Solara Active Pharma Sciences Ltd
P&L
Quarterly Consolidated
vs Q3 FY26
Solara: Q4'26 Revenue Highest in 8 Quarters, Up 40% YoY
15 May 2026 · 15 May, 1:27 pm
Summary
Solara Active Pharma Sciences Limited concluded fiscal year 2026 with strong Q4 results, reporting an overall revenue growth of 40% year-on-year and 12% sequentially. The company achieved its highest revenue, gross margin, and EBITDA in the past eight quarters, primarily driven by the robust performance of its Base business segment. The Base business recorded a Q4'26 revenue of INR 3,070mn, up 36% YoY, with EBITDA reaching INR 796mn and maintaining a strong ~26% margin, reinforcing the company's objective for sustainable, profitable growth. However, the Ibuprofen business continued to face challenges, reporting weak profitability and negative EBITDA for both Q4'26 and FY26, leading management to initiate a strategic review by appointing bankers to evaluate options for this segment.
Key Highlights
- 1
Solara Active Pharma Sciences Limited reported a strong Q4'26, with overall performance reflecting a sequential revenue growth of 12% and a year-on-year growth of 40%.
- 2
The company achieved its highest Revenue, Gross margin, and EBITDA in the last eight quarters during Q4'26, indicating a robust operational period.
- 3
The Base business segment demonstrated significant momentum in Q4'26, with revenue growing 24% Quarter-on-Quarter and 36% Year-on-Year to INR 3,070mn.
- 4
EBITDA for the Base business also showed robust growth in Q4'26, increasing 53% QoQ and 16% YoY to INR 796mn, maintaining a strong ~26% EBITDA margin.
- 5
For the full fiscal year FY26, the Base business contributed INR 10,414mn in revenue, growing 6% YoY, and reported an EBITDA of INR 2,445mn, maintaining a ~24% EBITDA margin.
- 6
The Ibuprofen business continued to face significant headwinds, reporting a negative EBITDA of INR 179mn in Q4'26 and negative INR 527mn for FY26.
- 7
Management has appointed bankers to evaluate strategic options for the challenged Ibuprofen business to ensure optimal long-term value creation.
Management Comments
Sandeep Rao
Our overall performance for Q4'26 reflects a sequential growth of 12% and YoY growth of 40%. We recorded the highest Revenue, Gross margin & EBITDA in the last eight quarters. Notably, the Base business is already demonstrating superior profitability, operating at a ~26% EBITDA margin with gross margins of ~54% which reinforces the objective we established at the start of the year to pivot the business from a phase of reset to one defined by sustainable, profitable and reliable growth. However, we continue to be challenged by the Ibuprofen business which is demonstrating weak profitability, operating at a negative 21% EBITDA margin with gross margins of ~23%. Given the persistent headwinds on this business, we have appointed bankers to evaluate strategic options for this business to ensure optimal long-term value creation. Despite the significant crisis in the middle east and its impact on global business, the underlying fundamentals of the base business continue to remain strong, supported by a resilient operating model and a healthy product mix across regulated markets.
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