Anthem Biosciences Ltd Q2 FY27 Results Analysis: EBITDA Margin Tops 50%, PAT Jumps 22%

Cofacto Research Published November 03, 2026 4 min read

Positive

Anthem Biosciences Ltd's Q2 FY27 numbers came in strong, with revenue of Rs. 594.03 Cr (+7.91% YoY) and PAT growth of +21.93% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quick Details

Results date	November 03, 2026
Revenue (Q2)	Rs. 594.03 Cr (+7.91% YoY)
PAT (Q2)	Rs. 211.46 Cr (+21.93% YoY)
EBITDA margin	50.60% (+611 bps YoY)
EPS (Q2)	Rs. 3.75 (+21.36% YoY)

Quarter Snapshot

Q2 FY27 validated management's delivery-recovery guidance: revenue snapped back 42.04% QoQ to Rs.594.03 Cr and company-basis EBITDA margin of 50.60% far exceeded the 38-40% guide, with PAT up 21.93% YoY on operating leverage. The blemishes are H1 revenue still down 7.25% YoY, Specialty Ingredients well behind its ~20% growth guide, a back-ended capex program, and Neoanthem still loss-making.

Q2 FY27 Expectations vs Results

Driver	Expected before results	What happened	Verdict
Revenue	"Ahead of Q1, against a demanding base"	Rs.594.03 Cr, +42.04% QoQ, above the Rs.550.50 Cr base	Played out
EBITDA margin	"Compressing vs the 44.5% Q2FY26 base; the 38–40% guide is the line to defend"	50.60% — expanded ~611 bps YoY — favorably	Contradicted
Employee cost	Headwind (Q1 print 18.85% of revenue)	13.68% of revenue in Q2; cost +3.06% QoQ on +42.04% revenue — leverage returned	Contradicted
Input costs vs backward integration	"Headwind building… backward integration is the disclosed mitigant"	Materials 33.80% of revenue, −276 bps YoY	Played out in the company's favor
FX tailwind fading	"Less FX kick than the July arc alone would suggest"	Other income +23.34% YoY; Q2 FX content undisclosed (H1 unrealized FX loss Rs.13.24 Cr)	Partially observable
US pharma tariffs de-escalating	Sep-29 zero-tariff carve-out; generics excluded	Not addressed in the filing — open for the call	Not observable
Watch: order book (60%)	Does it improve	Not disclosed in the filing — open for the call	Not observable
Watch: Unit 4 capex run-rate	H1 vs Rs.700 Cr	Rs.110.51 Cr (15.79%); CWIP Rs.309.11 Cr — back-ended	Partially

Read our full results preview.

Management Guidance vs Delivery

What management said	Where	What happened	Verdict
Delivery recovery in Q2–Q4 FY27	Q1 FY27 earnings call (Jul 22, 2026): "You will see the numbers coming back as a recovery in Q2, Q3 and Q4"	Revenue Rs.594.03 Cr, +42.04% QoQ, +7.91% YoY — above the Rs.550.50 Cr Q2FY26 base	Met
EBITDA margin 38–40% (company basis, incl. other income ÷ total income)	Q4 FY26 earnings call (May 20, 2026)	50.60% in Q2 (44.49% in Q2FY26) — exceeded	Met
FY27 tax rate ~25–25.5%	Q1 FY27 earnings call	H1 ETR 24.84% (in range); Q2 28.65% (27.30% ex prior-period charge) — H1	On Track
FY27 capex ~Rs.700 Cr ("close to about Rs. 700 crores")	Q1 FY27 earnings call	H1 capex Rs.110.51 Cr = 15.79% of guide; CWIP Rs.309.11 Cr vs Rs.264.35 Cr — needs a steep H2 step-up	Back-ended
Neo Anthem break-even/profitability in FY27	Q1 FY27 earnings call	Q2 subsidiary drag −Rs.9.42 Cr	Not yet visible; too early
FY27 revenue growth "in line with our historical growth performance" (~20% historical; no % committed — "Our growth is intact. We are not giving a guidance of any particular percentage")	Q1 FY27 earnings call	H1 −7.25% YoY; +20% FY growth now requires H2 of Rs.1,542.93 Cr, i.e. +48.65% YoY	Stretch
Specialty Ingredients ~20% growth	Q4 FY26 earnings call	Q2 +0.58% YoY; H1 −5.62%	Behind guide

Key Investment Insights

Key Positives

Revenue grew 42.04% QoQ to Rs.594.03 Cr (+7.91% YoY), validating management's Q2-Q4 delivery recovery guidance
Company-basis EBITDA margin of 50.60% exceeded the 38-40% guidance band, up ~611 bps YoY from 44.49%
EBITDA grew 24.14% YoY to Rs.330.39 Cr while total expenses fell 3.28% YoY
PAT grew 21.93% YoY to Rs.211.46 Cr; normalized PAT Rs.215.47 Cr after adding back Rs.4.01 Cr prior-period tax charge
CRDMO revenue +49.43% QoQ and +9.23% YoY with contribution margin up ~1,061 bps YoY to 71.92%
Cost of materials fell to 33.80% of revenue from 36.56% (−276 bps YoY), consistent with backward integration
Trade receivables fell to Rs.527.24 Cr from Rs.590.59 Cr; H1 FCF of Rs.428.68 Cr with CFO/PAT at 0.96x
Net cash of Rs.1,242.48 Cr; borrowings reduced to Rs.38.66 Cr from Rs.51.07 Cr

Risk Factors

H1 FY27 revenue is still −7.25% YoY; reaching ~20% FY growth requires H2 revenue of Rs.1,542.93 Cr, i.e. +48.65% YoY
Specialty Ingredients revenue grew only 0.58% YoY in Q2 and −5.62% in H1 versus management's ~20% growth guidance
Subsidiary Neoanthem remains loss-making with a −Rs.9.42 Cr PAT drag in Q2 against the FY27 break-even promise
Q2 effective tax rate spiked to 28.65% (27.30% ex prior-period charge) from 24.47% YoY
H1 capex of Rs.110.51 Cr is only 15.79% of the ~Rs.700 Cr FY27 guide, requiring a steep back-ended H2 step-up
Other expense rose 36.23% YoY to 9.53% of revenue from 7.55%