Board Meeting Details

The Board of Directors meeting was held on Saturday, 07th November, 2026, at the corporate office at 5TH Floor, 501 SAKAR 4, Opp. Town Hall, Ashram Road, Ahmedabad, Gujarat -380006. The meeting commenced at 03:45 P.M. and concluded at 05:00 P.M.

Financial Results Approval

The Board considered and approved the following documents:

  • Un-audited Standalone Financial Result for the Half year ended on 30th September, 2026
  • Limited Review Report on Standalone Financial Result for the Half year ended on 30th September, 2026
  • Auditor certificate Pursuant to Regulation 32 of SEBI LODR

Financial Performance Highlights (Half Year Ended September 30, 2026)

Income Statement (₹ in Lakhs)

  • Revenue from operations: 4,513.22 (vs. 3,329.29 in H1 FY26, +35.6% YoY)
  • Other Income: 1.59
  • Total Income: 4,514.81
  • Total Expenses: 3,819.01
  • Cost of Material Consumed: 3,499.84
  • Employee Benefit Expense: 136.36
  • Finance Cost: 6.49
  • Depreciation & Amortization Expense: 37.65
  • Other Expenses: 146.40
  • Profit before tax: 695.80 (vs. 601.45 in H1 FY26)
  • Tax expense: 175.19
  • Current tax: 173.94
  • Deferred tax: 1.25
  • Profit after tax: 520.61 (vs. 450.07 in H1 FY26, +15.4% YoY)
  • Earnings per share (Basic): 3.10 (vs. 3.89 in H1 FY26)
  • Earnings per share (Diluted): 2.56 (vs. 2.21 in H1 FY26)

Balance Sheet Position as at September 30, 2026 (₹ in Lakhs)

  • Total Equity & Liabilities: 9,282.60 (vs. 8,423.29 at March 31, 2026)
  • Share Capital: 1,683.68
  • Reserves and Surplus: 6,195.80
  • Money Received against Share Warrants: 372.96
  • Total Borrowings: 205.17 (Long-term: 183.53, Short-term: 21.64)
  • Total Assets: 9,282.60
  • Inventories: 3,152.42 (127 days)
  • Trade Receivables: 1,160.00 (47 days)
  • Cash and Cash Equivalents: 179.42

Cash Flow Statement (Half Year Ended September 30, 2026) (₹ in Lakhs)

  • Net Cash From Operating Activities: (69.08)
  • Net Cash From Investing Activities: (53.09)
  • Net Cash From Financing Activities: 193.70
  • Net Increase in Cash: 71.53
  • Cash at Beginning: 107.89
  • Cash at End: 179.42

Management Discussion & Analysis Highlights

Financial Performance

  • H1 FY27 Revenue: ₹451.3 million (Rs. 4,513.22 lakh), up 35.6% YoY and 13.3% HoH
  • PAT: ₹51.9 million (Rs. 520.61 lakh), up 15.4% YoY and 14.8% HoH
  • EBITDA: ₹73.8 million, up 17.9% YoY with margin of 16.4%
  • Gross margin: 22.6%, down 237 bps YoY due to increased logistics costs from West Asia war impact
  • Business split: Human health ₹222.6 million, Animal health ₹228.7 million
  • Export revenue: ₹61.1 million (13.5% of total), 95% human health

Working Capital and Borrowings

  • Receivable days: 47 (improved from 59 at March 31, 2026)
  • Inventory days: 127 (increased from 122 at March 31, 2026)
  • Payable days: 3
  • Net trade working capital: 171 days (improved from 175 days)
  • Total borrowings: ₹20.5 million with debt to EBITDA at 0.15x and debt to equity at 0.03x

Capacity and Expansion

  • Current Himmatnagar plant capacity: ~₹1,000 million revenue annually on single shift
  • Twelve months to September revenue: ₹849.7 million (85% of capacity)
  • Planning to run two shifts from end of FY27 to increase output
  • Second plant planned at Himmatnagar with estimated cost of ₹120-150 million
  • Second plant designed for >₹1,000 million revenue annually, doubling total capacity to >₹2,000 million
  • Expected manufacturing licence approvals by December 2026, production from mid to end 2028
  • Gujarat FDCA renewed manufacturing licence to September 2030 and GMP certificate to October 2020

Business Developments

  • Verka Dairies (MILKFED Punjab) awarded one-year rate contract for veterinary medicines with first order in July
  • Repeat orders from Taha Drugs & Chemicals of Sudan in April and May
  • New veterinary feed-supplement orders from Al-Saqr Agro and Genet International
  • Launch of Sheltidin DS herbal cough and throat spray in August
  • CME programme for doctors in Patna in May
  • Participation in Vishwa Ayurveda Parishad exhibition in Jaipur in September
  • Dr. Vinita Gadhvi joined board as independent director in July
  • Participation in i-PHAX at Bharat Mandap, New Delhi

Guidance

  • FY27 Revenue growth guidance: 35-40%
  • FY27 EBITDA margin guidance: 16-18%
  • FY27 PAT margin guidance: 11-13%
  • FY30 Revenue target: ₹2,000 million (28.6% CAGR from FY26)

Auditor Reports

Limited Review Report (Alvi & Associates)

  • Conducted review in accordance with Standard on Review Engagement (SRE) 2410
  • No material misstatement found in the unaudited financial results
  • Review provides moderate assurance, less than an audit

Funds Utilization Certificate

  • Examination of utilization of funds raised through preferential issue of convertible warrants
  • Total funds received: ₹2602.50 lakh
  • ₹930.35 lakh as 25% subscription money on 88,08,000 warrants at ₹42.25 per share
  • ₹1672.15 lakh received upon conversion of 52,77,000 warrants into equity shares (balance 75%)
  • Full amount utilized for disclosed objects:
  • Working Capital Requirements: ₹2531.20 lakh
  • General Corporate Purposes: ₹71.30 lakh
  • No deviation in utilization of funds from disclosed objects

Additional Information

  • Company is engaged in Manufacturing of Pharmaceuticals (single segment as per AS 17)
  • Exempted from compulsory adoption of IND-AS as shares listed on SME Exchange
  • No investor complaints received for the period under review
  • Figures for previous periods regrouped/rearranged for comparability