Aarti Pharmalabs Limited — PPTs, 11-11-2025: Investor Presentation

Aarti Pharmalabs, a leader in generic APIs, Xanthine derivatives, and CDMO/CMO services, reported resilient performance. For H1-FY26, standalone revenue grew 2.8% year-over-year to INR 792.6 Cr, with EBITDA at INR 169.2 Cr (+0.5% YoY). However, PAT saw a 13.6% decline to INR 82.1 Cr. Q2-FY26 standalone revenue rose 10.6% YoY to INR 417.3 Cr, but PAT dropped 35.4% to INR 30.9 Cr, impacted by API segment margin pressure and a forex loss of INR 7.4 Cr. The Xanthine derivatives segment showed improved margins from beverage customer share, and CDMO/CMO projects are on track.

Growth is strategically driven by major capacity expansions: a Greenfield Atali project (INR 400 Cr investment) for Intermediates and CDMO/CMO, and a Brownfield expansion at Tarapur (INR 150 Cr) to boost Xanthine capacity to 9,000 MTPA by Q4-FY26, targeting 20-25% global market share. The Atali site operationalized in Q2-FY26. The company also focuses on ESG leadership and has a robust R&D pipeline with new APIs and active CDMO projects.

Management's outlook projects 30-40% CDMO revenue growth and 8-12% EBITDA growth for FY26, with plans to expand global CDMO sales in the USA and Europe.