Anthem Biosciences (ANTHEM IN) – Q2FY27 Result Update – Margin surprise – BUY
Published on 04 Nov 2026
ANTHEM delivered 25% YoY EBITDA growth in Q2FY27, 8% above our estimates. There was spillover effect sequentially as differed shipment got delivered to key customers during the quarter upto some extent. We believe growth visibility remains robust, driven by a deep CRDMO pipeline, ramp-up of recently commercialized molecules, and potential commercialization of late-stage assets over the next 18–24 months. Further, the Specialty Ingredients business is expected to benefit from semaglutide API commercialization once CDSCO approval comes through. With planned capex of INR12bn over FY-28E, largely funded through internal accruals, the company continues to expand capacities to support long-term growth. We estimate Revenue/EBITDA/PAT CAGR of ~19%/22%/22% over FY26–29E driven by ~23% growth in CDMO services, ~11% in CRO and ~14% in Specialty Ingredients. At CMP, the stock trades at ~32x EV/EBITDA and ~46x P/E on FY29E. We maintain ‘BUY’ with TP of INR1,050/share, valuing the company at 55x FY29E P/E.
