Announced Fri, 15 May · 13:22 IST

Solara Active Pharma Sciences Limited has informed the Exchange regarding a press release dated May 15, 2026, titled "Strong Q4 26 Results and a solid finish to the fiscal Year".

SOLARA · price

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Price reaction · full curve 14 horizons · vs prior close
+10.5%1-day move
₹506.55
prior close
₹550.90
base price
In-mkt
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AI summary

Solara reported its best Q4 performance in eight quarters with overall revenue of INR 3,919 million (40% YoY growth). The Base business (excluding Ibuprofen) drove momentum with revenue up 36% YoY to INR 3,070 million, gross margins of ~54%, and EBITDA margins of ~26% - positioning it among leading Indian API companies. However, the commodity Ibuprofen business continues as a drag with negative 21% EBITDA margin and negative INR 179 million in Q4. Management has appointed bankers to evaluate strategic options for the Ibuprofen business, and deferred the polymers/CRAMS carve-out. The company achieved PAT of INR 96 million in Q4, a turnaround from a loss of INR 174 million in Q3. Net debt reduced from INR 7,719 million to INR 6,141 million, with further reduction expected to INR 5,030 million after rights issue proceeds.

Likely market impact

The strong Base business performance and debt reduction are positive signals for shareholders, though the persistent losses in the Ibuprofen segment and upcoming rights issue (which will dilute shareholding) create mixed sentiment. The strategic review of Ibuprofen could unlock value if a buyer is found.