margin 17.91%.
• FY26 standalone revenue ₹612.64 cr; PAT ₹53.56 cr; EBITDA ₹91.74 cr.
• FY26 EBITDA margin 7.04% (operating).
• FY26 cash ₹414.99 cr; total equity ₹1,370.70 cr.

Strategic outlook

• FY27 revenue growth >50%; long-term CAGR 20–25%.
• Exports-led growth via GBU; Viatris revenue ₹200–₹220 cr in FY27.
• Samba upgrade supports regulated filings and long-term visibility.
• Domestic expansion: 2,400 stockists; 20,000 retailers; 25,000 doctors.

Risks & governance

• Regulatory compliance in EU/UK/Australia; upgrades funded by internal accruals.
• CDMO dependency; ongoing diversification and capacity expansion.

Leadership & board

• Chairman N.R. Munjal and MD Sahil Munjal lead strategic execution.
• Executive team prioritizes international expansion and R&D.

Meeting Details

• Date and time: 17 August 2026, 03:00 PM IST
• Type and mode: virtual earnings call via Zoom webinar
• Organiser: ConfideLeap Partners
• Subject: Q1 FY27 Earnings Call

Participants

• CFO; VP Corporate Affairs & CS; DGM Finance from Ind-Swift to participate

Purpose

• Discuss Q1 FY27 results for quarter ended 30 June 2026

Additional Notes

• Platform: Zoom webinar; registration link provided in invite

Issue Overview

• Type of issue: preferential issue with fully convertible warrants.
• Total issue size disclosed; net proceeds revised downward due to undersubscription.
• Main objectives: expansion, investments in subsidiaries, working capital, general corporate purposes.

Utilisation of Proceeds

• Utilisation largely as disclosed; one forex transfer caused fund commingling.
• No material deviation; means of finance unchanged.
• Expansion: ongoing; funds deployed for land, building, and machinery.
• Investment in subsidiaries: ongoing; nil utilisation in the quarter.
• Working capital: utilisation completed in prior period; no Q1 utilisation.
• General Corporate Purpose: fully utilised by prior quarter; nil utilisation in current quarter.
• Unutilised funds held in fixed deposits and warrants receipt account.
• Interest earned on liquidated FDRs adjusted against unutilised proceeds.

Governance and Compliance

• Approvals in place; capex approvals to be obtained as required.
• Warrant conversion lapse by one allottee caused shortfall; may affect viability.
• Shareholder approvals for GCP and other objects obtained via EGM.

General Corporate Purpose (GCP)

• GCP usage: nil in current quarter; fully utilised by prior quarter.
• Board approvals obtained for GCP allocation via EGM.

Financial highlights

• Revenue (Operating Income) ₹186.08 Cr in Q1 FY27, up 21.16% YoY
• Operating EBITDA ₹33.32 Cr, up 2.85x YoY, margin 17.91%
• PAT (excl exceptional items) ₹24.68 Cr, up 2.04x YoY, PAT margin 13.26%

Strategic and operational highlights

• Viatris/Manx/Arrotex CDMO partnerships expected to add ₹200-₹220 Cr revenue in FY27
• Two products commercialized: Ibuprofen Sachet (Europe) and Macrogol Sachet (UK/Australia)
• Dossier filings rose to 2,100+; registrations to 900+
• Samba facility upgrade to EU-GMP and PIC/S standards to boost exports and filings
• Debt-free, pure-play formulations platform with 85+ countries; 520+ approvals globally

Outlook and guidance

• FY27 revenue growth expected to exceed 50%
• Revenue CAGR over the medium term stated as 2025% with EBITDA margins 600-800 bps expansion

Balance sheet and strategy

• Debt-free balance sheet following strategic restructuring and API/CRAMS divestment

Purpose and deviation

• Nil deviation/variation in use of funds raised through preferential issue of convertible warrants.

Fund raising details

• Mode of fund raising: preferential issue of convertible warrants.
• Utilisation to date shows no deviation from approved objects.

Monitoring and utilisation status

• Monitoring agency involvement reported.
• Audit committee comments: no deviation noted.
• Status: funds partially utilised; balance remains.

Financial results approved

• Standalone and Consolidated unaudited results for quarter ended 30 June 2026 approved.
• Limited Review Reports by statutory auditors enclosed; results to be available on the company website.

Land sale details

• Sale of land of ~40 Bighas (~10 acres) at Derabassi, Punjab for ₹17.50 crore approved.
• Sale to be completed over 9 months, subject to agreement terms.
• Not a related-party transaction; sale at arms-length; not part of Scheme of Arrangement.
• Annexure II attached detailing sale terms and LODR disclosures.