SMS Pharma Q1 FY27: consolidated PAT flat YoY at ₹20.9 Cr, standalone core PAT up 16%
PAT +2.04% YoY · revenue +5.57% · margins flat
₹206.96 Cr
+5.57% YoY
₹20.91 Cr
+2.04% YoY
10.02%
-0.4pp YoY
₹2.23
SMS Pharmaceuticals posted consolidated revenue of ₹206.96 Cr (+5.6% YoY vs ₹196.05 Cr, -13.0% QoQ vs a seasonally elevated ₹237.95 Cr in Q4 FY26) and consolidated PAT of ₹20.91 Cr (+2.0% YoY vs ₹20.49 Cr, -36.1% QoQ vs ₹32.71 Cr). Consolidated EPS came in at ₹2.23 versus ₹2.31 a year ago and ₹3.58 last quarter.
Q1 FY-2027 vs prior quarters
The muted +2% consolidated PAT growth understates the underlying business: standalone (core operating) PBT rose 17.9% YoY to ₹28.14 Cr and standalone PAT rose 16.1% YoY to ₹21.13 Cr. The gap between that core strength and the flat consolidated headline is explained almost entirely by SMS's 34.83%-held associate, VKT Pharma Private Limited, whose profit contribution came in at just ₹0.71 Cr this quarter versus ₹1.78 Cr a year ago (-60% YoY) and ₹11.75 Cr in Q4 FY26 — a swing large enough to erase double-digit core growth at the consolidated level. Margins were essentially flat YoY: NPM at ~10.1% (vs 10.4% YoY, 13.6% QoQ) and OPM at ~19.8% (vs 20.1% YoY, 16.8% QoQ), broadly in line with FY26's ~20% band but not yet showing the improvement management has guided toward.
The stock went into the print at ₹373.9, down 10.5% over the past month of trading.
For FY27, SMS Pharmaceuticals is guiding for 15% revenue growth with an aim to further improve upon the FY26 EBITDA margin of 20%. Management believes there is potential to exceed this guidance if external factors like geopolitical uncertainties and logistics stabilize. The company sees long-term growth potential with
— This quarter: missed
Management's FY27 guidance, given on the Q4 FY26 call, called for 15% revenue growth and margin improvement above FY26's 20% EBITDA margin, a call partly premised on a strengthening contribution from the VKT Pharma stake. This quarter's 5.6% YoY revenue growth is running well below that annualised pace, and the associate contribution moved in the opposite direction to what was guided — so Q1 is tracking behind the stated FY27 targets, though one quarter is not conclusive for a full-year goal. No formal Street consensus estimates for this specific print were found in a search. Corporate developments this quarter — a legal matter over share impersonation and a fraudulent-shares claim, and the routine insider-trading window closure — are unrelated to the P&L.
W1
VKT Pharma associate contribution — fell to ₹0.71 Cr this quarter from ₹11.75 Cr in Q4 FY26; FY27 guidance assumes a strengthening contribution from this stake
W2
Revenue growth pace — Q1's +5.6% YoY needs to accelerate toward management's 15% FY27 guided growth rate
W3
EBITDA margin trajectory — OPM ~19.8% this quarter vs FY26's ~20%; management guided to improve on this via backward integration and new product filings
Consolidated PBT-tax (27.21-7.00=20.21 Cr) reconciles to reported PAT 20.91 Cr only after adding VKT Pharma associate share of ₹0.71 Cr; standalone ties out exactly. Converted from Rs. Lakhs (÷100). No exceptional/extraordinary items in current or comparative periods.