Shilpa Medicare Ltd

AGM notice and voting details

• AGM 39th to be held Sep 11, 2026 at 11:00 IST via VC/OAVM.
• Notice of AGM and FY2025-26 Annual Report available on company website.
• Letters dispatched to members without registered emails providing AGM notice and Annual Report web-links.
• Cut-off date for voting by members: Sep 4, 2026.
• Remote e-voting starts Sep 7, 2026 at 09:00 and ends Sep 10, 2026 at 17:00.

Recall details

• Recall initiated July 29, 2026; 27,923 vials (9,489 of 50 mL; 18,434 of 10 mL) Pemetrexed Injection.
• Atypical discoloration (green to dark green) not matching approved appearance specification.
• Class II US FDA recall; voluntary initiated in consultation with FDA.
• No adverse events reported; limited to affected batches.
• No impact on other products or supply.
• No material impact on financial position or operations projected.
• Recall classified as Class II (hospital level) by US FDA.
• Affected batches: four batches, two per strength.
• Product lines: Pemetrexed Injection 100 mg/10 mL and 500 mg/50 mL.
• Recall scope: US market; not affecting manufacturing arrangements.

Dividend and TDS update

• Board recommended final dividend of Rs 0.60 per share for FY2026.
• Record date fixed at 4 September 2026 for entitlement.
• AGM scheduled 11 September 2026; dividend payable within 30 days of approval.
• TDS applies to dividend under Income Tax Act 2025.
• Resident shareholders: TDS at 10% unless exempt; PAN required.
• Non-resident shareholders: TDS at 20% plus surcharge/cess; DTAA options.
• Shareholders must update PAN, identity, and contact details by Sept 2, 2026.
• Non-residents must provide DTAA-related documents (TRC, Form 41, etc.) to apply lower rates.
• Soft copy of TDS certificate to be emailed after payment.
• Queries to KFin Technologies; contact options provided.

Financial Performance

• Revenue: INR 469 crores in Q1 FY27, up 43% YoY.
• EBITDA: INR 139 crores, EBITDA margin 30%.
• PAT: INR 101 crores, up 115% YoY.
• PBT (operating): INR 92 crores; reported PBT: INR 98 crores.
• Tax rate to normalize around 25% in coming quarters.
• Capex: INR 114 crores in Q1; funded by internal accruals.
• ROCE: 12.5%; ex-Biologics/NBE, 18.3%.
• AA- credit rating upgrade; Great Place to Work certification.
• Q1 revenue and EBITDA at record highs.

Segment and Pipeline Update

• API: CDMO focus; peptides and oncology; large peptide-capex; commissioning by FY27.
• API: 3 NCE programs in advanced phases; 15 new oncology validations in FY27.
• Nor-UDCA: Formulation; global Phase II trials in FY27.
• Three 505(b)(2) filings; Abraxane, Enzalutamide, Abiraterone; launches FY28.
• Rotigotine patch: Europe approval; US filing; launch FY28.
• Unicycive CDMO partnership; USFDA CRL; next steps with partner.
• Aflibercept biosimilar: India launch FY27; Nivolumab with Orion for Europe; India trial started; India launch FY28.
• Shilpa Biologics: >6 active NCE programs; one to enter human studies in FY27.
• Albumin program: recombinant human albumin; trials this year; filing in India next year.
• Europe tender cycles cause quarterly variation; overall product performance strong.

Outlook and Guidance

• Monetization focus: biologics and niche formulations to drive higher margins.
• Capex near-term: no significant new investments in Biologics/Albumin for ~3 years.
• Tax normalization expected around 25% going forward.
• ROCE improvements expected from better mix and launches.
• Regulatory risk acknowledged; potential impact if approvals slow.

Q&A Highlights

• Three NCE programs will enter commercial phase next year.
• Biologics growth potential higher due to smaller base; international demand significant.
• Europe shows quarterly variation due to tender cycles; overall trajectory positive.
• Capex for Biologics/Albumin expected to be minimal for next 3 years.
• US tariff risk discussed; management says product complexity mitigates impact.

Rating action

• Bank loan facilities of INR 1,250 million rated IND A+/Stable/IND A1+ by India Ratings.

Agency and action

• Agency: India Ratings and Research Pvt Ltd (Fitch Group); action: assigned.

Subsidiary context

• Shilpa Biologicals Private Limited is a material subsidiary of Shilpa Medicare Limited; Outlook: Stable.

Availability

• Details are available on India Ratings' website.

Rating Details

• Bank loan facilities rated IND A+/Stable/IND A1+.
• Regulator: RBI.
• Size of issue: INR 1,250 million.
• Rating agency: India Ratings and Research Pvt. Ltd (Fitch Group).
• Action: Assigned rating for Shilpa Biologicals Private Limited.

Shilpa Biologicals Pvt Ltd CEO resignation

• Resignation of Dr. Sridevi Khambhampaty as CEO of Shilpa Biologicals Pvt Ltd, effective 15 July 2026.
• Reason: personal reasons.
• Subsidiary is a material subsidiary of Shilpa Medicare Limited.
• Notice period per company policy.
• Appointment: 15 April 2026; cessation: 15 July 2026.