
Wanbury Reports Q1 FY27 Results Amid Input Cost Pressures; Financements Cleared and Key Regulatory Milestones Achieved
Wanbury Limited, a pharmaceutical company active in the global API market and domestic branded formulations, announced its unaudited financial results for the quarter ending June 30, 2026. The company reported revenue from operations of Rs. 165.6 crore, reflecting a 1.5% growth year-over-year (YoY).The quarterly performance saw Gross Profit stand at Rs. 86.9 crore, resulting in a gross margin of 52.5%, down from the 54.0% margin in Q1 FY26 and 60.4% in Q4 FY26. EBITDA (including other income) stood at Rs. 16.6 crore, with an EBITDA margin of 10.0%, compared to 15.2% in Q1 FY26. Net Profit After Tax (PAT) was reported at Rs. 3.2 crore, against Rs. 13.5 crore in Q1 FY26.
A summary of the financial performance across key periods is available below:
| Particulars (Rs. Cr) | Q1 FY27 | Q1 FY26 | Y-o-Y Change |
|---|---|---|---|
| Revenue from Operations | 165.6 | 163.2 | 15% |
| EBITDA* | 16.6 | 24.8 | (33.0%) |
| EBITDA Margin (%) | 10.0% | 15.2% | (517) bps |
| PAT | 3.2 | 13.5 | (76.0%) |
Note: Figures reflect the inclusion of other income.
Operational and Strategic Highlights
During the quarter, Wanbury achieved several significant operational and strategic milestones:- Debt Refinancing: The company successfully refinanced its existing debt facilities through Axis Finance Limited and Poonawalla Fincorp. Aggregate borrowings amounting to Rs. 205 crore were secured from non-banking financial companies for the repayment of existing high-cost borrowings and capital expenditure. This refinancing is set to reduce the company's borrowing cost from 12.5% per annum to below 10% per annum, a benefit expected to be reflected in finance costs and profitability starting from Q2 FY27.
- Promoter Holdings: Consequent to the refinancing, the promoters’ shareholding of 14,203,818 equity shares were freed from pledge. This represents 40.65% of the company's paid-up equity share capital and 94.51% of the Promoter Group's holding.
- Regulatory Clearances: The API manufacturing site in Tanuku, Andhra Pradesh, received quality inspection clearance from the Therapeutic Goods Administration (TGA), the drug regulatory agency of Australia. Upon receiving the GMP certificate, this clearance will enable Wanbury to ship three additional APIs to Australia. Additionally, the Patalganga facility completed a zero observation audit by the Ministry of Food and Drug Safety (MFDS) in Korea between April 7 and 9, 2026, and received the formal audit report and GMP certificate during the quarter.
- Market Expansion: The company expanded its regulatory filings, including submitting DMFs for Diphenhydramine HCl in Malaysia and Singapore, and for Paroxetine HCl in Korea and Latin America. Furthermore, on July 30, 2026, Wanbury received a ‘No DME deficiency letter’ from the USFDA regarding multiple ANDAs referencing Metformin HCl API across various formulations. The Certificate of Suitability for Riveroxaben API was also received on July 31, 2026.
- Future Capacity: A new state-of-the-art manufacturing block at the Andhra Pradesh site is currently undergoing validation and commercialization for new APIs, with commercial scale-up expected to support performance in upcoming quarters.
Management Commentary
Mohan Rayana, Director of Wanbury Limited, attributed the margin contraction to an "unprecedented increase in input costs" during Q1 FY27. He noted that the ongoing crisis in West Asia drove a significant sudden rise in the prices of key raw materials, particularly solvents and other crude oil linked inputs, which directly impacted gross margins.Mr. Rayana stated that the extent and timing of the cost increase meant that all inflation could not be fully passed on during Q1 but expected it to be entirely transferred in Q2. The EBITDA margins also reflected a higher employee cost base due to additional hiring for new growth initiatives.
However, he characterized these pressures as transitory and specific to the input cost environment. He added that management expects gross margins and EBITDA margins to recover fully from Q2 onwards. Given the successful refinancing, he anticipates a reduction in finance costs starting from Q2 FY27. Operational momentum remains strong, bolstered by regulatory clearances across API sites, expansion of DMF filings, the reduced cost of borrowing, and the release of promoter holdings pledge.
***
Note: The content is based exclusively on the provided press release details and does not contain external information or projections outside of what was stated in the source material.
WANBURY Stock Price Movement
Today, shares of Wanbury Limited rallied in the market, closing at ₹254.30 after surging 4.94%. The stock saw a trading range between ₹231.45 and its intraday high of ₹258.85 on a total volume of 1.37 million shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
The information provided is for general informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Readers are advised to rely on their own assessment and judgment and consult appropriate financial advisers, if required, before taking any investment-related decisions.
Any views, opinions, or statements expressed, where applicable, are those of the respective analysts or experts and do not reflect the views of this website. The website has no association with such viewpoints and does not assume any responsibility for them.