Innova Captab Ltd

AGM notice approval

• Board approved the notice calling the 22nd AGM for year ending March 31, 2026.
• Annual report and AGM notice will be submitted to stock exchanges in due course; earlier postponement acknowledged.

Financial results approved

• Revised Audited Standalone and Consolidated results for quarter and year ended 31 March 2026 approved.
• Auditors' report issued with unmodified opinion for both standalone and consolidated results.
• CFO declaration of unmodified opinion enclosed.
• Results to be hosted on company website for compliance.

Brownfield expansion

• Brownfield expansion of the Baddi facility approved within the same premises.
• Capex estimated at ₹45 crore; completion targeted in 18–22 months.
• Expansion financing planned via bank credit facilities and internal accruals.

Dividends and financing actions

• Interim dividend of ₹2 per equity share approved.
• Expansion financing to be sourced from a mix of bank credit facilities and internal accruals.

Meeting Details

• Board meeting scheduled for 21 August 2026; time and venue not disclosed.

Key Agenda Items

• Revision of standalone and consolidated financial statements for quarter/year ended 31 March 2026 due to inadvertent errors.

Other Notes

• Trading window closed from 1 July 2026; extended, reopens 48 hours after revised financial statements are declared.

Financial Performance

• Consolidated revenue: INR 470.9 crores in Q1 FY27, up 34% YoY; exports 32% of revenue.
• CDMO revenue: INR 328.7 crores, up 32% YoY.
• Branded generic revenue: INR 142.2 crores, up 39% YoY.
• EBITDA: INR 75.1 crores; margin 16%.
• PAT: INR 44.1 crores; up 42% YoY.
• Gross margin: around 35.5%; full-year margin to be 35.5% ± 2%.
• Jammu revenue this quarter: INR 107 crores; last quarter: INR 90 crores.
• Jammu EBITDA: positive INR 1–1.5 crores.
• Jammu capacity utilization: 25%–30% annualized; asset turn north of 3x.
• Exports contributed 32% of revenue; domestic ~70%, exports ~30%.
• R&D spend: 0.7%–1% of revenue.

Operating Update

• CDMO growth driven by broader product portfolio, new customers, deeper wallet share.
• Branded generic momentum; expanding presence in key domestic and international markets.
• Volume growth: 20%–22% overall; excluding Jammu, 12%–14%.

Working Capital & Liquidity

• Net working capital cycle: 90 days ± 10 days.
• Cash conversion cycle maintained despite Jammu ramp-up.
• No specific debt or liquidity data disclosed in this chunk.

Capex & Projects

• Jammu expansion capex expected in tranches of INR 200–250 crores; not a single INR 1000 crores.
• Baddi: new plot acquired; plan to firm up and inform street when decided.
• Maintenance capex: INR 20–25 crores; Growth capex: INR 20–30 crores (two-year view).
• Peak Jammu revenue target around INR 1,400 crores at 65%–70% utilization.

Guidance & Outlook

• Guidance reaffirmed: north of 20% volume growth; profitability outpace revenue for FY27.
• Overall EBITDA margin target: 15%–16% ± 2%; ex-Jammu uplift to ~17%–18% as Jammu matures.

Q&A Highlights

• Q1 revenue grew 34% YoY; volume growth 20%–22% (42% mix-driven uplift); excluding Jammu 12%–14%.
• Jammu ramp-up: Q1 revenue INR 107 crores; Q4 FY26 INR 90 crores; EBITDA positive INR 1–1.5 crores.
• New products: ongoing R&D pipeline; spends 0.7%–1% of revenue, with timely commercialization.
• Pass-through pricing: API price moves reflected as pass-through; no explicit price increases taken.
• Guidance intact: volume growth >20% targeted; margin trajectory supported by mix and Jammu ramp-up.

Closure timing

• Trading window remains closed until 48 hours after the declaration of revised audited statements for March 31, 2026.

