Sai Life Sciences Q2 FY27 Results Analysis: Revenue Jumps 22.53%, EBITDA Margin Recovers (SAILIFE)

Cofacto Research Published November 05, 2026 4 min read

Positive

Sai Life Sciences Ltd's Q2 FY27 numbers came in strong, with revenue of Rs. 658.59 Cr (+22.53% YoY) and PAT growth of +17.26% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quick Details

Results date	November 05, 2026
Revenue (Q2)	Rs. 658.59 Cr (+22.53% YoY)
PAT (Q2)	Rs. 98.32 Cr (+17.26% YoY)
EBITDA margin	28.90% (-108 bps YoY)
EPS (Q2)	Rs. 4.63 (+15.46% YoY)

Quarter Snapshot

Q2 FY27 revenue grew 22.53% YoY with EBITDA margin re-entering the guided 28-30% band at 28.90%, and H1 revenue growth of 17.31% tracks the 15-20% multi-year CAGR guidance. The heavy capex cycle (H1 capex Rs.561.29 Cr) is debt-funded, taking net debt to Rs.417.32 Cr and free cash flow to -Rs.371.16 Cr, making the H2>H1 revenue inflection and year-end debt-to-EBITDA commitment the key upcoming tests.

Q2 FY27 Expectations vs Results

Driver	Expected before results	What happened	Verdict
Revenue	"In-line with the guided trajectory at best"	+22.53% YoY, +18.82% QoQ — better than expected	Played out
CDMO re-acceleration	Needed to close the Q1 gap	Not disclosed in filing	Not observable
Margins	"Likely compress or stay flat below the 28–30% band"	28.30% — re-entered the band QoQ — favourably	Contradicted
Freight/energy drag	Q1→Q2 bridge dominated by freight/energy	Material margin −39 bps QoQ; other expenses +22.1% QoQ	Partially
Capex shifts to debt	"Necessarily shifts the mix toward debt"	Borrowings Rs.95.13 → Rs.448.24 cr; Rs.353.12 cr net raised in H1	Played out
Destocking provision reversal	Watch for further reversals (Rs.16 cr reversed in Q3 FY26)	Exceptional line nil; no reversal disclosed	Not observable in filing
Capacity milestones Sep/Oct 2026	Completion status sought	Not addressed in the filing — remains open for the call	Not observable
H2 > H1 test	"Likely stays a Q3/Q4 question"	Q2 > Q1 sequentially — consistent	Too Early

Read our full results preview.

Management Guidance vs Delivery

What management said	Where	What happened	Verdict
Revenue 15–20% CAGR, 3–5 yrs (FY25 base)	Reiterated on the Q1 FY27 earnings call	+22.53% YoY in Q2; +17.30% YoY in H1	On Track
EBITDA margin 28–30% sustained	Q1 FY27 call — "We remain confident in our ability to sustain… EBITDA range of 28–30%"	28.30% in Q2 (26.70% in Q1) — back inside the band	On Track
FY27 capex Rs.1,100–1,300 cr	Q1 FY27 call — "That still stands"	Rs.561.29 cr in H1 (43–51% of the range)	On Track
H2 FY27 revenue > H1	Management commentary on the Q1 FY27 call	Q2 Rs.658.59 cr > Q1 Rs.554.29 cr; H1 Rs.1,212.87 cr	Too Early
"Healthy" debt-to-EBITDA by FY27-end	Q4 FY26 / Q1 FY27 calls	Net debt Rs.417.32 cr = 1.25× H1 EBITDA	On Track

Key Investment Insights

Key Positives

Revenue grew 22.53% YoY to Rs.658.59 Cr and 18.82% QoQ, re-accelerating from Q1's +11.7% YoY / -7.95% QoQ
EBITDA margin of 28.90% re-entered management's guided 28-30% band, up 157 bps QoQ from 27.34%
EBITDA excluding other income grew 27.81% YoY to Rs.186.38 Cr, the cleaner operating read
Materials cost (+17.14% YoY) and other expenses (+12.09% YoY) grew slower than revenue (+22.53% YoY)
H1 operating cash flow after tax of Rs.190.13 Cr was 1.11x PAT, up from 0.64x in H1 FY26
Trade receivables fell 8.41% since March while H1 capex of Rs.561.29 Cr tracked 43.2-51.0% of the Rs.1,100-1,300 Cr FY27 plan
H1 revenue growth of +17.31% YoY sits inside the guided 15-20% multi-year CAGR corridor

Risk Factors

Free cash flow was negative at -Rs.371.16 Cr in H1 FY27, with net debt rising to Rs.417.32 Cr (≈1.22x H1 EBITDA) from Rs.13.21 Cr in March
Finance costs rose 43.28% QoQ to Rs.10.94 Cr on the debt-funded capex program
EBITDA margin of 28.90% remained 108 bps below the year-ago quarter's 29.98%
Inventories rose 60.33% since March to Rs.242.05 Cr, tying up Rs.91.08 Cr of operating cash in H1
Cash and cash equivalents fell from Rs.81.91 Cr to Rs.30.92 Cr over the half-year