Shilpa Medicare Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Shilpa Medicare Ltd filed with BSE on 10 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Shilpa Medicare reported its highest-ever quarterly revenue and EBITDA for the fourth consecutive quarter, with revenue of Rs 469 crores growing 43% year-on-year and EBITDA of Rs 139 crores growing 42% with a 30% margin. Management attributed the growth to the Formulation segment more than doubling, API growing 15%, and Biologics growing 42%, alongside a credit rating upgrade from A+ to AA-. Management also discussed multiple pipeline programs across API, Formulation and Biologics divisions, including oncology, biosimilars, and CDMO programs at various stages of development.
Numbers mentioned
Revenue: INR469 crores (Q1 FY27)
p. 5
“our quarterly revenue at INR469 crores, reflecting a growth of 43% year-on-year, backed by healthy gross margin of 71% for the quarter”
Alpesh Dalal, page 5 of the filed PDF · View the filing
EBITDA: INR139 crores (Q1 FY27)
p. 5
“EBITDA for the quarter was INR139 crores, growing at 42% with an EBITDA margin of 30%”
Alpesh Dalal, page 5 of the filed PDF · View the filing
Operating PBT: INR92 crores (Q1 FY27)
p. 5
“our operating PBT, which is before share of profit from JVs and associates and for exceptional items was INR92 crores against INR50 crores in the same quarter last year”
Alpesh Dalal, page 5 of the filed PDF · View the filing
Reported PBT: INR98 crores (Q1 FY27)
p. 5
“our reported PBT stood at INR98 crores, growing at 98% year-on-year”
Alpesh Dalal, page 5 of the filed PDF · View the filing
Reported PAT: INR101 crores (Q1 FY27)
p. 5
“Reported PAT for the quarter was INR101 crores, growing at 115% year-on-year”
Alpesh Dalal, page 5 of the filed PDF · View the filing
Capex: INR114 crores (Q1 FY27)
p. 5
“we have spent about INR114 crores in the first quarter, and the capex is primarily funded through our internal accruals and deployed across our different businesses”
Alpesh Dalal, page 5 of the filed PDF · View the filing
ROCE: 12.5% (FY25 to current)
p. 5
“ROCE improving to 12.5% from 8.8% in FY25”
Alpesh Dalal, page 5 of the filed PDF · View the filing
ROCE adjusted for Biologics and NBE: 18.3%
p. 5
“adjusted for the biologics and NBE businesses, the ROCE actually stood at 18.3% because these businesses are still at early stages and have a lot of revenue generation opportunities left”
Alpesh Dalal, page 5 of the filed PDF · View the filing
API division revenue: INR260 crores (Q1 FY27)
p. 6
“Our API business clocked a revenue of INR260 crores for the quarter, growing at 15% year-on-year”
Alpesh Dalal, page 6 of the filed PDF · View the filing
Formulation revenue: INR198 crores (Q1 FY27)
p. 6
“The Formulation revenue for the quarter was at INR198 crores, growing over 100% year-on-year”
Alpesh Dalal, page 6 of the filed PDF · View the filing
Biologics segment revenue: INR52 crores (Q1 FY27)
p. 6
“Our Biologics segment reported revenue of INR52 crores, growing at 42% year-on-year”
Alpesh Dalal, page 6 of the filed PDF · View the filing
Net debt to EBITDA: 1.3x
p. 3
“Today, we have net debt to EBITDA of 1.3x, a ROCE of double digit, a credit rating just upgraded to AA-”
Keshav Bhutada, page 3 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Peptide manufacturing capacity — commissioning of block for solid-phase synthesis capability · end of FY27
stated firmly by Keshav Bhutada
p. 3
“which will have capability of manufacturing from start to end in solid-phase synthesis and block will complete commissioning by end of FY27”
Keshav Bhutada, page 3 of the filed PDF · View the filing
NCE programs commercialization — 3 NCE programs commercialized · FY28
stated firmly by Keshav Bhutada
p. 4
“we have 3 NCE programs in advanced phases, which will get commercialized in FY28”
Keshav Bhutada, page 4 of the filed PDF · View the filing
Oncology product validations — 15 new oncology product validations · FY27
stated firmly by Keshav Bhutada
p. 4
“We remain on track to complete 15 new oncology product validations on the generic side in FY27”
Keshav Bhutada, page 4 of the filed PDF · View the filing
Nor-UDCA global Phase II studies — global Phase II clinical studies · FY27
stated firmly by Keshav Bhutada
p. 4
“we will be starting global Phase II clinical studies in FY27”
Keshav Bhutada, page 4 of the filed PDF · View the filing
Formulation launches (Abraxane, Enzalutamide, Abiraterone) — launch of three filings · FY28
stated firmly by Keshav Bhutada
p. 4
“Three important near-term filings, which are Abraxane, Enzalutamide and Abiraterone formulation, are on track to be launched in FY28”
Keshav Bhutada, page 4 of the filed PDF · View the filing
Rotigotine transdermal patch launch — U.S. launch · FY28
stated firmly by Keshav Bhutada
p. 4
“we remain on track for launch in FY28”
Keshav Bhutada, page 4 of the filed PDF · View the filing
Aflibercept biosimilar launch — India launch · FY27
stated firmly by Keshav Bhutada
p. 4