Meeting Details

• Date and time: 12 August 2026 at 11:00 IST.
• Type and mode: group audio call conducted digitally.
• Organiser: Innova Captab Limited.
• Key company participant: Company Secretary and Compliance Officer.
• Purpose: Audio recording of earnings call for quarter ended 30 June 2026.
• Availability: Audio recording hosted on company website.

Business Overview

• Leading pharmaceutical CDMO and branded generics player with global reach.
• 350+ CDMO customers; 4,200+ products; 60+ export countries.
• Kathua, Jammu facility commercialized Jan 2025; ramping up capacity.
• Nine manufacturing blocks across Baddi, Dehradun, Taloja, Jammu and Kathua.
• R&D DSIR-recognized in-house facility; MHRA and PIC/S certifications in 2026.
• FY26 revenue ₹1,630 Cr; EBITDA ₹250 Cr; PAT ₹141 Cr; ROCE 14.5%.

Key Operational Highlights

• Q1 FY27 revenue ₹470.9 Cr, up 34% YoY.
• CDMO Services & Products ₹328.7 Cr, +32% YoY.
• Branded Generics ₹142.2 Cr, +39% YoY.
• Jammu facility ramp-up with marquee client audits.
• Capex for expansions about ₹480+ Cr.
• Kathua greenfield four-block facility commercialized Jan 2025.
• 60+ export countries served.
• R&D DSIR-recognized; in-house facility with advanced equipment.

Financial Performance

• FY26 revenue from operations ₹1,630 Cr; total ₹1,637.4 Cr.
• EBITDA ₹250.3 Cr; EBITDA margin 15.4%.
• PAT ₹140.9 Cr; PAT margin 8.6%.
• Q1 FY27 EBITDA ₹75.1 Cr; PAT ₹44.1 Cr; margins 16.0% and 9.4%.
• FY26 ROCE 14.5%; ROE 13.82%.
• Debt/Equity ratio 0.31; borrowings ₹127.9 Cr; cash ₹3.2 Cr.
• Net cash from operating activities ₹116.5 Cr; investing ₹-107.1 Cr.

Capital Structure & Liquidity

• Debt/Equity improved to 0.31 from 0.35.
• Borrowings ₹127.9 Cr; cash ₹3.2 Cr.
• Operating cash flow ₹116.5 Cr; investing cash flow ₹-107.1 Cr.
• Financing cash flow ₹-21.7 Cr.
• Year-end cash balance ₹3.2 Cr.

Strategic Priorities & Outlook

• Disciplined capital allocation to sustain growth.
• Strengthen CDMO leadership; expand branded generics footprint.
• Jammu ramp-up complements capacity expansion and product portfolio growth.
• Capex plan: ₹480+ Cr for ongoing expansion.
• Operational excellence and quality to support international markets.

Risks & Mitigation

• Forward-looking statements reflect earnings, growth and policy risks.
• Competitive risk from domestic and international players.
• Earnings volatility from macro conditions and client concentration.
• Regulatory and government policy changes may affect operations.
• International operations exposure mitigated by certifications and diversification.

Governance & Leadership

• Chairman Manoj Kumar Lohariwala; MD Vinay Lohariwala.
• Independent directors include Sudhir Bassi, Priyanka Dixit Sibal, Mahendar Korthiwada, Shirish Belapure.
• DSIR-recognized in-house R&D underpinning product development.

Financial highlights

• Q1FY27 revenue from operations ₹470.9 crore, up 34% YoY.
• EBITDA ₹75.1 crore, up 32.7% YoY; margin 16.0%.
• PAT ₹44.1 crore, up 42.3% YoY; PAT margin 9.4%.
• FY26 revenue ₹1,630 crore; EBITDA ₹250.3 crore; PAT ₹140.9 crore.

Operational updates

• Jammu facility ramp-up progressing with increasing business from existing and new clients.
• CDMO and Branded Generics businesses driving growth and diversification.
• Focus on manufacturing efficiency and quality to meet domestic and international demand.

Outlook and strategy

• Management is confident of sustaining growth and enhancing profitability.
• Disciplined capital allocation and timely execution planned.
• Strategic roadmap to strengthen CDMO and branded generics positioning.