SUDEEPPHRM
Micro CapSudeep Pharma Limited
Pharma
Sudeep Pharma, founded in 1989, is a technology-led Specialty Ingredients manufacturer for Pharmaceutical, Food & Nutrition industries. A leading player in Excipients & Mineral actives, the company is diversifying into Battery Materials. It operates 5 manufacturing sites and serves 1,120+ customers globally.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Mixed fundamentals, management trust is acceptable, price trend is neutral, and recent execution is mixed.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Average · 52/100margin compression · Rev +15% YoY · PAT +11% YoY · +6% QoQ
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹182 Cr | +15.2% | +5.8% |
| EBITDA | ₹63 Cr | +6.8% | +5.0% |
| Operating margin | 34.0% | -300 bps | -100 bps |
| PAT | ₹49 Cr | +11.4% | +2.1% |
| PAT margin | 26.9% | -93 bps | -99 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
Sudeep Pharma reported strong FY26 with highest-ever revenue of Rs. 642.3 Cr (+28% YoY) and PAT of Rs. 174.3 Cr (+26% YoY). Q4FY26 revenue grew 16% YoY to Rs. 182.3 Cr, but EBITDA margin compressed to 34.3% from 37.3% YoY due to raw material price hikes and supply disruptions.
Despite Q4FY26 operational headwinds from raw material price increases and supply chain disruptions, Sudeep Pharma delivered robust full-year growth. Strategic initiatives like the NSS acquisition and the new Battery Materials plant are progressing, positioning the company for future growth. Management's ability to pass on price revisions and normalize working capital will be key.
Revenue by Vertical (FY26)
Latest issuer-disclosed distribution across 2 reported categories.
Battery Materials Business
Groundbreaking for Battery Materials Plant at Dahej, focused on battery-grade iron phosphate for LFP batteries, targeting commissioning in early CY2027. Received qualification orders from Korean customers and a 500 MT purchase order from a leading Indian player.
Inorganic Growth via NSS Acquisition
Acquired an 85% stake in Nutrition Supplies Services (NSS) through Sudeep Pharma B.V., strengthening advanced formulation capabilities and expanding customer reach in Europe. Integration is progressing smoothly.
Greenfield Expansion at Nandesari
Upcoming greenfield project at Nandesari with 51,200 MT annual capacity for Pharmaceutical Excipients, Actives, and Food & Nutrition Minerals. Internal Validation and Qualification Process completed, Customer Validation Trials ongoing.
Geographic Expansion
Expanded presence in Peru, with existing markets in the US and Europe showing encouraging traction and improving customer engagement.
Battery Materials Plant (Dahej)
Phase 1 of the Battery Materials Plant at Dahej is under construction with a starting capacity of 25,000 MT, estimated project completion by March 2027. Existing pharma Iron Phosphate capacity enhanced to produce 5,000 MT of battery-grade material.
Greenfield Project (Nandesari)
New greenfield facility at Nandesari with an annual capacity of 51,200 MT for Pharma Excipients, Actives, and Food & Nutrition Minerals. Internal Validation completed, Customer Validation Trials ongoing.
Diversification of Battery Supply Chains
Witnessing growing engagement from global OEMs, cell manufacturers, and cathode players as supply chains diversify beyond China for battery materials.
Healthy Demand Across Verticals
The Company delivered resilient operational performance supported by healthy demand across business verticals.
FEOC-Compliant Supply Chain
Fully aligned with FEOC compliance norms, helping customers meet regulations under the US IRA & EU Critical Raw Materials Act for battery materials.
Raw Material Price Increases
During Q4FY26, key raw material prices, particularly phosphoric acid and sulphuric acid, witnessed a sharp increase.
Supply Chain Disruptions
Q4FY26 business witnessed temporary disruptions arising from gas supply issues and supply chain disruptions due to the West Asia conflict.
Higher Working Capital Days
Working capital days increased due to recently established warehousing in US/Europe, NSS inventory consolidation, and extended lead times from West Asia conflict.
Raw Material Price Volatility
Sharp increases in sulphuric and phosphoric acid prices impacted Q4FY26 margins, despite efforts to pass on costs.
Geopolitical Supply Chain Risks
Supply chain disruptions due to the West Asia conflict resulted in extended lead times and temporarily increased inventory days.
