Viyash Scientific Limited reported a robust performance for the first quarter of FY’27. Revenue from operations grew by 19.5% year-on-year to ₹946 crore. EBITDA saw a substantial increase of 59.2% to ₹205 crore, with margins expanding to 21.6%. Profit after tax more than doubled, reaching ₹79 crore, reflecting improved operational efficiency and a strengthened balance sheet.
Strong Q1 FY’27 Financial Performance
Viyash Scientific Limited (formerly known as Sequent Scientific Limited) has announced its financial results for the first quarter ended June 30, 2026 (Q1 FY’27), showcasing significant year-on-year growth. The company’s Revenue from operations reached ₹946 crore, marking a substantial increase of 19.5% compared to the same period last year. Sequentially, revenue grew by 2.9%.
Profitability and Margin Expansion
The company’s operational profitability also saw considerable improvement. EBITDA surged by 59.2% year-on-year to ₹205 crore. The EBITDA margin expanded by approximately 530 basis points, reaching 21.6%, up from 16.2% in Q1 FY’26. Profit after tax more than doubled, growing by 115% to ₹79 crore, compared to ₹37 crore in the prior year’s quarter. This performance reflects successful initiatives, operational efficiency, and disciplined cost management.
Strengthened Balance Sheet
Viyash Scientific continues to show improvement in its balance sheet. The net debt has reduced to ₹86 crore, with the net debt to EBITDA ratio now standing at a low 0.1x. The company highlighted that in the last four quarters, it has transformed from a leveraged entity to a virtually debt-free company on a net basis, creating opportunities for brownfield expansion and inorganic growth.
Segmental Performance and Growth Drivers
The Animal Health Formulation business demonstrated strong growth across all regions, driven by new product launches, geographic expansion, and R&D investments. The domestic market saw a significant upswing of 60%. In the Human Formulation segment, the US business grew by 60%, focusing on complex products with backward integration.
The API revenue was broadly flat quarter-on-quarter due to timing issues related to raw material price volatility and customer wait-and-watch approaches. However, the company anticipates a strong rebound in the current quarter, expecting it to be the best quarter for API historically.
Strategic Investments and Acquisitions
Viyash Scientific has signed a Share Purchase Agreement (SPA) for the acquisition of Bio For Life in Italy, a significant move to strengthen its companion Animal Health business. This acquisition will provide direct market access in Italy, one of Europe’s largest companion animal markets, and bring a portfolio of approximately 85 products.
The company is also focusing on filling white spaces in its current portfolio and expanding markets for existing products. For Human Formulations, the focus remains on first-to-file opportunities and high-potent complex formulations, with backward integration support. The API and CDMO segments are targeting day 1 launches of complex molecules.
Outlook and Future Prospects
The management expressed confidence in sustained double-digit revenue growth and stable EBITDA margins (around 20-22%). The company plans to continue investing organically in R&D and manufacturing, alongside selective inorganic growth opportunities, while maintaining margin discipline. The strategic focus remains on companion Animal Health and complex formulations. Management anticipates significant growth from 2029 onwards, particularly with new product launches and the expected benefits from the BioForLife acquisition.
Source: BSE
