SMS Pharma FY26 PAT Surges 48% to ₹102 Cr; Board Recommends ₹0.40 Dividend
SMS Pharmaceuticals Limited reported FY26 PAT growth of 48% to ₹102 crore, with EBITDA margin expanding to 19%. Revenue grew 13% to ₹886.87 crore. The Board recommended a final dividend of ₹0.40 per share. A ₹280 crore capex program is on track for FY27 completion.
The strong financial performance, recommended dividend, and positive future outlook, coupled with significant capex plans, are likely to have a high impact on investor sentiment and the company's stock.
The company reported significant year-on-year growth in PAT and EBITDA, along with an increase in revenue. The recommended dividend and positive outlook for FY27 further contribute to the positive sentiment.
SMS Pharmaceuticals Limited (SMS Pharma) announced its audited financial results for the quarter and year ended March 31, 2026. The company reported a full-year Profit After Tax (PAT) growth of 48% year-on-year, reaching ₹102 crore. This growth was attributed to backward integration and a favorable product mix, including a share of profit from its associate company, VKT Pharma.
For FY26, the Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) margin expanded by 155 basis points year-on-year to 19%, driven by backward integration and operating leverage. Revenue from operations for FY26 grew by 13% year-on-year to ₹886.87 crore, supported by strong performance across key Active Pharmaceutical Ingredients (APIs).
The company's Board of Directors has recommended a final dividend of ₹0.40 (40%) per share. SMS Pharma also reported progress on its ₹280 crore capacity expansion program, which is on track for completion by FY27. This expansion aims to enhance capacity for existing APIs, build capacity for new products, and improve R&D capabilities.
Looking ahead to FY27, SMS Pharma anticipates delivering over 15% revenue growth with EBITDA margins in the range of 20%. This growth is expected to be driven by increasing contributions from high-margin APIs, benefits from backward integration, ongoing capacity expansion, and a diversified product portfolio. The company completed 12 Drug Master File (DMF) and Certificate of Suitability to the European Pharmacopoeia (CEP) filings in FY26 and targets 10 submissions in FY27.
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SMS Pharmaceuticals Limited filed this with the NSE as a statutory disclosure, categorised under quarterly results. It is a primary document, not a recommendation, and the desk marks it high impact, which is the band that most often changes something.
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See the model portfoliosA plain-language summary of a public exchange filing by SMS Pharmaceuticals Limited. Read the original for the full detail.