Project Execution and Ramp-up
Successful commissioning and ramp-up of the Battery Materials Plant at Dahej and the Nandesari greenfield project are critical for future growth.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Q4FY26 results highlight recent operational challenges like raw material price volatility and supply chain issues, making QoQ/YoY comparisons crucial for short-term trends. Full-year FY26 results provide a broader view of strategic execution and overall financial health, warranting YoY comparison.
Revenue from Operations Growth
Q4FY26 Revenue from Operations grew 16% YoY to Rs. 182.3 Cr. FY26 Revenue from Operations grew 28% YoY to Rs. 642.3 Cr.
EBITDA Margin
Q4FY26 EBITDA Margin was 34.3%, down from 37.3% in Q4FY25. FY26 EBITDA Margin was 34.6%, down from 37.8% in FY25.
PAT Margin
Q4FY26 PAT Margin was 26.6%, down from 28.0% in Q4FY25. FY26 PAT Margin was 27.1%, down from 27.6% in FY25.
R&D Expenses (% of Revenue)
FY26 R&D Expenses were 1.66% of Revenue from Operations, compared to 1.96% in FY25.
Long-Term Growth Confidence
Management remains confident about the long-term growth trajectory of Sudeep Pharma with expanding global reach and focused investments.
Price Revisions Benefit
Necessary price revisions with customers have been implemented, with benefits expected to progressively reflect in the coming quarters.
Working Capital Improvement
With gradual normalization of factors, the working capital cycle is expected to improve over the medium term.
Battery Materials Capacity Target
Targeting 100,000 MT capacity for battery materials by 2030, with Phase 1 of 25,000 MT estimated to complete by March 2027.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| EBITDA Margin | 34.3% (Q4FY26) | Improvement in coming quarters from price revisions and normalization of raw material costs. |
| Working Capital Days | 213 days (FY26) | Normalization and improvement over the medium term as supply chain issues ease and inventory turnover commences. |
| Battery Materials Plant Commissioning | Target early CY2027 for Phase 1 | Timely commissioning and initial ramp-up of the 25,000 MT capacity at Dahej. |
| Nandesari Greenfield Customer Validation | Ongoing | Completion of customer validation trials and commencement of customer qualification trials (6-12 months). |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
50Neutrallabel neutral
Technical chart
SUDEEPPHRMweekly · 5Y-4.2%Technical trend read
NeutralTrend is undirectional — long-term trend unclear. RSI 55.
- RSI(14) at 55 — falling, no extreme reading.
- MACD above signal but histogram contracting — bullish momentum cooling.
- 9% off 52W high · 42% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
FAIR VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Growth contributes 19/25 to the score.
- Balance sheet contributes 10/15 to the score.
Main drags
- Fair-value margin of safety is negative at -15.3%.
- Valuation is weaker at 0/30; verify the latest quarterly trend.
- Cash flow is weaker at 1/10; verify the latest quarterly trend.
Healthcare valuation: PE/EVEBITDA with regulatory and pipeline checks
Healthcare valuation needs both earnings quality and regulatory/pipeline context.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Claim history is still being built. It ranks around the 64th percentile of the scored universe and 51st percentile within Pharma. Main check: cash conversion is weak at 43/100.
Healthy Trust Lite: Promoter holding is 76.2%. Key concern: Only 1 years of positive FCF.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · Pharma: 51st pctile, median 70 · Micro: 46th pctile, median 71
0 documents indexed, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Healthy Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 76.2%.
- ▸Promoter pledge is zero.
- ▸ROCE is 28.1%.
Trust risks
- ▸Only 1 years of positive FCF.
- ▸ROCE trend is -5.2%.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Intrinsic value
Fundamentals
Valuation
- P/E
- 47.70
- P/B
- 9.34
- EV/EBITDA
- 35.42
- Market Cap
- 8244.00Cr
Profitability
- ROE
- 25.20%
- ROCE
- 28.10%
- ROA
- 14.81%
- Dividend Y
- —
Growth (CAGR)
- Revenue 5Y
- 24.00%
- EPS 5Y
- 39.00%
- Revenue 3Y
- 30.00%
- EPS 3Y
- 30.00%
Balance Sheet
- Debt/Equity
- 0.17
- Interest Coverage
- 27.75×
- Altman Z
- 8.48
- Book Value
- 78.20
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 1/5
- OCF
- 70.00 Cr
- EPS TTM
- 15.31
Shareholding
- Promoter Hold
- 76.16%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 71%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in Pharma — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.