Press Release

Date: 4th November, 2026 The Manager, The Manager, Corporate Filings Department, Listing Compliance Department, BSE Limited, National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers, Exchange Plaza, Plot no. C/1, G Block, Dalal Street, Bandra-Kurla Complex, Bandra (E), Mumbai- 400 001 Mumbai - 400 051. Security Code: 532815 Symbol: SMSPHARMA Dear Sir/Madam, Sub: Press release on Financial Results Please find enclosed the press release on the Financial Results for the second quarter and half year ended 30th September, 2026. This press release may also be accessed on the website of the Company at www.smspharma.com Kindly take the same on record and disseminate on your website. Thanking you Yours Faithfully For SMS Pharmaceuticals Limited Thirumalesh Tumma Company Secretary November 04, 2026 SMS Pharmaceuticals Limited (SMS Pharma) (NSE: SMSPHARMA; BSE:532815), a diversified and integrated pharmaceutical company specializing in Complex Active Pharmaceutical Ingredients (APIs) and intermediates for global customers, is pleased to announce its unaudited financial results for the quarter and half year ended September 30, 2026. Performance highlights • Revenue up 30% YoY, driven by strong volume growth and improved price realization • Gross margin (Incl. mfg. expenses) increased to 35%, reflecting the tangible benefits of backward integration • EBITDA margin expanded 145 bps YoY to 21%, due to operating leverage • PAT up 57% YoY to ₹40 crore • Completed 6 DMF/CEP filings in FY27 to date; on track to meet the full-year target of 10 DMF/CEP filings in FY27 • FY27 revenue growth and EBITDA margins are now expected to exceed earlier guidance • ₹280 crore capital expenditure program remains on track for completion by FY27 • Peptides R&D facility is now fully operational and pilot scale production is targeted for Q4FY27, with initial CRO revenue from pilot scale production anticipated in Q2FY28 Commenting on the performance, Mr. P. Vamsi Krishna, Executive Director, stated: “We delivered a strong second quarter that exceeded our expectations. Revenue grew 30% YoY, supported by higher volumes and improved price realization across our product portfolio. Our EBITDA margin expanded 145 bps YoY to 21%. This performance demonstrates the structural advantages gained from the backward integration and capacity expansion initiatives undertaken over the past five years. Moving forward, we will continue investing in backward integration across our core portfolio to sustain this competitive edge. Our robust R&D framework, strengthened by over 200 skilled professionals, and consistent product filings will continue to drive our next phase of growth. We completed four DMF/CEP filings in H1FY27 and two more in October 2026, taking our FY27 total to six filings spanning anti-ulcer, anti-migraine, anti-depressant, anti- fungal, and anti-fibrotic APIs. Six to eight new molecules from our R&D pipeline are targeted for commercial production commencing in FY28. As these molecules scale up over the subsequent six quarters, we expect them to be EBITDA accretive and contribute meaningfully to revenue diversification. Additionally, our Ibuprofen capex is expected to be completed in the coming quarters, taking total capacity to 9,600 MTPA, with volumes expected to ramp up gradually over the next six quarters. Our ₹280 crore capex plan remains on track for completion in FY27, with ₹160 crore deployed to date. This initiative expands capacity for both existing products and our incoming pipeline of new molecules. Backed by our robust H1FY27 performance and a positive forward outlook, we are confident of surpassing our earlier full year guidance. Regarding our peptides business, the R&D facility at our 99.9% owned subsidiary, SMS Peptides Private Limited, is fully operational. To support its expansion, the Board recently approved a loan of ₹50 crore to the subsidiary. Pilot scale production is targeted for Q4FY27. Furthermore, we have established SMS coLab Private Limited, a 100% wholly