Solara Active Pharma Sciences Limited — Q1FY27 earnings call summary

Filed 23 July 2026 · Company audio recording

Raw material cost pressures from West Asia crisis persist; partial pass-through achieved; operating leverage expected but limited.
Capex of ₹55-60 Cr in FY27 focused on de-bottlenecking (₹40 Cr) and maintenance (₹10-15 Cr); similar levels planned for FY28-29.
EBITDA margin for base business targeted at ~25% ±1% in FY27.
Net debt reduction target to sub-₹450 Cr by March 2027, improving net debt/EBITDA to ~1.7x.
Ibuprofen business EBITDA margin negative ~12%, expected to sustain losses of ₹10-15 Cr per quarter.
Focus on brownfield de-bottlenecking to increase capacity by 20-30% on high-margin products with quick payback.
Ibuprofen business remains a loss-making commodity segment with uncertain turnaround.
Base business revenue grew 24% YoY to ₹307 Cr; target ~10% sustainable YoY growth going forward.