Sudeep Pharma Ltd

Financial Performance

• Q1 FY27 revenue from operations rose 27% YoY to INR158.3 crores.
• EBITDA rose 25% YoY to INR54.9 crores; EBITDA margin 34.7%.
• PAT rose to INR40.6 crores; PAT margin 25.6%.
• Pharma and food nutrition contributed 69% of revenue; specialty ingredients 31%.
• Exports remain the dominant revenue driver.

Operating Update

• Growth was volume-driven; currency contributed about 3%; price pass-through to reflect in Q2.
• NSS Europe environment remained challenging; integration on track; margins expected similar to core by FY28.
• Specialty margins at 26% due to LPG constraints; excluding NSS, core margin in mid-30s.
• PFN grew 30% in the quarter; greenfield commissioning expected in Q3; FY28 growth sustainable.

Projects and Capex

• Navsari greenfield approved for food and nutrition; FDA approval expected this quarter.
• SAM capacity to 200 KTPA being evaluated; Dahej can support 200 KTPA; beyond needs new location.
• Phase 1 commissioning targeted for Apr 2027; long-lead equipment deliveries by Oct.
• Two MOUs signed with South Korean cathode materials; 21 lab validations, 16 pilots, 7 off-takes.

Outlook and Guidance

• NSS to deliver margins similar to core specialty by FY28; improving as integrations materialize.
• Phosphate price pass-through largely in Q2; momentum to continue into H2.
• Greenfield and SAM expansions tied to off-take progress; visibility improving this year.

Q&A Highlights

• PFN revenue split between excipients and nutraceutical actives not disclosed.
• NA approvals for bisglycinate; scaling supplies; delivery behind schedule.
• Dahej can support 200 KTPA; new location required beyond 200.
• Battery materials at 200 KTPA target; asset turns 2.7x–3x.
• Inventory days near-term 160–170; long-term around 150 days.

Shareholding changes

• Acquirer group: Nuvama Crossover Opportunities Fund series III/IIIA/IIIB/IVA; combined 8.4% stake.
• Acquisition mode: preferred allotment for Pre-IPO and open market for IPO.
• CCPS converted to equity shares 1:1 before IPO.
• Equity capital before: 49,31,850; after: 11,29,48,625.
• Total diluted capital after acquisition: 11,29,48,625; stake 8.4%.
• Acquisition dates span 09-07-2024 to 27-11-2025.
• Disposal: 26,68,118 shares sold (2.4%), open market.
• Post-sale holding: 67,83,177 shares, 6.0% diluted.
• Sale dates: multiple dates between 15-06-2026 and 24-07-2026.
• Total diluted capital after sale remains 11,29,48,625.

Meeting Details

• Date and time: Wednesday, 5 August 2026 at 11:00 IST.
• Type and mode: Group earnings call, virtual conference.
• Organiser: Nuvama Wealth Management hosting the call.
• Company participants: Managing Director, Director, Chief Financial Officer.
• Purpose: Discuss Q1 FY27 operational and financial results.
• Recording or transcript: Not mentioned.

Meeting Details

• Board meeting scheduled for Tuesday 4 August 2026; time and venue not disclosed.

Key Agenda Items

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

Other Notes

• Trading window closed for insiders from 1 July 2026 to 6 August 2026.

Record Date details

• Record date to determine entitlement to the final dividend for FY 2025-26.
• Security: equity shares.
• Record date fixed as 23 July 2026.
• Final dividend of ₹1.50 per equity share proposed, subject to AGM approval.
• Approval required from shareholders at AGM on 4 Aug 2026.
• Payments to Demat holders will occur within the stipulated time after AGM approval.
• Payments to Beneficial Owners based on demat data as of 23 July 2026.

AGM notice and dates

• 37th AGM scheduled for 4 August 2026 at 11:00 IST via VC/OAVM.
• Integrated Annual Report FY2025-26 and AGM Notice accessible via company website links.
• Shareholders with unregistered emails receive letters with access links.
• TDS exemption forms due by 22 July 2026; record date for final dividend 23 July 2026.
• Remote e-voting opens 1 August 2026 at 09:00; closes 3 August 2026 at 17:00.
• Dividend payment date is 7 August 2026.
• KYC details should be updated with DP or RTA; contact emails provided.
• RTA for share registry is MUFG Intime India Private Limited.

