Himadri Speciality Chemicals Limited started the financial year 2026 with a strong and focused spirit of “ Himadri reloaded “ , reflecting a strategic direction rooted in capacity expansion, technology driven product development and global integration.
The company declared its highest ever EBITDA at Rs 235 crores and profit after tax of Rs 183 crores on a standalone basis for the first quarter of 2026. The standalone revenue for the quarter stood at Rs 1118 crores while EBITDA grew by 25% and profit after tax grew by a stupendous 48% growth rate.
The net debt level of the company stood at Rs 107 crores for Q1FY26 while ROCE stood at 32% for the same quarter of the current financial year .This excellent performance was led by an increase in sales of high-value products, better operational efficiencies, improvement in yield and strong waste heat recovery system. It is worth noting that while revenue growth got marginally impacted due to a correction in raw material prices, but the profitability trajectory remained in a firm and sustainable upward path. With a deep commitment of their core business and developing innovative solutions, backed by in-house research and development along with highly integrated manufacturing capabilities enables Himadri Speciality Chemicals to cater to the demand of its loyal customers.
The future outlook of the company is also very bright with the company management expecting a strong volume growth from Q3 FY26 onwards on the back of debottle necking of coal tar distillation by additional 100000 metric tonne to 600000 metric tonnes thereby seeing a quarter on quarter improvement in its financial numbers. The company management has also given a future guidance in regard to EBITDA margin and revenue growth for the next 2-3 years with Net profit set to double from FY24 to FY27.
The company management has also clarified sensibly that they do not actually look at only EBITDA margins but more at EBITDA per metric ton due to fluctuating raw material prices and end finishing products. Himadri is the largest manufacturer of naphthalene in the country with a 68% market share and now it is going B2B with its Durafresh brand,thereby expecting solid sales growth domestically and also from the export market. The company has an inherent strength in their high margin speciality carbon product because of owning their own raw material.
After undergoing coal tar distillation it produces a clean oil which is very low in sulphur content and free from impurities, thereby giving Himadri Speciality chemicals an inherent edge against global competitors. Similarly, in regard to the battery material segment of lithium ion battery component material, Himadri Speciality Chemicals is coming out with its own production facility to manufacture lithium Ion phosphate. This will be a first mover advantage for the company and also the only company to manufacturer the product outside China.
The company is also going in for an additional Capex at the Birla Tyre facility for around Rs 250–300 crores over the next 2–3 years by ramping up capacity and modernisation of the production facility. From being a supplier to the carbon black industry, to becoming a full fledged speciality carbon black company, it has been a long and fruitful journey for Himadri Speciality chemicals. With so much going for the company , Fund managers and portfolio investors are accumulating the Himadri Speciality Chemicals stock for multi bagger returns over the next 2 year time frame .
