Transcript of earnings call

To Date: August 20, 2026 The Manager The Manager BSE Limited National Stock Exchange of India Limited P. J. Towers, Dalal Street Exchange Plaza, Bandra Kurla Complex Mumbai-400001(BSE Bandra (E), Mumbai- 400051 Scrip Code: 543389) (NSE Symbol: SIGACHI) Dear Sir/Madam, Sub: Transcript of the Earnings Call for Q1 FY 2026-27 Results Unit: Sigachi Industries Limited In continuation to our letter dated August 13, 2026 audio recording of Q1 FY 2026-27 earnings call, please find attached herewith the transcript of the earnings call held on Thursday, August 13, 2026 at 4:30 PM IST. The same is also available on the company's website at www.sigachi.com Request you to kindly take the same on record. Thanking You, Yours faithfully For Sigachi Industries Limited Vivek Kumar Company Secretary & Compliance Officer “Sigachi Industries Limited Q1 FY27 Earnings Conference Call” August 13, 2026 MANAGEMENT: MR. AMIT RAJ SINHA – MANAGING DIRECTOR AND CHIEF EXECUTIVE OFFICER – SIGACHI INDUSTRIES LIMITED MR. O.S. REDDY – CHIEF FINANCIAL OFFICER – SIGACHI INDUSTRIES LIMITED MR. VIVEK KUMAR – COMPANY SECRETARY AND COMPLIANCE OFFICER – SIGACHI INDUSTRIES LIMITED MODERATOR: MS. RIDDHI SHAH – GO INDIA ADVISOR Page 1 of 23 Sigachi Industries Limited August 13, 2026 Moderator: Ladies and gentlemen, good day and welcome to Q1 FY27 Earnings Conference Call for Sigachi Industries Limited. As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Riddhi Shah from Go India Advisors. Thank you and over to you, ma'am. Riddhi Shah: Thank you. Good afternoon, everyone. It's my pleasure to welcome you on behalf of Sigachi Industries Limited. Thank you for joining us today for Q1 FY27 earnings call. We have on the call Mr. Amit Raj Sinha, Managing Director and Chief Executive Officer; Mr. O.S. Reddy, Chief Financial Officer; and Mr. Vivek Kumar, Company Secretary and Compliance Officer. Please note that today's discussion may include certain forward-looking statements and must therefore be viewed in conjunction with the risks that the company faces. I would now like to hand it over to the management for opening remarks. Thank you, and over to you, sir. Amit Raj Sinha: Thank you, Riddhi. Good afternoon, everyone, and welcome to Q1 FY27 Earnings Conference Call of Sigachi Industries Limited. The financial results and investor presentations have been uploaded on the stock exchanges. I hope everyone has had an opportunity to review them. We enter FY27 with a clear focus, execution, innovation and creating sustainable value. Q1 reflects our continued commitment to strengthening our core business while advancing the strategic initiatives that will support Sigachi's long-term growth ambitions. Operations remained stable throughout the quarter with healthy customer engagement across key geographies. Our cellulose-based excipient capacity stands at 18,000 metric tons per annum with export accounting for over 53.5% of the production. 12,000 metric ton per annum MCC capacity expansion at the Dahej-2 continues to progress on schedule and upon commissioning, which is targeted by Q2 of FY28 will take our total cellulose-based excipient capacity to 30,000 metric tons per annum. In parallel, our 1,800 ton Croscarmellose Sodium facility at Dahej SEZ continues to advance supporting our overall move of higher-value excipient categories and a stronger overall product mix. On the innovation front, during the quarter, we launched HiCel SMCC Nutra, a unique combination of microcrystalline cellulose and magnesium aluminometasilicate, purpose-built to address flowability, compressibility and processing challenges in the nutraceutical formulations. This launch reinforces our strategy of moving up the value chain with Page 2 of 23 Sigachi Industries Limited August 13, 2026 differentiated application-specific excipients and extends our platform further into the food and nutrition space. Our API business also continues to evolve and continues to support our CEP filing pipeline as we build towards a regulated market expansion. Our O&M verticals remain a steady, scalable contributor aligned with our long-term growth priorities. We also continue to strengthen governance, safety and ESG practices across our manufacturing facilities through online processes improvements, capability building and compliance-focused initiatives. As we look ahead through FY27, our priorities remain centered on disciplined execution of our expansion projects, strengthening our product portfolio and improving profitability through consistent operating performance. To our employees, customers, partners, lenders and shareholders. Thank you for your continued trust and support. We remain committed to delivering on that trust through consistent execution in the quarters ahead. With that, I now invite our CFO, Mr. O.S. Reddy, to take you through the financials and operational highlights of Q1 FY27. Thank you. O.S. Reddy: Thank you, sir, and good afternoon, everyone. During Q1 FY27, Sigachi reported total operating income of INR121.27 crores. EBITDA for the quarter stood at INR16.5 crores with a margin of 13.6%. Net profit came in at INR8.14 crores, translating to a PAT margin of 6.76%. The MCC segment contributed INR82.74 crores, while the O&M and API segments recorded revenues of INR13.06 crores and INR21.68 crores, respectively. That concludes my update. We can now open the floor for questions. Thank you. Moderator: Thank you very much. We will now begin the question-and-answer session. The first question is from the line of Rahil Dasani with MAPL. Please proceed. Rahil Dasani: Yes, good afternoon. First of all, thank you for this opportunity. First of all, I would like to understand what's the demand and pricing scenario in MCC right now? It seems that majority of the Indian players are expanding their capacities. How worried are we about an oversupply situation arising whereby prices may drop a lot? If you can just help me out there. Amit Raj Sinha: So, Rahil on this point, I would like to say, see it's not always the capacity which makes a difference. It is also in terms of your regulatory compliance and the quality in terms of getting an approval from the regulated customer, which actually is relevant in terms of capturing the export markets. I agree that there are a reasonable number of players who are adding in capacities. But historically, we have seen that the Asia Pacific region has had a CAGR growth of 7% to 8%. And there are reports which indicate that up to 2025, this will continue to grow at a reasonable pace. I believe by 2035, the market is expected to touch a size of $1.4 billion. Page 3 of 23 Sigachi Industries Limited August 13, 2026 Rahil Dasani: Okay. Maybe if you can give me a bit more specific around the pricing as to how is it fairing since the last two, three, two, four quarters? What sort of changes have we seen in the realization in MCC? O.S. Reddy: Yes, Rahil, here Q1, there is an average realization of INR241.36 per kg. And previously, it was INR216 per kg. There is a good increase this time. Rahil Dasani: When you say previously you mean when? O.S. Reddy: Previous quarter. Q4. Rahil Dasani: Previous quarter. Okay. So you're saying quarter-on-quarter, we have seen such a large increase? O.S. Reddy: Even from the beginning, there is a good increase, quarter-on-quarter or continuously. Rahil Dasani: Okay. And so why is this happening? What is suddenly changing in this segment so much because MCC is not a very high complexity product. So what is changing right now that is leading to so much demand and so much realization increase? What's going on there? Is there like global plants have shut down o [Showing first 8,000 characters — download PDF for full document]