Viyash Scientific Achieves Record Q4 FY26 Performance

EBITDA Tops INR200 Crores; Full-Year PAT Jumps Over 14x

Key Takeaway: Record EBITDA driven by successful business integration; Viyash Scientific eyes future growth in innovator products and companion animal health.

Record Quarter Driven by Integration

Viyash Scientific Limited announced a landmark Q4 FY26, reporting its highest ever EBITDA of INR200 crores, a 64% increase year-over-year. For the full fiscal year 2026, the company's EBITDA rose 59.6% to INR702 crores. Profit After Tax (PAT) saw a remarkable surge of over 14 times compared to the previous year. This strong financial performance stems from successful business integration and a strategic shift towards higher-margin, complex products, including a dedicated focus on oncology APIs and the animal health formulation business.

Strategic Focus Fuels Growth

The robust financial results highlight Viyash Scientific's successful turnaround and upward growth trajectory. The improvements in EBITDA and PAT, alongside expanded gross margins of 55.1% in Q4 FY26, demonstrate the effectiveness of its operational strategies and business integration efforts post-merger. The company's emphasis on growing its API and CDMO (Contract Development and Manufacturing Organization) segments, coupled with a strategic push into the companion animal health market, positions it for sustained future expansion. A strengthened balance sheet with healthy liquidity further enhances investor confidence.

Transformative Fiscal Year 2026

Fiscal year 2026 was a pivotal period for Viyash Scientific, characterized by the seamless integration of acquired businesses, operations, and corporate functions. This strategic consolidation has created a solid foundation for the record performance seen in Q4 FY26 and throughout the entire fiscal year. The company actively realigned its strategy to concentrate on more complex products and bring API production in-house, supported by a dedicated R&D lab focused on oncology.

Outlook for FY27

Viyash Scientific enters FY27 with a clear agenda: strengthening merger synergies, boosting operational performance, and optimizing capital allocation. Key growth drivers include an anticipated 30-40% increase in the innovator business, a projected 40% growth for the CDMO business, and significant expansion in the companion animal segment, targeting the launch of 7-8 new products annually. Manufacturing expansions are underway in Spain, and debottlenecking efforts continue in Turkey. The company also remains open to exploring inorganic growth opportunities, especially within the CDMO sector.

Potential Risks Ahead

While the management and analysts did not explicitly highlight significant risks, potential concerns could involve the execution of expansion plans, competitive pressures within the API and CDMO markets, and global economic uncertainties that may affect raw material costs or demand. The company's focus on product approvals and market access aims to proactively address some of these inherent business risks.

Financial Highlights

• Q4 FY26 Total Revenue: INR920 crores (up 19.1% YoY)
• Q4 FY26 Formulations Revenue: up 28% YoY
• Q4 FY26 API Revenue: up 5% YoY
• Q4 FY26 Gross Margin: 55.1%
• Q4 FY26 Adjusted EBITDA: INR200 crores (up 64% YoY)
• Q4 FY26 EBITDA Margin: 21.7% (up 593 bps)
• Q4 FY26 Profit Before Tax: INR125 crores (a turnaround from a loss of INR37 crores)
• FY26 Total Revenue: INR3,420 crores (up 13.8% YoY)
• FY26 Formulations Revenue: up 18% YoY
• FY26 API Revenue: up 8% YoY
• FY26 Gross Margin: 54.3% (up 321 bps)
• FY26 Adjusted EBITDA: INR702 crores (up 59.6% YoY)
• FY26 EBITDA Margin: 20.5% (up 590 bps)
• FY26 PAT growth: Over 14x YoY

Next Steps for Investors

Investors will be closely watching the progress of the companion animal segment, the successful completion of manufacturing expansions in Spain and Turkey, and Viyash Scientific's ability to leverage merger synergies. Key performance indicators to monitor for FY27 include the number of product approvals and the growth trajectory of the innovator and CDMO businesses.