Financial Performance Summary for Q1 FY27 (Quarter ended June 30, 2026)
Revenue:
- Revenue from operations stood at ₹165.6 crore, compared to ₹163.2 crore in Q1 FY26, registering a growth of 1.5% YoY.
- Growth was held back by logistics disruptions arising from the ongoing crisis in the West Asia region, which delayed a part of API export dispatches during the quarter.
Profitability:
- Gross profit stood at ₹86.9 crore, compared to ₹88.2 crore in Q1 FY26.
- Gross margin contracted to 52.5%, from 54.0% in Q1 FY26 and 60.4% in Q4 FY26.
- Margin contraction was due to an unprecedented sudden increase in the prices of key raw materials, particularly solvents and other crude oil linked inputs, following the crisis in West Asia.
- EBITDA (including other income) stood at ₹16.6 crore, compared to ₹24.8 crore in Q1 FY26.
- EBITDA margin was 10.0% against 15.2% in Q1 FY26.
- PAT stood at ₹3.2 crore, compared to ₹13.5 crore in Q1 FY26.
- EPS was ₹0.93 as against ₹4.12 in the same quarter previous year.
Business and Operational Highlights
Debt Refinancing:
- The Company completed a refinancing of its existing debt facilities, which have been taken over by Axis Finance Limited and Poonawalla Fincorp.
- Aggregate borrowings of ₹205 crore were availed from non-banking financial companies towards repayment of existing high-cost borrowings & capital expenditure.
- The borrowing cost of the Company reduces from 12.5% per annum to sub 10% per annum with effect from 1 July 2026.
- The benefit of reduced borrowing costs will be reflected in finance costs and profitability from Q2 FY27 onwards.
- Consequent to the refinancing, the promoters shareholding of 1,42,03,818 equity shares are now free from pledge.
- This represents 40.65% of the Company's paid-up equity share capital and 94.51% of the Promoter Group's holding.
Regulatory Approvals and Inspections:
- The Company's API manufacturing site at Tanuku, Andhra Pradesh successfully cleared the quality inspection by the Therapeutic Goods Administration (TGA), the drug regulatory agency of Australia.
- On receipt of the GMP certificate, this will enable Wanbury to ship 3 additional APIs to Australia.
- The Patalganga facility completed the Ministry of Food and Drug Safety (MFDS), Korea inspection with zero observations, conducted between 7 and 9 April 2026.
- The formal audit report and GMP certificate were received during the quarter.
Regulatory Submissions:
- The Company expanded its regulatory submissions during the quarter, filing DMFs for Diphenhydramine HCl in Malaysia and Singapore.
- Filed DMFs for Paroxetine HCl in Korea and Latin America.
Post-Quarter Developments:
- Subsequent to the close of the quarter, on 30 July 2026, the Company received a "No DME deficiency letter" from the office of the USFDA for multiple ANDAs referencing Wanbury's Metformin HCl API source across different formulations.
- The company received Certificate of Suitability for Riveroxaben API on 31 July 2026.
Manufacturing Expansion:
- The new state of the art manufacturing block at the Andhra Pradesh site remains under validation and commercialisation for new APIs.
- Commercial scale-up is expected to contribute to performance from the coming quarters.
Management Commentary
Mr. Mohan Rayana, Director of Wanbury Limited, commented:
- Q1 FY27 was marked by an unprecedented increase in input costs driven by the West Asia crisis, which significantly increased prices of solvents and crude oil-linked inputs.
- The entirety of this inflation could not be passed on within Q1 and will be fully passed on in Q2.
- EBITDA margins also reflected a higher employee cost base due to additional hiring for new growth initiatives.
- These pressures are viewed as transitory and not indicative of the Company's normalised operating margins.
- Expects gross margins and EBITDA margins to recover fully from Q2 onwards.
- Expects reduction in finance costs from Q2 FY27 onwards due to refinancing at lower interest rates.
- Operational momentum continued through regulatory inspections, expanded DMF filings, and completed refinancing.
- Expects better performance on topline and profitability in coming quarters driven by:
- Commercial scale-up of newly launched API products
- Recovery of margins within existing portfolio
- Lower finance costs
- Positive operating leverage
Company Background
- Established in 1988, listed on NSE (WANBURY) and BSE (524212).
- Strong presence in API global market and domestic branded formulations.
- APIs exported to over 50 countries with Pan-India formulation presence.
- USFDA & EUGMP approved facilities at Tanuku (Andhra Pradesh) and Patalganga (Maharashtra).
- API product portfolio includes: Metformin, Sertraline, Tramadol, Diphenhydramine, Mefenamic acid, Paroxetine, Ketamine Hydrochloride.
- Formulation presence across therapeutic categories: cough and cold solutions, gynecology, orthopedics, nutraceuticals, gastro intestinal, anti-inflammatory, & analgesics.