DCM Shriram Ltd

Appointment: Justice (Retd.) Sanjay Kishan Kaul (Independent Director)

• Reason: Appointment as Independent Director; five-year term from 9 Aug 2026; AGM approved on 18 Aug 2026.
• Profile: Former Supreme Court Judge; ex-Chief Justice of Delhi, Punjab & Haryana, Madras High Courts.
• Relationship: Not related to any other director.

Appointment: Ms. Rumjhum Chatterjee (Independent Director)

• Reason: Appointment as Independent Director; five-year term from 9 Aug 2026; AGM approved on 18 Aug 2026.
• Profile: Co-founder of Infravision Foundation; infrastructure policy and CSR advocate.
• Relationship: Not related to any other director.

AGM Details

• AGM held via VC/OAVM with remote and online voting; all resolutions passed by the required majority.

AGM Details

• AGM held on 18 August 2026 at 10:30 A.M. IST via VC/OAVM.

Key Resolutions

• Item 1 (Ordinary): Adoption of standalone and consolidated financial statements for FY 2026.
• Item 2 (Ordinary): Final dividend of Rs 4 per equity share; interim dividends of Rs 3.60 paid.
• Item 3 (Ordinary): Re-appointment of Ajit S. Shriram as Director (retiring by rotation).
• Item 4 (Ordinary): Re-appointment of Pradeep Dinodia as Director (retiring by rotation).
• Item 5 (Ordinary): Ratification of remuneration of Cost Auditors for FY 2025-26.
• Item 6 (Special): Appointment of Justice (Retd.) Sanjay Kishan Kaul as Independent Director for five years.
• Item 7 (Special): Appointment of Ms. Rumjhum Chatterjee as Independent Director for five years.
• Item 8 (Ordinary): Cancellation of 3,900,000 forfeited equity shares.
• Item 9 (Ordinary): Remuneration increase for Varun Shriram to Rs 1.80 crores p.a. from Apr 2027.
• Item 10 (Ordinary): Remuneration increase for Tara Shriram to Rs 1.0 crore p.a. from Apr 2026.

Dividend & Remuneration

• Final dividend declared: Rs 4 per equity share; interim dividends of Rs 3.60 already paid.

Director Changes

• Re-appointment of Ajit S. Shriram as Director (retiring by rotation).
• Re-appointment of Pradeep Dinodia as Director (retiring by rotation).
• Appointment of Justice (Retd.) Sanjay Kishan Kaul as Independent Director for five years.
• Appointment of Ms. Rumjhum Chatterjee as Independent Director for five years.

Audit & Compliance

• No qualifications or modifications in Statutory/Secretarial Auditors’ Reports for FY2026.

E-Voting & Meeting Timing

• Remote e-voting open Aug 14–17, 2026; voting continued 30 minutes after meeting.

Independent Directors cessation

• Cessation of Pravesh Sharma as Independent Director effective 9 August 2026 after second term.
• Cessation of Justice (Retd.) Vikramajit Sen as Independent Director effective 9 August 2026 after second term.
• Both directors cease to be Member/Chairman of their board committees.

Financial Performance

• Chemicals revenue grew 33% YoY; caustic soda volumes steady, ECU prices up 7%.
• PBDIT in Chemicals rose 24% to INR 274 crore due to higher volumes.
• Vinyl PBDIT jumped 88% to INR 43 crore; capacity utilization at 100%.
• Sugar and Ethanol segment revenue fell 2% YoY; PBDIT INR 22 crore.
• Bioseed PBDIT negative INR 9 crore; revenue declined 26% YoY.
• PAT for quarter was INR 693 crore; ex-one-time PAT INR 147 crore, up 28%.

Operating Update

• Fenesta revenue up 22% YoY; PBDIT INR 40 crore; order book around INR 1,000 crore.
• Shriram Farm Solutions revenue INR 357 crore; PBDIT INR 30 crore.
• Fertilizer revenues up 11% YoY; PBDIT INR 23 crore; subsidy outstanding INR 292 crore.
• Bioseed revenue declined 26% YoY; PBDIT negative INR 9 crore.

Balance Sheet and Cash Flow

• Net debt Rs 1,649 crore as on 30 Jun 2026; Rs 1,481 crore as on 30 Jun 2025.
• Return on capital employed stood at 13.6% as on Jun 2026 vs 13.2% prior year.
• Debt to EBITDA not to breach 1.5; currently around 1.1.

