Sanofi Consumer Healthcare India Ltd (SANOFICONR) Q1 FY27 Results Analysis: EBITDA Margin Expands 611 bps, PAT Grows 23.7%

Sanofi Consumer Healthcare India Ltd's Q1 FY27 numbers came in strong, with revenue of Rs. 235.70 Cr (+6.70% YoY) and PAT growth of +13.30% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quarter Snapshot

Sanofi Consumer Healthcare India reported Q1 FY27 with EBITDA margin expanding 611 bps YoY to 37.89% and normalized PAT growing 23.7% YoY, driven by raw material tailwinds and operating leverage. Domestic sales grew 12% YoY aided by product relaunches, though overall revenue growth of 6.7% lagged the IPM due to export decline. Strong cash generation and a net cash balance sheet provide financial flexibility.

Key Investment Insights

Key Positives

• EBITDA margin expanded 611 bps YoY to 37.89%
• Normalized PAT grew 23.7% YoY
• Operating cash flow for H1 FY27 improved to Rs.109.6 Cr from Rs.17.9 Cr in H1 FY26
• Domestic sales grew 12% YoY aided by product relaunch
• Free cash flow of Rs.108.8 Cr in H1 FY27

Risk Factors

• Overall revenue growth of 6.7% YoY trailed IPM growth of 12.1%, implying export sales likely declined
• Trade receivables rose 68% to Rs.49.8 Cr and inventories rose 51.4% to Rs.93.7 Cr, indicating working capital build
• Sequentially, EBITDA margin contracted 85 bps from Q4FY26's 38.74% to 37.89% as other expenses grew faster than revenue