Anupam Rasayan India Limited — Q4 FY26 earnings call

Call held 25 May 2026

Management summary

Anupam Rasayan reported a landmark FY26 with its highest ever revenue of INR2,384 crores, a 65% YoY increase, and a significant rise in PAT to INR222 crores. The company strategically expanded its portfolio through the acquisition of Jayhawk Fine Chemicals and a definitive agreement to acquire a controlling stake in Bliss GVS Pharma, aiming to build an integrated global life science and specialty pharmaceutical platform. While Q4 FY26 saw a slight dip in EBITDA and PAT compared to Q4 FY25, management expressed confidence in future growth driven by diversified revenue streams and synergistic acquisitions.

Highlights

  • FY26 revenue from operations grew 65% Y-o-Y to INR2,384 crores, marking the highest ever revenue.

  • FY26 EBITDA increased to INR543 crores from INR412 crores in FY25, with a 23% margin.

  • FY26 Profit after tax was INR222 crores, up from INR160 crores in FY25.

  • Operating cash flow of INR334 crores generated during FY26 due to improved asset utilization and working capital management.

  • Strategic acquisitions of Jayhawk Fine Chemicals completed and definitive agreement for Bliss GVS Pharma signed, aiming to build an integrated global life science and specialty pharmaceutical platform.

Concerns

  • Q4 FY26 EBITDA declined to INR141 crores (22% margin) from INR150 crores in Q4 FY25.

  • Q4 FY26 Profit after tax declined to INR56 crores (9% margin) from INR63 crores in Q4 FY25.

  • Working capital days remain high at 240-250 days standalone and 215-220 days pro forma.

Key financials

2 periods

Headline

  • Revenue from Operations
    ₹2,384 Cr
    YoY +65%

FY26

  • EBITDA
    ₹543 Cr
    YoY +31.8%
  • EBITDA Margin
    23%
  • PAT
    ₹222 Cr
    YoY +38.8%
  • PAT Margin
    9%
  • Operating Cash Flow
    ₹334 Cr

What they filed

Q1 FY27: revenue up 4.1%, net profit up 6.7% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue191 212 331 316 588 +208%401 +89%371 +12%329 +4%
EBITDA52 72 106 94 109 +110%101 +40%101 −5%109 +16%
Net profit14 19 38 30 41 +193%48 +153%42 +11%32 +7%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Segment breakdown

  • Agrochemicals (FY26 Standalone)
    55% Revenue Contribution
  • Pharma (FY26 Standalone)
    20% Revenue Contribution₹339 Cr Revenue (FY26)₹21 Cr Revenue (FY22)15 fold Growth (FY22-FY26)
  • Performance Materials (FY26 Standalone)
    18% Revenue Contribution₹305 Cr Revenue (FY26)₹97 Cr Revenue (FY22)3 fold Growth (FY22-FY26)
  • Personal Care (FY26 Standalone)
    7% Revenue Contribution

Capital allocation

  • Capex ₹315 Cr
    • Last leg of capex program, commercialization of all plants
    • Maintenance capex ₹50 Cr
    • Maintenance capex (upper range) ₹75 Cr
    • Bliss GVS Halol capex for CDMO business ₹250 Cr
    During the year, we did capex of INR315 crores towards the last leg of the capex program. And with that, all our plants are commercialized. We are not envisaging any major capex in near future as current capacity is enough to take care of the near-term growth.
  • Debt Gross ₹1,500 Cr · Net ₹1,100 Cr
    • New borrowing To fund Bliss GVS acquisition via non-convertible debentures ₹300 Cr
    today, my balance sheet carries around about INR1,500 crores of debt on a consol basis on a gross level basis. On a net basis, that number will be around about INR1,100 crores and something.
  • M&A Jayhawk Fine Chemicals Acquisition · Closed

    Strategic manufacturing footprint in the U.S., strengthens advanced custom synthesis capabilities, expands access to innovation-led and highly regulated markets, deepens relationships with multinational customers, increases participation in high-growth sectors like defense and semiconductors.

    Consolidated only 1 month and 2 days of Jayhawk performance in current financial year; full synergy benefits and financial contribution will be more visible going forward in FY27.

    we have successfully completed the acquisition of Jayhawk Fine Chemicals. And this acquisition provides us with a strategic manufacturing footprint in the U.S., strengthens our advanced custom synthesis capabilities and expands our access to innovation-led and highly regulated markets.
  • M&A Bliss GVS Pharma Limited Acquisition · Signed

    Build an integrated global life science and specialty pharmaceutical platform, strengthen presence across pharmaceutical value chain from key starting materials to finished dosage formulations, established capabilities in niche dosage forms across therapeutic segments, strong international footprint.

