Solara Active Pharma Sciences Ltd

Conversion of partly paid-up rights shares

• Circular resolution approved conversion of 2,79,582 partly paid-up rights shares to full paid-up shares.
• 2,23,051 shares: Rs 262.50 paid per share; Rs 112.50 call monies received.
• 56,531 shares: Rs 131.25 paid per share; Rs 243.75 call monies received.
• Paid-up capital before conversion: Rs 48,16,16,569 across 4,80,81,817 fully paid-up shares.
• Partly paid-up holdings: 59,419 at Rs 7 and 1,09,276 at Rs 3.50.
• Steps for corporate actions and listing approvals will be taken.
• Rights Issue Final Reminder Notices issued; conversion follows framework.

CIO appointment date update

• Effective date for Ajit Manocha's CIO and SMP appointment revised to Aug 17, 2026 from Aug 10, 2026.
• Reason for change: personal considerations; appointment remains as CIO and SMP.
• Ajit Manocha is a technology and life sciences transformation leader.
• Effective date change communicated to exchanges and investors.

Financial Performance

• Q1 FY27 revenue INR 384 crore, up 20% YoY.
• EBITDA INR 63.5 crore, up 10% YoY; PAT INR 16.3 crore, up 55% YoY.
• Base business revenue INR 307 crore, up 24% YoY; EBITDA INR 72 crore, up 8% YoY.
• Ibuprofen EBITDA margin negative 12%; marginal sequential improvement.
• Net debt reduced ~INR 135 crore in the quarter; net debt ~INR 479 crore.
• Net debt to EBITDA ~1.9x as of 30 Jun; target ~1.7x by Mar-27.
• Capex guidance FY27 ₹55-60 crore; FY28-29 ₹40-50 crore annually.
• Base capacity utilization across Cuddalore, Bangalore, Ambernath ~70%.

Operating Update

• Vizag mothballed; not used for base or CRAMS; plan on hold.
• Top priorities: expand existing business, seed new businesses, and optimize working capital.
• Ibuprofen review to conclude by H1 FY27; updates expected in Q2 results.
• Base growth driven by geographic expansion and debottlenecking capex.

Balance Sheet and Cash Flow

• Net debt ~₹479 crore; net debt/EBITDA ~1.9x as of 30 Jun 2026.
• Debt reduction aided by ~₹100 crore rights-issue funds realized May 2026 and ₹35 crore from operations.
• Aim to be net debt-free by FY29.
• Working capital discipline underway with planned inventory norm improvements.

Capex and Projects

• FY27 capex ~₹55-60 crore; ~₹40 crore for debottlenecking; ₹10-₹15 crore for maintenance.
• No greenfield; Vizag not planned for CRAMS; focus on debottlenecking 20-30% capacity uplift.
• Debottlenecking capex payback expected in 2-3 quarters.

Guidance and Outlook

• Base EBITDA margin target around 52-55%; aspiration near 55%.
• Base revenue growth target at least 10% YoY; long-term growth expected.
• Ibuprofen review outcome in H1 FY27; no fixed date yet.

Q&A Highlights

• Three levers for turnaround: expand existing business, debottleneck capacity, optimize working capital.
• Pricing: most customers accept price increases with transparent pass-through; some exceptions.
• West Asia crisis ongoing; raw-material costs and supply constraints remain risks.

Unaudited results and report

• Board approved unaudited standalone and consolidated results for quarter ended June 30, 2026.
• Results enclosed with Limited Review Report from Deloitte Haskins & Sells.
• Unaudited results will be available on the company website.

Meeting Details

• July 23, 2026, 04:00 PM IST; Analysts/Investors Conference Call – Group Meet; Organizer: Solara.

Participants

• Key company participants: MD & CEO; CFO.

Purpose

• Discuss unaudited Q1 FY27 results for quarter ended June 30, 2026.

Availability of materials

• Presentations will be available on the company's investor relations website.

Meeting Details

• Board meeting scheduled for July 23, 2026; time and venue not disclosed.

Key Agenda Items

• Consider and approve unaudited standalone and consolidated financial results for quarter ended June 30, 2026.

Other Notes

• Trading window closed for designated persons from July 1, 2026 till 48 hours after results announcement.