Advanced Enzyme Technologies (ADVENZYMES) Q2 25/26 earnings summary

Executive summary

• Q2 FY26 revenue reached INR 1,845 million, up 26% year-over-year, with EBITDA up 42% and PAT up 34%; H1 FY26 revenue was INR 3,704 million, up 23% year-over-year.

• PAT for Q2 FY26 was INR 447 million, up 34% year-over-year and 11% quarter-on-quarter, with a PAT margin of 24%.

• Human healthcare/nutrition was the largest segment, contributing 66% of Q2 revenue and growing 22% year-over-year.

• The group operates primarily in manufacturing and sales of enzymes, with all business segments contributing to growth.

• Total income for Q2 FY26 was INR 1,948.12 million, and for H1 FY26 was INR 3,895.76 million.

Financial highlights

• Q2 FY26 EBITDA margin was 33%, and PAT margin was 24%; H1 FY26 EBITDA margin was 31%, PAT margin 23%.

• EPS for Q2 FY26 was INR 3.87, up 32% year-over-year; H1 FY26 EPS was INR 7.44 (basic), up from INR 5.99.

• Gross margin improved to 76% in Q2, and was approximately 75% for H1 FY26.

• Cash and cash equivalents as of September 30, 2025, stood at INR 623.57 million.

• FY25 revenue reached INR 6,369 million, EBITDA was INR 1,944 million, and PAT was INR 1,340 million.

Outlook and guidance

• Management maintains mid-double-digit growth guidance for FY26, with EBITDA margin expected in the 30%-32% range and PAT margin around 21%-22%.

• Focus areas include expanding animal nutrition, probiotics, bio-catalysis, and baking solutions, with new product launches and global distribution.

• Continued investment in R&D and inorganic expansion are key growth drivers.

• Growth in H2 expected to align with initial guidance despite U.S. market headwinds.

• The company is closely monitoring the impact of new US tariffs on enzyme imports; as of September 2025, no material impact was observed.