1. At a Glance
Wanbury Ltd is that one pharma stock that looks like it survived three recessions, two restructurings, and at least one near-death experience — and then suddenly decided to post a 1,192% YoY profit growth just to shock everyone scrolling Screener at midnight.
Market cap sits at ₹852 Cr, the stock trades around ₹245, down from a high of ₹330, and yet the fundamentals are screaming mixed signals. ROCE of 33.9%, ROE of 66.9%, P/E of 13.2 (when the industry is chilling at ~29x), and a PAT of ₹15.8 Cr in Q3 FY26. Sounds like a value investor’s Tinder match, right?
But then comes the plot twist: 62.2% of promoter holding is pledged, debt-to-equity is 1.83, and the company refinanced debt at 12.5%. That’s not cheap money — that’s “sir, EMI due tomorrow” money.
Wanbury today is profitable, globally relevant in APIs, operationally improving, but financially still wearing ankle weights. Curious already? Good. You should be.
2. Introduction – From ICU to Gym Bro
Wanbury is not a new kid. Incorporated in 1988, it has seen enough pharma cycles to write a memoir. The company spent years battling losses, negative reserves, heavy debt, and restructuring fatigue. For a long time, Wanbury was that stock you’d analyze, shake your head at, and quietly move on from.
Fast forward to FY25–FY26, and suddenly the narrative changes.
The company is now API-heavy (87% revenue), export-driven (80% exports), and posting consistent quarterly profits. Metformin and Sertraline — boring molecules, yes — but boring molecules pay the bills, especially when you control 10% of the global Metformin market and 30% of Sertraline.
But before we celebrate, let’s be clear: this is not a fairy tale. This is a
turnaround-in-progress, not a finished masterpiece. The balance sheet still carries scars, promoters are heavily pledged, and equity dilution via ESOPs and conversions keeps popping up.
So the big question:
👉 Is Wanbury finally fixed, or just having a very good year?
Let’s open the files.
3. Business Model – WTF Do They Even Do?
Wanbury runs a two-engine pharma model:
Engine 1: APIs (The Real Money Maker)
APIs contribute 87% of H1 FY26 revenue, and honestly, this is where Wanbury earns its bread, butter, and EMIs.
Key APIs:
- Metformin – 50% of API revenue
- Sertraline – 40%
- Tramadol & others – remaining
These are high-volume, globally traded molecules. No fancy innovation here — just scale, regulatory approvals, and cost control. Wanbury exports to 50+ countries, with expanding footprints in US, EU, and Brazil.
Engine 2: Formulations (The Supporting Actor)
Formulations contribute 13% of revenue, with ~70 brands and 30,000+ doctors covered. Brands like Clavcure, Rabiplus, Coriminic, etc., exist — but no blockbuster yet.
Formulations help stabilize cash flows but won’t drive valuation rerating unless margins improve meaningfully.
So yes, Wanbury is an API exporter first, formulation player second, and turnaround story always.
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