Solara Active Pharma Sciences541540Quarterly results

Q2 FY27: revenue up 33% to INR 4,178 Mn, EBITDA up 118% to INR 769 Mn, PAT at INR 285 Mn

Q2 FY27: revenue up 33% YoY to INR 4,178 Mn, EBITDA up 118% to INR 769 Mn, PAT INR 285 Mn vs a loss of INR 101 Mn a year ago.

By ScoutQuest · Fri 16 Oct 2026, 1:49 PM IST · 3 min read

Revenue: up 33% YoY to INR 4,178 Mn
EBITDA: up 118% to INR 769 Mn
PAT: INR 285 Mn vs a loss of INR 101 Mn a year ago

The company shared a press release on its financial results for the quarter and half year ended September 30, 2026, along with an earnings presentation.

Headline numbers (overall business)

Revenue INR 4,178 Mn, up 33% YoY and 9% QoQ
EBITDA INR 769 Mn, up 118% YoY and 21% QoQ
EBITDA margin 18.4%, against 11.2% in Q2'26
PAT INR 285 Mn, against a loss of INR 101 Mn in Q2'26
EPS INR 5.92 per share, against INR (2.36) in Q2'26
H1'27 revenue INR 8,021 Mn, up 26% YoY; H1'27 PAT INR 448 Mn

The company states this was its highest quarterly EBITDA and PAT in the last five years.

Base business (excludes the commodity Ibuprofen business)

Revenue INR 3,273 Mn, up 37% YoY and 6% QoQ, staying above INR 3,000 Mn for the third quarter in a row
Gross margin INR 1,645 Mn, at 50.3%
EBITDA INR 771 Mn, at a 23.6% margin, up 68% YoY and 7% QoQ; margin expanded about 440 bps YoY
Revenue, gross margin and EBITDA grew 37%, 29% and 68% YoY in Q2'27 and 6%, 4% and 7% QoQ
The company says regulated markets continue to contribute about 78% of revenues

Ibuprofen business

Revenue INR 905 Mn, up 21% YoY and 18% QoQ
Gross margin INR 327 Mn, at 36.1%
EBITDA loss of INR 2 Mn, narrowed from a loss of INR 87 Mn in Q1'27; EBITDA margin -0.2%, against -11.4% in Q1'27
The company states the business is now close to breakeven
The strategic review of the Ibuprofen business, run with the Board's advisors, has reached an advanced stage; the company states it expects to share further updates with shareholders within the next 12 weeks

Balance sheet

Net debt INR 5,000 Mn as at Sep'26, down INR 1,141 Mn, or 19%, from Mar'26
Net debt to EBITDA about 1.8x, from 3.2x at the end of FY26
Gross debt reduced by INR 944 Mn in H1'27 to INR 5,700 Mn, led by an INR 1,597 Mn reduction in working capital loans; term loans increased by INR 653 Mn for funding growth and maintenance capex requirements
The INR 1,141 Mn net debt reduction during H1'27 came from INR 1,000 Mn of rights issue proceeds and INR 141 Mn from operating cash flows
Net worth INR 10,713 Mn at Sep'26, against INR 8,880 Mn at Mar'26

Other items in the numbers

Exceptional items of INR 45 Mn relate to loss on sale of unusable plant and equipment at the Vizag facility
Depreciation INR 266 Mn and finance costs (net) INR 173 Mn in Q2'27

The company's commentary

Sandeep Rao, Managing Director & CEO, states this is the company's best quarter in five years with the improvement coming from every part of the business, and that the base business revenue stayed above INR 3,000 Mn for the third quarter in a row even as raw material costs rose. He adds that lower net debt to EBITDA gives room to keep investing in growth.

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