Supriya Lifescience Confident Of Beating FY25 Margin Guidance, Maintaining Momentum In Long Term
Supriya Lifescience projects an Ebitda margin of 34% in FY25, surpassing its earlier guidance, with long-term plans targeting Rs 1,000-crore revenue by FY27.
Supriya Lifescience Ltd. is confident of exceeding its FY25 margin guidance and surpassing the targeted Rs 1,000-crore revenue in FY27, driven by its foray into regulated markets and the scale-up of its business, according to the company’s Managing Director Saloni Wagh.
Supriya Lifesciences had guided for a margin in the range of 28-32% for the next two to three years. The company clocked an Ebitda margin of 39% in H1 of the current financial year, a significant uptick from its guided numbers.
Talking to NDTV Profit about the road ahead, Wagh said that the company expects its margins to be on an uptick in FY25.
“We are expecting the margin to be somewhere around 34%. Moving forward, also a 32% to 34% margin is something that we are very confident of maintaining,” she said.
She noted that her company is confident of maintaining these margins in the long term as well.
Wagh said the increase in margins is due to a greater number of the company’s products now moving to regulated markets.
“Other than the top 78 products, there is a set of about eight or 10 products where we have completed the regulatory formalities, and we are expecting good penetration into those markets,” she mentioned.
Wagh mentioned that as the company continues to build its business, it expects a slight uptick in its revenue guidance.
“With the new products scaling in, the CMO piece coming in, and the CMO formulation piece coming in, we are expecting a slightly higher revenue uptake as compared to 20% to 23% while maintaining the healthy Ebitda margins that we are currently doing,” she said.
Talking about the CMO and CDMO space, Wagh noted that these segments, by FY27, will contribute close to 20% of the total revenue of the company, “if not more.”.
“We are seeing good traction in the CMO space. That's because we already have a legacy of 38 years in terms of quality, the regulatory compliance, and the statutory compliance the company has,” she said.
Shares of Supriya Lifescience Ltd. tanked 3.6% during Friday’s intraday trade on the NSE to a low of Rs 736.55 apiece. At 2:36 pm, the stock was standing at Rs 737.95, while Nifty 50 dipped 1.09% to 23,691.65.
