TARSONS - Tarsons Products

📊 NSE: TARSONS 🏢 Miscellaneous 📅 Last Updated: 12/14/2025 14:08

💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue grew 32.4% YoY to INR 392.41 Cr in FY25. Standalone revenue grew 13.3% YoY to INR 314.18 Cr. H1 FY26 standalone revenue grew 4.7% YoY to INR 151.8 Cr.

Geographic Revenue Split

Domestic market remains the primary revenue driver with expanding market share. International operations, specifically the Nerbe acquisition in Germany, contributed INR 80 Cr (approximately 20.4% of consolidated revenue) in FY25.

Profitability Margins

Standalone Gross Margin improved to 72.2% in H1 FY26 from 71.7% YoY. Standalone PAT Margin declined to 6.7% in H1 FY26 from 13.4% YoY due to higher depreciation and finance costs.

EBITDA Margin

Standalone EBITDA Margin improved by 390 bps to 31.9% in H1 FY26. Consolidated EBITDA (excluding forex/other income) was INR 110.73 Cr in FY25.

Capital Expenditure

Invested INR 150 Cr in the Amta facility. The new Panchla facility was capitalized in FY26, leading to accelerated depreciation of INR 37.9 Cr in H1 FY26.

Credit Rating & Borrowing

CARE Ratings reaffirmed the credit rating on June 20, 2025. Consolidated finance costs rose 91.6% YoY to INR 19.39 Cr in FY25 due to expansion-related debt.

⚙️ Operational Drivers

Raw Materials

Plastic resins and granules (polypropylene/polyethylene) used for labware consumables represent the primary raw material cost.

Capacity Expansion

Panchla facility (newly capitalized) and Amta facility (INR 150 Cr investment). Full capacity utilization is expected over the next 3 to 5 years with a ramp-up starting from FY27.

Raw Material Costs

Standalone Cost of Goods Sold (COGS) was INR 42.3 Cr in H1 FY26, representing 27.8% of revenue.

Manufacturing Efficiency

Operating leverage is expected to improve margins as the Panchla facility ramps up from FY27 onwards.

Logistics & Distribution

Distribution costs are being streamlined through centralized fulfillment; specific % of revenue not disclosed.

📈 Strategic Growth

Expected Growth Rate

14.90%

Growth Strategy

Achieving growth through the strategic acquisition of the Nerbe group to penetrate European markets, ramping up the new Panchla facility from FY27 to leverage scale, and launching new plastic labware products to replace traditional glass labware.

Products & Services

Consumables (pipette tips, centrifuge tubes), reusables, and benchtop equipment used in research, academia, and diagnostics.

Brand Portfolio

Tarsons, Nerbe.

New Products/Services

Expansion in high-quality plastic labware consumables designed to replace glass alternatives in research laboratories.

Market Expansion

Deepening presence in European markets via German subsidiaries Nerbe R&D GmbH and Nerbe Plus GmbH.

Market Share & Ranking

Leading plastic labware manufacturing company in India; expanding domestic wallet share.

Strategic Alliances

Acquisition of the Nerbe group (Germany) for approximately INR 98 Cr to enhance global footprint.

🌍 External Factors

Industry Trends

Industry-wide shift from glass to plastic labware consumables driven by research efficiency and safety; market growing due to increased life science investments.

Competitive Landscape

Competition from both established global players and unorganized local manufacturers.

Competitive Moat

Durable advantages include strong brand equity built over decades, manufacturing scale, and ISO 9001/13485 certifications which act as entry barriers.