At a Glance
Bliss GVS Pharma delivered Q1 FY26 results with a twist—revenue grew 13% YoY to ₹207 Cr, while PAT skyrocketed 108% YoY to ₹44 Cr, thanks to a chunky other income of ₹35 Cr (yes, magic accounting fairy showed up). Margins bounced back to 20% OPM, but operational efficiency still resembles a soap opera. The company remains almost debt-free, but with 198 debtor days, cash recovery is slower than Indian court cases.
Introduction
Meet Bliss GVS Pharma—the pharma company that specializes in… wait for it… suppositories. Yep, they have literally cornered a niche where few dare to go. Alongside, they also sell anti-malarials, antifungals, and a cocktail of 150+ formulations across 60 therapeutic areas.
The Q1 FY26 results show they can still deliver growth, albeit with some financial juggling (hello, other income!). Despite global exports, rising R&D costs and a weak domestic brand presence keep profitability from breaking into pharma elite levels.
Business Model (WTF Do They Even Do?)
Bliss GVS Pharma operates as a formulations manufacturer with focus on:
- Suppositories & Pessaries – The literal back-end of their business.
- Branded Generics – Anti-malarial brands like P-Alaxin and Lonart dominate African markets.
- Contract Manufacturing – For other pharma giants.
- Exports – 70%+ revenue from Africa, Middle East, and Latin America.
While this model offers niche defensibility, overdependence on African markets and thin domestic visibility make growth fragile.
Financials Overview
Q1 FY26 report card:
- Revenue: ₹207 Cr (YoY 13%)
- EBITDA: ₹41 Cr (Margin 20%)
- PAT: ₹44 Cr (YoY +108%)
- EPS: ₹4.08 (vs ₹1.97 in Q1 FY25)
Commentary: The PAT spike is flattering, but much of it came from other income. Core operations remain in low gear.
Valuation
Let’s check if this suppository stock is worth sticking around:
- CMP: ₹156
- EPS (TTM): ₹10.1
- P/E: 15.4 (cheap vs peers, but deservedly so)
- EV/EBITDA: ~7x
- DCF: Conservative estimates place value at ₹130-150.
Fair Value Range: ₹140 – ₹160.
Basically, it’s fairly priced—no fireworks expected unless growth accelerates.
What’s Cooking – News, Triggers, Drama
- ESOP Allotments: Granted 2.68 lakh options at ₹43 (dilution alert!).
- African Market Growth: Demand for anti-malarials remains strong.
- Other Income Spike: ₹35 Cr in Q1 (one-off or recurring?).
- Debt-Free Status: Clean balance sheet remains a plus.
Balance Sheet
| (₹ Cr) | Mar 2025 |
|---|---|
| Total Assets | 1,301 |
| Total Liabilities | 261 |
| Net Worth | 1,040 |
| Borrowings | 88 |
Remarks: Balance sheet is cleaner than most pharma peers. Auditor note—”Cash exists, but so do debtors who think paying is optional.”
Cash Flow – Sab Number Game Hai
| (₹ Cr) | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|
| Operating | 34 | 103 | 106 |
| Investing | -6 | -83 | -75 |
| Financing | -25 | -21 | -30 |
Remarks: Positive operating cash flow, but debtor cycle eats into liquidity.
Ratios – Sexy or Stressy?
| Metric | Value |
|---|---|
| ROE | 8% |
| ROCE | 12% |
| P/E | 15x |
| PAT Margin | 8% |
| D/E | 0.08 |
Remarks: Ratios are neither sexy nor ugly—just average. Think “mediocre date” vibes.
P&L Breakdown – Show Me the Money
| (₹ Cr) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue | 752 | 770 | 810 |
| EBITDA | 117 | 151 | 127 |
| PAT | 77 | 82 | 90 |
Remarks: Revenue barely grows, but PAT crawls upward—slow but steady tortoise.
Peer Comparison
| Company | Revenue (₹ Cr) | PAT (₹ Cr) | P/E |
|---|---|---|---|
| Sun Pharma | 52,578 | 11,454 | 36 |
| Dr Reddy’s Labs | 33,519 | 5,656 | 19 |
| Zydus Lifesciences | 23,241 | 4,644 | 22 |
| Bliss GVS Pharma | 834 | 112 | 15 |
Remarks: Bliss is a minnow in a shark tank—cheaply valued because growth is sluggish.
Miscellaneous – Shareholding, Promoters
- Promoter Holding: 35.4% (stable)
- FII: 12.6%
- DII: 6.5%
- Public: 45.3%
Promoter stake is low for a pharma company, meaning no strong skin in the game.
EduInvesting Verdict™
Past Performance
Once a growth story riding on African anti-malarial demand, Bliss GVS has become a slow-grower. Sales CAGR over 5 years is a meagre 3%. The company survived tough phases but hasn’t broken out into mid-tier pharma league.
SWOT Analysis
- Strengths: Niche formulations, debt-free, export reach.
- Weaknesses: Slow revenue growth, high debtor days.
- Opportunities: Expanding into regulated markets, new product launches.
- Threats: Currency risks (Africa), generic price erosion, competition.
Final Word
Bliss GVS is like that quiet student who passes every exam but never tops the class. The Q1 FY26 PAT surge is encouraging but not sustainable without strong sales push. For now, it remains a hold-your-horses stock: safe, steady, but far from spectacular.
Written by EduInvesting Team | 29 July 2025SEO Tags: Bliss GVS Pharma, Q1 FY26 Results, Pharma Stocks India, Anti-Malarial Drugs, Suppository Market Leader
