Shaily Engineering Plastics (501423) Q3 25/26 earnings summary

Executive summary

• Q3 FY 2026 delivered strong revenue growth of 27% YoY to INR 251 crore and EBITDA up 43% to INR 66 crore, with margin expansion to 26.5%.

• Healthcare segment's revenue doubled to 42% of the mix, driven by GLP-1 pen injectors and new contracts, becoming the main growth driver.

• Announced a new scalable facility in Abu Dhabi for pen/auto-injectors, with a planned investment of AED 130-150 million, targeting 75 million units/year by Q4 FY 2028.

• Appointed Joe Kam as COO of Healthcare, bringing significant international experience, effective March 2026.

• Unaudited standalone and consolidated financial results for Q3 and 9M FY26 were reviewed and approved by the Board on February 12, 2026.

Financial highlights

• Q3 FY 2026 consolidated revenue: INR 251 crore (up 27% YoY); EBITDA: INR 66 crore (up 43% YoY); PAT: INR 37 crore (up 48% YoY).

• Nine-month FY 2026 revenue: INR 754 crore (up 32% YoY); EBITDA: INR 218 crore (up 76% YoY); PAT: INR 130 crore (up 101% YoY).

• EBITDA margin expanded by 310 bps to 26.5% in Q3; PAT margin up 220 bps to 14.9%.

• Cash PAT up 39% YoY in Q3 and 73% YoY in 9M FY26.

• Standalone and consolidated EPS for Q3 FY26 were ₹7.75 and ₹8.13, respectively, both higher YoY.

Outlook and guidance

• Capacity expansions in India are fully backed by commercial contracts; Abu Dhabi facility is 50-60% secured and expected to be fully contracted within 18 months.

• Guidance for pen injector volumes in FY 2026 remains around 30 million units, with slight delays due to qualification activities.

• Strategic expansion into Abu Dhabi to support global GLP-1 opportunity and scale drug-delivery manufacturing.

• Full normalization of margins expected in Q1 FY 2027 as high-speed lines ramp up.

• The company continues to monitor regulatory changes, especially regarding new labour codes, and will adjust accounting as needed.