1. At a Glance – Blink and You’ll Miss the Red Flags
Fabtech Technologies Ltd is what happens when a biopharma engineering company lists at the peak of optimism and then meets the reality of quarterly execution. Market cap of ₹722 crore, stock price chilling at ₹163, down 31% in the last three months, and trading at a spicy 130x P/E—because why not.
Latest quarter (Q3 FY26) delivered ₹62.8 crore revenue and a PAT loss of ₹5.68 crore, which is a polite way of saying “execution ka BP high hai.” Revenue fell 39.8% QoQ, profits fell off a cliff at -128%, and operating margins turned -18.5%, which is not the kind of negative innovation we like.
Yet, Fabtech also flexes a ₹983 crore order book, operates across 62 countries, derives 85.7% revenue from international markets, and boasts ROCE of 22% and ROE of ~21% on a full-year basis.
So what is this?
A global pharma EPC beast having a bad quarter?
Or a high-multiple IPO story still learning to walk in public markets?
Hold your helmet. This cleanroom gets dusty.
2. Introduction – From IPO Euphoria to Quarterly Reality Check
Fabtech Technologies Ltd got listed in October 2025, raised ₹230 crore, rang the bell, smiled for cameras—and then quarterly volatility walked in without knocking.
On paper, this is a dream business:
- Pharma EPC
- Cleanroom engineering
- Global clients
- Asset-light model
- High entry barriers
- Regulatory-heavy moat
But markets don’t pay for brochures. They pay for quarterly execution.
FY25 looked respectable:
- Revenue: ₹327 crore
- PAT: ₹46 crore
- EPS: ₹14.34
- OPM: ~12%
Then Q3 FY26 said: “Aaj mood off hai.”
Loss-making quarter, margin collapse, promoter holding down 25.7% QoQ, and other income of ₹27.4 crore quietly holding the profit structure together historically.
So
the big question:
Is Fabtech just facing lumpy project execution, or is this the start of IPO hangover syndrome?
Let’s peel the HEPA filters.
3. Business Model – WTF Do They Even Do?
Fabtech is a biopharma engineering and EPC company, specialising in:
- Cleanroom solutions
- Pharma & biotech manufacturing plants
- Water-for-injection systems
- Clean air & HVAC solutions
They don’t manufacture drugs.
They manufacture the environment where drugs are manufactured.
Think:
“If Cipla is the chef, Fabtech builds the kitchen, installs the exhaust, purifies the water, validates the airflow, and ensures the regulator doesn’t scream.”
Asset-Light Model (Translation: Jugadu but Scalable)
Fabtech outsources manufacturing of equipment, focuses on:
- Design & engineering
- Project execution
- Quality control
- Regulatory compliance
This keeps capex low and ROCE high—but increases vendor dependency risk, which management now admits and wants to fix via acquisitions.
Revenue Mix FY25
- Turnkey projects: 75.5%
- Standalone services: 24.5%
Turnkey = higher ticket size, higher risk, lumpier revenue.
Which explains quarterly mood swings.
4. Financials Overview – Numbers Don’t Lie, But They Do Roast
Quarterly Comparison Table (₹ Crore)
| Metric | Latest Qtr (Dec’25) | YoY Qtr (Dec’24) | Prev Qtr (Sep’25) | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 62.76 | 104.32 | 121.48 | -39.8% | -48.4% |
| EBITDA | -11.60 | 22.87 | 30.46 | NA | NA |
| PAT | -5.68 | 20.46 | 28.11 | -127.8% | -120.2% |
| EPS (₹) | -1.28 | 6.32 | 8.68 | NA | NA |