owned subsidiary, to serve as our dedicated CDMO platform for APIs and peptides.” Performance review Revenue from operations for Q2FY27 grew 30% YoY and 53% QoQ to ₹316.08 crore. Growth was primarily driven by anti-inflammatory APIs, ARVs, and favourable pricing dynamics. For H1FY27, revenue expanded 19% YoY to ₹523.05 crore. Excluding the anti-diabetic segment, H1FY27 revenue grew 38% YoY, reflecting a favourable portfolio shift. Summary of financial performance (₹ Cr) YoY QoQ YoY Q2FY27 Q2FY26 Growth Q1FY27 Growth H1FY27 H1FY26 Growth Particulars (%) (%) (%) Revenue from 316.08 242.43 30% 206.96 53% 523.05 438.48 19% operations Gross profit (Incl. 110.84 78.51 41% 74.93 48% 185.77 145.23 28% manufacturing expenses) Gross profit margin 35% 32% 268bps 36% -114bps 36% 33% 239bps EBITDA 67.65 48.36 40% 40.95 65% 108.60 87.73 24% EBITDA margin 21% 20% 145bps 20% 162bps 21% 20% 75bps PAT 39.57 25.13 57% 20.20 96% 59.76 43.84 36% PAT margin 13% 10% 215bps 10% 276bps 11% 10% 142bps PAT after share of 39.85 25.31 57% 20.91 91% 60.75 45.80 33% associate profit/loss Revenue by therapeutic area (₹ Cr) H1FY27 H1FY26 Particulars As % of total As % of total YoY Gro wth (%) Revenue Revenue revenue revenue Anti Retro Viral (ARV) 150.25 29% 102.15 23% 47% Anti-inflammatory 110.03 21% 88.37 20% 25% Anti-diabetic 64.66 12% 106.83 24% -39% Anti-migraine 62.84 12% 47.70 11% 32% Anti-ulcer 14.18 3% 23.33 5% -39% Anti-erectile dysfunction 30.29 6% 19.92 5% 52% Anti-epileptic 32.05 6% 22.28 5% 44% Anti-anginal 23.16 4% 16.01 4% 45% Others 35.59 7% 11.88 3% 200% Gross profit (Incl. mfg. expenses) for Q2FY27 rose 41% YoY to ₹110.84 crore. Gross Margin expanded 268 bps YoY to 35%, underpinned by backward integration and an increased share of high-value APIs. EBITDA increased 40% YoY to ₹67.65 crore, with EBITDA margins expanding 145 bps YoY to 21%, aided by operating leverage. PAT grew 57% YoY to ₹39.57 crore, delivering a PAT margin of 13%. Share of profit from associate entity, VKT Pharma Private Limited, stood at ₹0.28 crore in Q2FY27. For H1FY27, EBITDA grew 24% YoY to ₹108.60 crore (EBITDA margin of 21%), while PAT rose 36% YoY to ₹59.76 crore. Share of profit from associate entity, VKT Pharma Private Limited, stood at ₹0.99 crore in H1FY27. Project update Our ₹280 crore capex programme is on track for completion in FY27, with ₹160 crore deployed to date. It builds capacity for some of our existing molecules and pipeline of six to eight new molecules. Additionally, our Ibuprofen capex is expected to be completed in the coming quarters, taking total capacity to 9,600 MTPA, with volumes expected to ramp up gradually over the next six quarters. Outlook Based on our H1FY27 performance and outlook for rest of the year, we are now confident of exceeding our earlier guidance. Earnings conference call The Company will hold an earnings conference call on Thursday, November 05, at 12:00 pm IST, to discuss Q2 & H1 FY27 results. All participants may join the call by dialling below numbers OR by using Diamond Pass link: Diamond Pass: Please click here to pre-register for the call Universal Dial-In +91 22 6280 1254 / +91 22 7115 8043 Hong Kong – 800964448; Singapore – International Toll Free 8001012045; UK – 08081011573; US – 18667462133 About SMS Pharmaceuticals Limited For a little under four decades, SMS Pharmaceuticals Limited has manufactured Complex Active Pharmaceutical Ingredients (APIs) and intermediates, serving over 800 customers across more than 75 countries. The company has developed 55+ APIs across 14 therapeutic segments. It holds 130+ DMF filings, including 38 active US DMFs and over 20 Certificates of Suitability (CEPs) in Europe. SMS Pharma’s backward integrated operations are driven by two manufacturing facilities in Hyderabad and Visakhapatnam, featuring a combined reactor capacity of 3,120 KL. Its stringent quality standards are backed by global regulatory approvals from the U.S. FDA, EU GMP, PMDA (Japan), KFDA (K [Showing first 8,000 characters — download PDF for full document]