Viyash Scientific (512529) Q2 26/27 earnings summary

Executive summary

• Consolidated H1 revenue rose 17.8% YoY to ₹19,343.0 million and PAT increased 49.4% to ₹1,639.4 million.

• H1 EBITDA before ESOP cost rose 29.9% to ₹4,124 million, with a 21.3% margin; net debt fell to ₹261 million.

Financial highlights

• Consolidated Q2 revenue was ₹9,879.4 million, up from ₹8,503.0 million YoY; PAT was ₹846.5 million and PBT was ₹1,176.8 million.

• Q2 EBITDA before ESOP cost rose 10.3% YoY to ₹2,077 million; the margin was 21.0%, down 110 bps YoY.

• H1 gross margin was 53.9% versus 53.8% YoY; Q2 gross margin was 53.7% versus 55.5%.

• Consolidated Q2 EPS was ₹1.74 basic and ₹1.69 diluted; H1 EPS was ₹3.25 basic and ₹3.14 diluted.

• Consolidated exceptional amalgamation costs were ₹17.0 million in Q2 and ₹29.5 million in H1, versus ₹442.1 million in comparable prior periods.

Segment performance

• H1 formulations revenue rose 26% YoY to INR 11,134 Mn; APIs revenue increased 8% to INR 7,987 Mn.

• H1 formulation growth included Emerging Markets up 39% to INR 4,038 Mn, India up 49% to INR 934 Mn, and Europe up 16% to INR 3,711 Mn.

• H1 USA revenue increased 15% to INR 2,451 Mn, while Q2 USA revenue declined 11% YoY to INR 1,189 Mn.

• Pharmaceuticals is reported as one operating segment, with no separate reportable segment under Ind AS 108.