1. Opening Hook
If you thought pharma CDMOs were done surprising the market, Dishman just walked in with a quarter where revenue fell… yet profits doubled. Classic “gym bro skips leg day but benches 140 kilos” energy. The company blamed last year’s inflated base—because apparently Q2FY25 was the Virat Kohli of quarters, carrying the whole year on its shoulders.
Meanwhile, Japanese innovators won’t stop ordering ADC payloads like they’re buying Diwali sweets in bulk, and France – yes,France– is now finally ready to stop being a perennial loss-making relative.
Stick around, because the real masala begins when Bavla, France, Shanghai, Switzerland, and Manchester all decide to behave like one big joint family. Read on—things get spicier.
2. At a Glance
- Revenue – INR 652.6 cr– Down 17%, but CFO insists it’s not a meltdown—just last year’s freak spike.
- EBITDA – INR 149 cr– 64% YoY jump: Apparently Phase-3 orders print margins like magic.
- EBITDA Margin – 22.8%– When COGS collapses, margins rise like Sensex on Budget day.
- PAT – INR 65 cr– Doubled. Even management sounded pleasantly shocked.
- CDMO Share – 78%– Marketable Molecules doing the heavy cholesterol lifting.
- Net Debt – CHF 141 mn– Swiss debt down, rupee debt still stubborn like a Mumbai landlord.
3. Management’s Key Commentary (Quotes + Sarcastic Translations)
Quote:“French subsidiary has seen a huge pickup after GMP certification.”(Translation: France finally stopped being that cousin who only takes money and never contributes. 😏)
Quote:“Shanghai’s market focus is domestic, and we are adding more salespeople.”(Translation: We realized China buys from China… so maybe we should try selling there.)
Quote:“Swiss operations run smoothly with strong interest in ADCs.”(Translation: Switzerland remains the family’s straight-A student.)
Quote:“Integration of finance, sales, and IT across entities is progressing well.”(Translation: We’re finally acting like one company instead of five distant relatives.)
Quote:“Margins surged due to late-stage Phase 3 supplies, especially to the Japanese innovator.”(Translation: One molecule has basically become our sugar daddy.)
Quote:“Bavla revenues to ramp from FY27; utilization currently just 20-25%.”(Translation: Bavla is still warming up. Don’t expect fireworks this year.)
Quote:“We target 25% ROCE in the next 4-5 years.”(Translation: Finally, a ROCE number investors can show their parents with pride.)
Quote:“CapEx for FY26 remains INR 200–210 cr.”(Translation: Yes, we’re spending. No, we’re not overspending—please relax.)
Quote:“Interest cost
appears high due to FX translation; actual outflow is lower.”(Translation: Swiss francs are bullying the Indian rupee. Again.)
4. Numbers Decoded
Metric Q2FY26 Q2FY25
-----------------------------------------------------------
Revenue 652.6 cr 789 cr
EBITDA 149 cr 81 cr
EBITDA Margin 22.8% 13.4%
PAT 65 cr 33 cr
CDMO Revenue 509 cr Higher base
MM Revenue 143 cr +85% YoY
Net Debt CHF 141 mn CHF 157 mn
CapEx (H1) $13 mn Steady- Revenue fell, but who cares—margins partied hard.
- Marketable Molecules aren’t “molecules” anymore; they’re the unexpected heroes.
- Bavla is still in warm-up mode but promises to become Virat Kohli from FY27.
- Swiss interest costs are finally behaving.
5. Analyst Questions (Decoded)
Q:Why did CDMO margins rise while revenue fell?A:Late-stage projects = margin steroids.(Translation: High-margin work rewarded us for once.)
Q:Will guidance hold?A:Yes—8–10% revenue growth, 20% EBITDA margin.(Translation: We’re praying just as much as you are.)
Q:When will France stop losing money?A:EBITDA breakeven at EUR 18 mn next year.(Translation: We’re cautiously optimistic… finally.)
Q:Bavla revenue?A:Flat this year; hockey-stick next year.(Translation: Patience, young grasshopper.)
Q:Fundraising status?A:INR 500–700 cr expected.(Translation: Indian debt is too expensive,
