India Ratings Gives IND A- Credit Rating With Positive Outlook to OneSource Speciality

MUMBAI, June 4, 2025 — OneSource Specialty Pharma Limited (BSE: 544292, NSE: ONESOURCE), formerly known as Stelis Biopharma, has received a credit rating of ‘IND A–; Positive’ from India Ratings & Research .

Strong FY25 Financial Recovery Fuels Optimism

OneSource reported a 740% year-on-year surge in consolidated revenue to ₹14,449 million in FY25, driven by the integration of softgel and injectables businesses and robust growth in its drug-device combination (DDC) segment. The company turned around its profitability as EBITDA rose to ₹4,665 million from a loss of ₹882 million in FY24, lifting EBITDA margins to 32% from a negative 51% last year.

*Proforma figures, reclassified for comparison.

#FY24 data not comparable due to restructuring.

Strategic Expansion and GLP-1 Pipeline Boost Prospects For FY26 And Beyond

The company’s CDMO platform spans across biologics, DDCs including GLP-1 (a growing anti-diabetic/obesity drug class), sterile injectables, and soft gelatin capsules (SGC), serving over 90 global customers across these categories. In FY25, OneSource significantly expanded its capabilities by merging Strides Pharma Science’s softgels and Steriscience Pharma’s injectables units into its operations.

Notably, OneSource has entered long-term supply agreements for GLP-1 products, with strong visibility from both MSA (pre-approval) and CSA (post-approval) contracts. It is planning a USD 100 million capex program through FY28, scaling cartridge capacity from 40 million units to 220 million and ramping up vial and prefilled syringe production as well.

Well Managed Liquidity and Leverage 

The company raised ₹8,755 million from its IPO in FY25, much of which was used to retire high-cost debt. This, coupled with strong operating cash flows, brought net leverage down to 1.5x. OneSource ended FY25 with ₹2,428 million in cash and liquid investments against repayment obligations of ₹1,304 million in FY26.

The Risk Of Regulatory Standing and Contingent Liabilities

While the company has a clean track record with the USFDA with its operations mainly in regulated markets (87% of sales), it continues to face contingent liabilities of ₹11,648 million related to a terminated Sputnik Light vaccine contract via its subsidiary Biolexis Pte Ltd. Arbitration is ongoing, with a counterclaim of ₹1,164 million filed.

India Ratings Rationale and Outlook

India Ratings cited OneSource’s multi-modal CDMO strength, improving credit metrics, and strong GLP-1 market opportunity as key rating drivers. Risks include regulatory approvals, forex exposure, and contingent liabilities. The Positive Outlook signals potential for further rating upgrade if revenue and profitability scale sustainably and net leverage falls below 1.5x.

“With commercialisation of GLP-1 contracts and a growing injectable and softgel pipeline, OneSource is well-positioned for FY26,” India Ratings noted.

About the Company

Headquartered in Bengaluru, OneSource operates five globally compliant manufacturing facilities and provides contract development and manufacturing for biologics, injectables, oral softgels, and drug-device combinations. It serves leading pharmaceutical companies worldwide across regulated and emerging markets.

REF:https://www.bseindia.com/xml-data/corpfiling/AttachLive/6eecfefc-6b55-4465-bda6-4f32d858ee74.pdf

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