    EPS accretive from day 1. Funding via ~INR300 crores NCDs and non-controlling, non-voting equity instruments for balance consideration.

    we have entered into a definitive agreement to acquire 43.3% to 48.2% equity stake along with an open offer of up to 26% additional shares to public shareholders of Bliss GVS Pharma Limited. This marks another important milestone in Anupam Rasayan's vision of building an integrated global life science and specialty pharmaceutical platform.
  • Liquidity Liquidity disclosed Operating cash flow of INR334 crores during FY26. Working capital improvement expected in FY27.
    We have delivered operating cash flow of INR334 crores during FY'26 on the back of improved asset utilization, operational efficiency and better working capital management.

Guidance & targets

Revenue

  • Standalone Revenue Growth Rate Revenue · next 3-5 years · High confidence 20-30% CAGR
    But a growth of 20% to 25% or 30% growth rate over the next 3 to 5 years on a CAGR basis is something that we should be striving for

    — Vishal Thakkar

EBITDA Margin

  • Blended EBITDA Margin EBITDA Margin · going forward · Medium confidence in the range of current year's numbers (23%)
    I think on a blended basis, we should be able to look at those kind of numbers in the range of even this year's numbers represent. I believe that's the kind of a number I would really go with for now.

    — Vishal Thakkar

Working Capital

  • Working Capital Days (Pro forma) Working Capital · going forward · Medium confidence 215-220 days
    I think the number should be on a consolidated basis, the working capital number should be in the range of 215 to 220-odd days kind of a number on a pro forma basis if I were to say.

    — Vishal Thakkar

Tax Rate

  • Effective Tax Rate Tax Rate · going forward · High confidence around 25%
    Yes, we are envisaging a lower tax rate going forward. I think going forward, we should be looking at around about 25% as a tax rate going forward.

    — Vishal Thakkar

Capacity Utilization

  • Bliss GVS Capacity Utilization Capacity Utilization · near to medium term · High confidence 60-70%

    Previously 30% → 60-70%

    this company is today having an operating capacity utilization of only 30% and we believe that, that can be very quickly enhanced to 60% to 70% in the near to medium term

    — Vishal Thakkar

Revenue Potential

  • Bliss GVS Revenue from Current Gross Block Revenue Potential · immediate near future or in the near to medium-term future · Medium confidence INR3,000 crores
    today, the capacity utilization, as we said, was in the range of 30% and the top line is around INR1,000 crores. So we are looking at 60% to 70% in immediate near future or in the near to medium-term future. And proportionately, we expect the revenue to be there from that kind of an asset utilization.

    — Vishal Thakkar

What to watch in Q1 FY27

Working Capital Days (Consolidated)

FY27
Current ~215-220 days (pro forma)
Target Further improvement

Why it matters

Management guided for continued improvement in working capital, which is crucial for cash flow generation and overall financial health.

This improvement is in line with our guidance of working capital improvement, and we further expect it to improve in FY27.

Risks & concerns

  • High working capital days

    medium

    Standalone working capital days at 240-250, pro forma at 215-220, but management expects improvement.

    Analyst acknowledged

  • Integration of acquired entities (Jayhawk, Bliss GVS)

    medium

    Synergies expected in 6-18 months, entities to run independently but leverage strengths, confident in success based on Tanfac.

    Analyst acknowledged

  • Potential conflict of interest with customers due to diversified offerings

    low

    Management states the market is large enough for players operating across KSM, API, CDMO, and finished dosage.

    Analyst downplayed

Q&A highlights

7 direct
Rationale for Bliss GVS acquisition and management continuity Direct
The strategic rationale as we had suggested in our presentation as well, the way we were looking at it is that Anupam has been focusing on pharmaceutical industry as an end market... And this is more in the KSM segments largely. And we believe that this acquisition of Bliss shall help us in terms of offering a larger full pharma platform to our customers as well as Bliss' customers. ...the current management shall continue.

Clarifies the strategic intent behind the significant acquisition and reassures about management stability post-acquisition, which is crucial for integration success.

Asked by Harsh Shah

Pro forma revenue post-consolidation and operational strategy for acquired entities Direct
if I look at as of today delivered business on a pro forma basis, we should be looking at over INR_4,000 crores of revenue and an EBITDA of around about INR834 crores on a consol basis, I would say. ...the whole idea is to keep them as their own as a separate entity and run the business separately.

Provides a clear financial picture of the combined entity and outlines the operational strategy of maintaining independence for acquired businesses while leveraging synergies.

Asked by Tanya Chowdhary

Synergies from Bliss GVS acquisition, funding, and EPS accretion Direct
the synergies and the cross leverage of the strengths will start playing out over near to medium term... should start giving results in 6 to 18 months' time. ...we'll be raising a debt through NCDs of around about INR300 crores to fund this project and balance, which will be in our wholly owned subsidiary... Also, yes, it will be EPS accretive from day 1.

Details the expected financial and operational benefits from the acquisition, including funding mechanisms and immediate positive impact on EPS.