“we remain on track for launch in India market in FY27”
Keshav Bhutada, page 4 of the filed PDF · View the filing
Nivolumab launch — India launch · FY28
stated firmly by Keshav Bhutada
p. 4
“we remain confident for launching this product in FY28 in India”
Keshav Bhutada, page 4 of the filed PDF · View the filing
ADC biosimilar human studies — entering human studies · FY27
stated firmly by Keshav Bhutada
p. 5
“Our first ADC biosimilar is also on track for entering human studies in FY27”
Keshav Bhutada, page 5 of the filed PDF · View the filing
NBE programs (mAbTree, Alveolus Bio) human studies — entering human studies · FY27
stated firmly by Keshav Bhutada
p. 5
“the programs with mAbTree and Alveolus Bio, are on track to enter human studies in FY27”
Keshav Bhutada, page 5 of the filed PDF · View the filing
Recombinant human albumin clinical studies — start human clinical studies; file next year in India · current year / next year
stated firmly by Keshav Bhutada
p. 5
“we are confident of starting human clinical studies in the current year, and we remain on track for filing in the next year in India”
Keshav Bhutada, page 5 of the filed PDF · View the filing
Tax rate — around 25% · coming quarters
stated firmly by Alpesh Dalal
p. 5
“Going forward, we expect the tax rate to normalize at around 25% for the coming quarters”
Alpesh Dalal, page 5 of the filed PDF · View the filing
ROCE — coming years
stated as an aspiration by Alpesh Dalal
p. 5
“we remain confident of improving our operating leverage, driven by an improved business mix, resulting in higher ROCE in the coming years”
Alpesh Dalal, page 5 of the filed PDF · View the filing
EBITDA margin — similar range
stated as an aspiration by Alpesh Dalal
p. 11
“We would like to be conservative and overdeliver. So we would expect margins to remain in a similar range”
Alpesh Dalal, page 11 of the filed PDF · View the filing
API division capex — no significant new capex in Biologics or Albumin · next 3 years
stated firmly by Keshav Bhutada
p. 10
“we don't need any significant capex in new investments such as Biologics or Albumin, where we have already invested a lot”
Keshav Bhutada, page 10 of the filed PDF · View the filing
NCE programs entering commercial phase — 3 NCE programs · next year
stated firmly by Keshav Bhutada
p. 12
“what visibility we have for next year, we have 3 NCE programs, which will enter commercial phase”
Keshav Bhutada, page 12 of the filed PDF · View the filing
CDMO business growth
stated as an aspiration by Keshav Bhutada
p. 11
“We remain very confident and positive that CDMO as a business will continue to grow”
Keshav Bhutada, page 11 of the filed PDF · View the filing
Unicycive refiling — refile with USFDA · Q3
stated conditionally by Keshav Bhutada
p. 11
“they have received the CRL letter from USFDA, and they plan to refile in Q3”
Keshav Bhutada, page 11 of the filed PDF · View the filing
Biologics business growth
stated as an aspiration by Alpesh Dalal
p. 10
“The Biologics business, from a growth trajectory perspective, should witness significantly higher growth, purely because it's on a smaller base and a lot of the future lies on the Biologics side”
Alpesh Dalal, page 10 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said existing investments in Biologics and Formulation still have room for capacity utilization, while API is where additional capex is being deployed.
Answered by Keshav Bhutada
Asked by Sajal Kapoor: Whether Shilpa has enough capability now versus building new capacity
p. 6
“we have invested heavily in Biologics. We have invested heavily in Formulations. And those investments for us could translate into sizable revenue because there the capacity utilization, is very less today”
Keshav Bhutada, page 6 of the filed PDF · View the filing
Management said it cannot give specific guidance but expects a healthy, steady growth trajectory with better ROCE, and flagged regulatory pathway challenges as a possible risk to the growth trajectory.
Answered by Alpesh Dalal
Asked by Gaurav Bhardwaj: How does the company see profitability and ROCE in 2-3 years, and what barriers could slow growth
p. 7
“the growth trajectory looks very robust, with a faster-growing trajectory on profitability, resulting in better ROCEs across the board”
Alpesh Dalal, page 7 of the filed PDF · View the filing
Management declined to give product-level sales numbers but pointed to strong order trajectory as an indicator of the product's traction.
Answered by Keshav Bhutada
Asked by Krisha Kansara: How much of the INR59 crores domestic Formulation revenue came from Nor-UDCA
p. 8
“product level, we don't give sales numbers. But as I mentioned, we have very strong order trajectory. I think that should give confidence to everyone on the product”
Keshav Bhutada, page 8 of the filed PDF · View the filing
Management said this reflects normal quarter-to-quarter variation in manufacturing and stocking rather than a change in underlying product performance.