Projects and Capex

• Definitive Serentica Renewables agreement to source 58 MW peak hybrid energy.
• Total peak renewable capacity across Bharuch and Kota to ~176 MW on commissioning.
• Kota 68 MW peak renewable project under commissioning; July average injection ~25 MW.
• Bharuch site received Lighthouse recognition from World Economic Forum.

Outlook and Guidance

• No formal full-year guidance provided; price outlook remains uncertain due to geo-political factors.

Q&A Highlights

• ECU price currently just below INR 30,000; prices expected in this range or higher.
• SFS profitability aided by better realizations and farmer reach despite monsoon headwinds.
• Tax reversal includes one-time INR 474 crore adjustment; MAT credit INR 376 crore.
• Cash tax rate around 19% due to MAT; P&L tax rate 25%.
• Demerger objective to file government application within this financial year.
• Monsoon impact on Bioseed remains; sowing regional variance 15-20% lower.

Meeting Details

• Date and time: 30 July 2026, 4:00 PM IST.
• Type and mode: group analysts/investors call; virtual audio conference.
• Event: Earnings Conference Call for Q1 FY27 (standalone & consolidated).
• Recording: audio recording uploaded on company website.

Participants

• Company Secretary & Compliance Officer to oversee proceedings.

Purpose

• Discuss unaudited standalone and consolidated results for quarter ended 30 June 2026.

Additional Notes

• Audio recording uploaded to the company website.

Financial highlights

• Net revenue (net of excise) ₹3,564 crore, up 9% YoY.
• PBDIT ₹364 crore, up 12% YoY.
• PAT ₹693 crore, vs ₹114 crore prior year; includes ₹474.3 crore tax adjustment and ₹79.4 crore one-time items.
• Excluding adjustments, effective normal PAT ₹147 crore.

Segment performance

• Chemicals revenue up 33% YoY; Fenesta Building Systems up 22%.

PBDIT contributions

• Chemicals & Vinyl segment PBDIT up 30%.

Capex and outlook

• Major capex cycles moving into commissioning phase; focus on capacity ramp-up.
• Balance sheet remains strong; emphasis on disciplined capital allocation.
• Sustainability integrated into growth strategy; energy efficiency across manufacturing footprint.

Operating highlights

• Fenesta and Shriram Farm Solutions strengthened market position; inventory and logistics managed.
• Aluminum Chloride and Calcium Chloride projects in pre-commissioning trials.

Business Overview

• Diversified, integrated group across Agri value chain, Chemicals & Vinyl, and Building Material Products.

Key Operational Highlights

• Q1 FY27 revenue ₹3,564 Cr; PBDIT ₹364 Cr; PAT ₹274 Cr.
• Revenue up 9% YoY; PBDIT up ~15% YoY.
• Order book increased by 4% in the quarter.
• Capex: 850 TPD Caustic expansion at Bharuch; 52,500 TPA H2O2 plant at Bharuch.
• Acquired 53% stake in DNV Global Pvt Ltd; HSCL acquired; FR capacity expanded 36 KTPA.
• Salt works project of 208,000 MTPA under regulatory approvals.
• Renewables: 68 MW Kota captive; 58 MW Bharuch capacity via Serentica.
• Pre-commissioning trials for Aluminium Chloride and Calcium Chloride.

Financial Performance

• Consolidated revenue ₹3,564 Cr; PBDIT ₹364 Cr; PAT ₹274 Cr for Q1 FY27.
• Segment mix driven by Chemicals & Vinyl, Fenesta, and Farm Solutions.
• Capex focus on Bharuch expansions, HSCL, and DNV acquisitions.

Capital Structure & Liquidity

• Credit rating AA+/Stable (ICRA).
• Liquidity supported by a strong balance sheet; capex funded from internal accruals.

Strategic Priorities & Outlook

• Capex ramp transitioning to commissioning; focus on capacity ramp-up and disciplined capital allocation.
• Outlook: domestic sugar demand firm; Fenesta expansion; ethanol blending policy interventions needed.
• Fenesta footprint: 8 fabrication plants, 430 dealers, 7 countries.

Risks & Mitigation

• Geopolitical tensions and energy price volatility; monsoon uncertainty.
• Mitigation: cost competitiveness and manufacturing flexibility.

Governance & Leadership

• Management commentary provided by Chairman Ajay Shriram and MD Vikram Shriram; no board changes disclosed.