Asked by Tanya Chowdhary

Underlying growth trajectory of base business (excluding Jayhawk) and evolving business mix Direct
the -business of stand-alone business has seen a very significant growth. If you see this year, we have been able to deliver over 60% to 70% growth rate in our annual revenues. And we believe that this growth because trajectory shall continue... But a growth of 20% to 25% or 30% growth rate over the next 3 to 5 years on a CAGR basis is something that we should be striving for.

Gives insight into the organic growth expectations for the core business, indicating a strong standalone performance complementing the acquired entities.

Asked by Tanya Chowdhary

Potential peak revenue from current gross block (standalone) and maintenance capex Direct
Ankur we should be looking at about INR3,500 crores kind of a number from this revenue -- sorry, from this block at least. ...I would say around about INR50-odd crores of maintenance capex. ...So, I think INR50 crores to INR75 crores is what you can look at the capex.

Provides clear estimates of the revenue potential from existing assets and the ongoing capital expenditure for maintenance, indicating efficient asset utilization.

Asked by Ankur Periwal

Reasons for Bliss GVS promoters selling and Anupam's selection as buyer Direct
there was a succession planning there, which was the reason that they had to say. The selling promoter is a very senior citizen... Also, why Anupam and why I say, we have been in touch with the Bliss promoter for last 2 years, and they believe in our vision, the way we work, the way we operate our ethics and ethos.

Explains the motivation behind the significant acquisition, highlighting succession planning and the trust placed in Anupam's vision and operational ethics.

Asked by Meet Gada

Potential conflict of interest with customers as Anupam enters regulated pharma markets Direct
I think this market is a very large market. There are enough examples where you will be seeing that somebody is doing all the 3 sets, so KSM, APIs, CDMO as well as finished dosage. It's only we need to be mindful.

Addresses a key concern about customer relationships and market positioning as Anupam expands into new, regulated segments, with management indicating sufficient market space.

Asked by Varun Pinto

3 min read 6 chapters

Detailed narrative

Strategic Acquisitions Drive Diversification and Platform Expansion

Anupam Rasayan completed the acquisition of Jayhawk Fine Chemicals, strengthening its US footprint and custom synthesis capabilities. Additionally, the company signed a definitive agreement to acquire 43.3-48.2% equity in Bliss GVS Pharma, aiming to establish an integrated global life science and specialty pharmaceutical platform. These strategic moves have significantly diversified the revenue mix, reducing agrochemicals' contribution from 76% in FY22 to 55% in FY26, while pharma revenue grew 15-fold to INR339 crores in FY26 and high-performance materials revenue tripled to INR305 crores in FY26.

Robust Financial Performance in FY26

FY26 was a landmark year for Anupam Rasayan, achieving its highest ever revenue from operations of INR2,384 crores, a 65% YoY increase from INR1,448 crores in FY25. EBITDA for the year grew to INR543 crores from INR412 crores in FY25, maintaining a healthy 23% margin. Profit after tax also saw a substantial increase to INR222 crores in FY26, up from INR160 crores in FY25, reflecting strong execution across key business verticals and scale-up of commercial molecules.

Q4 FY26 Performance and Margin Trends

In Q4 FY26, total income increased 26% YoY to INR639 crores. However, EBITDA for the quarter was INR141 crores (22% margin), a slight decline from INR150 crores in Q4 FY25. Similarly, Profit after tax for Q4 FY26 was INR56 crores (9% margin), down from INR63 crores in Q4 FY25. Management noted that while there is an upward bias in margins from the pharma and polymer segments, these products are currently ramping up, and full margin profiles will emerge once they are fully scaled.

Capital Expenditure and Debt Management

Anupam incurred INR315 crores in capex during FY26, completing the last phase of its capex program, with no major capex planned for the near future as current capacity is sufficient. Maintenance capex is projected at INR50-75 crores annually. Consolidated gross debt stands at approximately INR1,500 crores, with net debt around INR1,100 crores. The Bliss GVS acquisition will add about INR300 crores in debt via NCDs, bringing the pro forma net debt to INR1,400-1,500 crores, which management considers comfortable given a pro forma EBITDA of over INR650 crores.

Working Capital Improvement and Future Growth Outlook

The company generated INR334 crores in operating cash flow during FY26, driven by improved asset utilization and working capital management, with further improvements expected in FY27. Management projects the standalone business to grow at a CAGR of 20-30% over the next 3-5 years. The current gross block is estimated to generate around INR3,500 crores in revenue, and Bliss GVS's current 30% capacity utilization is targeted to increase to 60-70% in the near to medium term.

Synergies and Operational Strategy for Acquisitions

Management emphasized that acquired entities like Jayhawk and Bliss GVS will run independently but leverage each other's strengths, mirroring the successful integration of Tanfac Industries. Synergies from Bliss GVS, particularly in expanding the pharma platform and CDMO opportunities, are anticipated to materialize within 6-18 months and are expected to be EPS accretive from day one. The company aims to offer a comprehensive solution across the value chain, from KSM to finished dosage formulations.

This is an AI-generated summary of a publicly available earnings call transcript.
View original transcript

More Chemicals earnings calls