Solara Active Pharma Sciences Ltd is a pure-play global API manufacturer engaged in the business of manufacturing, production, processing, formulating, sale, import, export, merchandising, distributing, and trading of active pharmaceutical ingredients (APIs). The company is supported by state-of-the-art R&D and manufacturing facilities, comprising 6 manufacturing facilities and an R&D Centre. It offers a diversified basket of high-value commercial APIs and contract manufacturing services.
The company provides a range of high-value commercial APIs and contract manufacturing services across 73+ countries. Its portfolio includes 60+ commercial APIs spanning key therapeutic segments such as anthelmintic, anti-malaria, and anti-infective. The top 10 molecules contribute significantly, accounting for 84% of its total revenues.
Solara Active Pharma Sciences was established through the demerger of the API business from Strides Shasun Ltd (now Strides Pharma Sciences). Subsequently, it also acquired the human API business from Sequent Scientific Ltd, solidifying its position as a pure-play API company. The company was incorporated in 2017 and is headquartered in Chennai, India.
The company operates a robust manufacturing network with facilities that have received approvals from major regulatory bodies, including USFDA, EDQM, KFDA, EUGMP, WHO Geneva, Cofepris, TGA Australia, and PMDA Japan. A significant recent achievement was the Ambernath API site passing a US FDA inspection with zero Form 483 inspectional observations, marking the third consecutive successful inspection without critical observations across Solara's manufacturing facilities.
As of July 17, 2025, the market capitalization of Solara Active Pharma Sciences Ltd stands at ₹3,070.27 Crore. The company has demonstrated substantial financial improvement in recent quarters.
For the fiscal year ended March 2025 (FY25), the company reported a net profit of ₹0.54 crore, a significant turnaround from a net loss of ₹567.39 crore in the previous year. Sales remained relatively stable at ₹1,283.76 crore compared to ₹1,288.92 crore in FY24.
Quarterly performance showed mixed results, with Q4 FY25 reporting a net loss of ₹2.10 crore and a sales decline of 8.82% to ₹273.01 crore compared to the same quarter in the previous year.
However, the company exhibited strong operational improvements during FY25. The FY25 Gross Margin reached ₹6,649 million (51.5%), a substantial improvement from ₹4,891 million (37.8%) in FY24, representing a 1,370 basis points increase year-on-year. EBITDA also improved significantly to ₹2,138 million (16.5%) from a negative ₹917 million (-7%) in FY24.
- Q3 FY25 Performance: Net Sales of ₹300.31 crore (41.7% YoY growth), Net Profit of ₹8.09 crore vs. net loss of ₹275.34 crore in Q3 FY24.
- Q2 FY25 Performance: Gross Margin of 50.5% (historical high with 620 basis point improvement YoY), EBITDA at 46% growth quarter-on-quarter and 61% year-on-year.
- FY25 Performance: Net Profit of ₹0.54 crore (vs. ₹-567.39 crore in FY24), Net Sales of ₹1,283.76 crore (vs. ₹1,288.92 crore in FY24).
- Market Capitalization: ₹3,070.27 Crore (as of July 17, 2025).
- Promoter Holding: 21.1% (DEVICAM CAPITAL LLP & PRONOMZ VENTURES LLP).
Revenues from regulated markets now constitute 76% of the business, underscoring a strategic emphasis on stable and profitable markets. The company's CRAMS (Contract Research and Manufacturing Services) business currently contributes less than ₹100 crores annually, representing about 7% to 8% of revenue. The company targets a 10% contribution from CRAMS by FY26.
The promoters of Solara Active Pharma Sciences Ltd are DEVICAM CAPITAL LLP and PRONOMZ VENTURES LLP, who collectively own 21.1% of the total equity. R Ramakrishnan serves as the chairman of the company. As of March 2025, promoters have pledged 13.14% of the total equity.
The company possesses two research and development units, with 25 products currently in various stages of development. Solara is focusing on improving the cost-efficiency of existing DMFs (Drug Master Files) rather than solely filing new ones, with a plan to file approximately four to five new DMFs annually while prioritizing the commercialization of its existing portfolio.
The company has demonstrated resilience through significant operational improvements and excellence in regulatory compliance, positioning itself as a reliable partner in the global API market with a strong foundation for sustained future growth.
