Supriya Lifescience Eyes 33-35% Ebitda Margins In FY26 Led By New Products, US Expansion

Supriya Lifescience, a leading player in the active pharmaceutical ingredients (API) and contract development and manufacturing organisation (CDMO) segments, is confident of achieving Ebitda margins of 33-35% in FY26, according to the company’s Executive Chairman Satish Waman Wagh.

He outlined a multi-pronged strategy focused on new product launches, capacity expansion, challenging Chinese players in the international market and a strategic foray into the high-margin US market.

“I am confident my team will achieve more than this, but we are a little conservative, so we say we will try to keep Ebitda margin between 33% and 35%. The revenue will grow 20% year-on-year. By financial year 2027, we will definitely touch Rs 1,000 crore,” he said during a conversation with NDTV Profit on Friday, commenting on the company’s future roadmap.

Product launches are a key aspect of the company’s business strategy.  “We will be launching three to four new products every year; that's going to be our strategy.”

The company has already launched a new anaesthetic product in the first quarter of FY26, targeting a $300 million market. New APIs in contrast media and cardiovascular segments are expected in the upcoming quarters.

While currently strong in Europe and Latin America, the company is actively planning a major push into the United States. Dr Wagh revealed that Supriya is in discussions with multinational corporations for a product with a $7 billion market size.

"We are going to crack the Chinese business through our USFDA (US Food and Drug Administration) plant and we are sure we will take a bigger lead in the US markets," he said.

The capital expenditure for the current financial year is pegged at Rs 65-70 crore, with a further Rs 200 crore planned over the next three years for the new Patalganga site in Maharashtra.

Regarding Chinese competition, he added, “We normally select the product where China is very strong and we try to enter and penetrate these products in the area only where China supplies throughout the world.”

Addressing concerns about pricing pressure in the API segment, Wagh dismissed any significant challenges. He cited Supriya Lifescience’s focus on regulated markets and its USFDA-compliant manufacturing capabilities.

The company’s backwards integration strategy further strengthens its cost efficiencies, enabling it to compete with Chinese manufacturers without compromising margins, according to Wagh.