Answered by Keshav Bhutada
Asked by Yash Doshi: Why domestic Nor-UDCA revenue dipped quarter-on-quarter
p. 9
“some quarters see more stocking. Sometimes we manufacture more, and some quarters we manufacture less, based on demand and the delivery schedule”
Keshav Bhutada, page 9 of the filed PDF · View the filing
Management confirmed specialty CDMO would be a growth driver and cited roughly 3 late-stage programs headed for commercialization.
Answered by Keshav Bhutada
Asked by Nikhil Upadhyay: Whether CDMO will be the next leg of API growth and how many programs will start commercial sales in FY27-28
p. 9
“we have almost 3 late-stage programs, which will enter into commercialization next year”
Keshav Bhutada, page 9 of the filed PDF · View the filing
Management said the ~30% margin has been consistently maintained and they expect it to remain in a similar range going forward, preferring to be conservative.
Answered by Alpesh Dalal
Asked by Rakesh Mehta: What is the current EBITDA margin sustainability and trajectory
p. 10
“we have been consistently able to maintain that around 30% levels. So there is consistent performance showing that we are in that particular range”
Alpesh Dalal, page 10 of the filed PDF · View the filing
Management attributed part of the dip to higher raw material prices from global political situations, only partially passed on to customers.
Answered by Alpesh Dalal
Asked by Sumit Gupta: What is driving gross margin and why it dipped versus last year
p. 13
“that also has to do with the recent political situation globally -- raw material prices have gone up, which ends up impacting margins, at least for the time being”
Alpesh Dalal, page 13 of the filed PDF · View the filing
Management explained the trade-off between the MAT credit benefit under the new regime versus foregone R&D capex deduction, noting minimal expected new R&D capex.
Answered by Alpesh Dalal
Asked by Nishant: Why did the company move to the new tax regime and forgo R&D capex deduction benefits
p. 13
“What we lose out on, by not moving into the new regime, is the accumulated MAT credit we have in Shilpa Medicare, which we would have to forgo if we don't move into the new regime”
Alpesh Dalal, page 13 of the filed PDF · View the filing
Management said their U.S. products are complex, differentiated products rather than me-too generics, limiting tariff impact, and that they are monitoring regulatory developments before deciding on U.S. manufacturing investment.
Answered by Keshav Bhutada
Asked by Nishant: How will the company counter potential U.S. tariffs on generic drug exports
p. 14
“Shilpa, as a company, is not selling any me-too generics in the U.S. All are complex”
Keshav Bhutada, page 14 of the filed PDF · View the filing
Management attributed the decline to quarter-on-quarter variation in tender-based supply schedules rather than any underlying business weakness.
Answered by Keshav Bhutada
Asked by Akhilesh Pathak: Why did Europe revenue decline from INR77 crores to INR57 crores
p. 15
“there is a variation in quarter-on-quarter supplies. Some quarters we have more supplies, some quarters we have less. So that's the only reason”
Keshav Bhutada, page 15 of the filed PDF · View the filing
Management explained licensing income follows earlier R&D spend, is uneven across periods, and depends on portfolio development rather than being straightforwardly recurring.
Answered by Alpesh Dalal
Asked by Ajay: How does licensing and service income economics work, and is it recurring
p. 17
“the more portfolio development we keep doing, the more licensing opportunity we will keep getting, because that's our fundamental business model”
Alpesh Dalal, page 17 of the filed PDF · View the filing
Management said the Act targets China primarily and they see no major current impact on Shilpa.
Answered by Keshav Bhutada
Asked by Surendra Khemka: Any adverse impact from the U.S. Biosecurity Act on formulations business
p. 17
“as of date, we don't see any major impact of this act on us”
Keshav Bhutada, page 17 of the filed PDF · View the filing
Management confirmed captive sourcing of Formulation exceeds half.
Answered by Keshav Bhutada
Asked by Ajay: What percentage of Formulation requirement is sourced internally (captive)
p. 19
“in Formulation, the overall captive percentage, if I tell you, is more than 50%”
Keshav Bhutada, page 19 of the filed PDF · View the filing
Risks flagged
Regulatory pathway challenges could slow the growth trajectory
p. 7
“if some of those unexpected challenges come up, that might slow down the growth trajectory that we have”
Alpesh Dalal, page 7 of the filed PDF · View the filing
Raw material price increases from global political situation impacting gross margin
p. 13
“that also has to do with the recent political situation globally -- raw material prices have gone up, which ends up impacting margins, at least for the time being”
Alpesh Dalal, page 13 of the filed PDF · View the filing
Only partial ability to pass on higher raw material costs to customers
p. 13
“there are times when only a part of it can be passed on to the customer, not the full amount”
Alpesh Dalal, page 13 of the filed PDF · View the filing
Not every licensing/development program succeeds, requiring write-offs
p. 16
“There are also some failures that we have to budget for, and that goes straight to our P&L as a hit”
Alpesh Dalal, page 16 of the filed PDF · View the filing
CDMO program outcomes depend on partner progress, not fully within Shilpa's control
p. 12
“It depends on our partner, because these programs are not run by us, right?”
Keshav Bhutada, page 12 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.