Overview & numbers

• Consolidated revenue from operations: ₹64,225.80 Lakhs.
• PAT after tax: ₹17,428.47 Lakhs; margin ~26%.
• EPS: ₹15.50 per share (basic/diluted).
• IPO completed Nov 2025; net proceeds ₹8.83 Crore; unutilised ₹7.58 Crore.
• Final dividend ₹1.50 per equity share; AGM on 4 Aug 2026.
• Market cap ~₹6,693 Crore.

Segments & growth

• Two reportable segments: Pharmaceutical, Food & Nutrition; Specialty Ingredients.
• Specialty Ingredients revenue up 63% YoY to ₹280 Crore.
• Pharmaceuticals & Nutrition revenue ~₹362 Crore; ~56% of revenue; volume strength.
• SAMPL: 42 customers; 28 product approvals; 6 MoUs; 700 MT orders.
• NSS Ireland acquisition completed May 2025; Europe manufacturing base established.

Capacity & capex

• Nandesari Greenfield: 51,200 MT; capex ~₹150 Crore; commissioning in H2 FY2027-28.
• Dahej SAMPL Phase I: 25,000 MT; commissioning by Jun 2027; roadmap to 100,000 MT.
• NSS Ireland facility: 7,500+ MT; strengthens European presence.
• Total group capacity: 72,246 MT; utilization ~50% (pharma ~65%).

Capital structure & cash flows

• Post-IPO equity shares: 11.29 crore.
• Total borrowings: ₹148.3 Crore; net debt ₹121.6 Crore; gearing 0.14x.
• Cash from operations: ₹69.55 Crore.
• Dividends: final ₹1.50 per share; payout ₹16.94 Crore.

ESG & governance

• ESG: Renewable energy 26%; hazardous waste diverted 100%; 821 tCO2e avoided.
• CSR: ₹47.66 Lakhs spent; unspent ₹24.82 Lakhs carried forward.
• Governance: Milin Mehta appointed Non-Executive Director; Pranav Parikh resigned (2025).

Risks & outlook

• US tariffs in 2025 affected some customers; ~50% of US business tariff-exempt; ~90% cost passed.
• NSS acquisition reduces regulatory lead times; Europe footprint strengthened.
• Outlook: ramp Nandesari, expand NSS, scale SAMPL; margins to recover as one-time costs subside.

AGM Details

• AGM on 4 August 2026 at 11:00 AM IST via VC/OAVM
• Remote e-voting from 1 Aug 2026 09:00 to 3 Aug 2026 17:00
• Voting cut-off date: 28 July 2026 for eligibility
• Dividend record date: 23 July 2026

Key Resolutions

• Adopt audited standalone and consolidated financial statements for FY 2025-26
• Re-appoint Ajay Shrirang Kandelkar as director, retiring by rotation
• Declare dividend of ₹1.50 per equity share
• Ratify Cost Auditor remuneration for FY 2026-27 up to ₹50,000 plus GST
• Appoint Hemang Mehta as Secretarial Auditor for five years, remuneration up to ₹1,75,000
• Appoint Milin Mehta as Director (Non-Executive & Non-Independent) with immediate effect
• Ratify ESOP 2025; total options up to 21,70,014
• Authorize ESOP 2025 grants to subsidiary employees
• Authorize ESOP 2025 grants to group including associates
• Change remuneration of Ajay Shrirang Kandelkar as Whole Time Director, effective 1 April 2026
• Adopt new set of Articles of Association

Director Changes

• Ajay Shrirang Kandelkar re-appointed as director
• Milin Mehta appointed as Director, Non-Executive & Non-Independent

Auditors & Governance

• Cost Auditor remuneration ratified for FY 2026-27 up to ₹50,000 plus GST
• Secretarial Auditor Hemang Mehta appointed for five years; remuneration up to ₹1,75,000