Himadri Speciality Chemical Ltd

Meeting Details

• Earnings conference call for Q1 FY2026 held July 16, 2026 at 04:00 p.m. IST.
• Type and mode: group earnings call; virtual audio format.
• Organiser: Himadri Speciality Chemical Ltd; earnings call hosted by the company.
• Key company participant: Company Secretary & Compliance Officer.
• Purpose: discuss financial performance for the quarter.
• Availability: Audio recording uploaded on the company's website; transcript not mentioned.

Financial highlights

• Quarter ended 30 June 2026: Revenue Rs 1,432 Cr, EBITDA Rs 313 Cr, PAT Rs 228 Cr.
• EBITDA margin 22%, PAT margin 16%.
• Revenue, EBITDA, PAT hit record quarterly highs.
• YoY: Revenue +33%, EBITDA +28%, PAT +27%.

Growth projects

• Indigenous CNT tech developed; capex about Rs 70 Cr; 200 MTPA facility due Q4 FY27.
• SSCB: 6,000 MTPA conversion; capex Rs 170 Cr; commissioning Q4 FY28.

New energy materials expansion

• 200 MTPA anode facility commissioned April 2026 at Mahistikry, West Bengal.
• Cathode: 2,000 MTPA capacity planned for commissioning in Q3 FY27; long-term 200,000 MTPA Phase I 40,000 MTPA.
• LFP Cathode Active Materials to support mass-market EVs.

Battery ecosystem investments

• Sicona secured AUD 45 million ARENA funding for silicon-carbon anode tech.
• IBC stake increased to 19.44% from 17.29%.

Sustainability and governance recognitions

• EcoVadis Platinum Medal awarded for second consecutive cycle.
• LACP Platinum Award for Sustainability Report.
• Golden Globe Tiger Awards 2026 in Kuala Lumpur for Best Overall Sustainable Performance.
• Included in 2025 Burgundy Private Hurun India 500.

Outlook and strategy

• Focus on scaling global advanced materials and expanding margins.

Business Overview

• Coal tar derivatives transitioning to global advanced materials and energy-transition solutions.
• Focus on high-value carbon black and battery materials.
• Investments in Invati Creations, Sicona, and IBC to advance battery materials.
• Global footprint includes India, China, and Birla Tyres collaboration.

Operational Highlights

• First commercial CNT production in India achieved.
• Total carbon black capacity ~250,000 MTPA; specialty ~130,000 MTPA.
• Capex plan: Rs 1,125 Cr expansion; Rs 248 Cr for LFP CAM.
• LFP CAM Phase 1: 2,600 MTPA; Phase 2: 2,700 MTPA.

Financial Performance

• Q1FY27 revenue Rs 1,431.88 Cr; YoY +28%.
• Q1FY27 EBITDA Rs 313.11 Cr; YoY +33%.
• Q1FY27 PAT Rs 228.43 Cr; YoY +27%.
• FY26 revenue Rs 4,660.70 Cr; EBITDA Rs 1,005.70 Cr; PAT Rs 755.07 Cr.

Strategic Outlook & Capex

• Phase 1 LFP CAM commissioning by Q3FY27; Phase 2 by Q2FY28.
• Target LFP CAM capacity of 200,000 MTPA.
• Capex supports high-value materials and battery materials growth.

Governance & ESG

• ISCC PLUS certification for Mahistikry plant.
• Awards for ESG performance; Great Place to Work status.
• Himadri holds 19.44% stake in IBC; nominee director.

Issue Overview

• Type: Preferential Issue of Warrants fully convertible into equity shares.
• Total issue size and net proceeds unchanged; no undersubscription observed.
• Objects: Capital Expenditure and General Corporate Purpose (working capital).

Utilisation of Proceeds

• Utilisation is in line with the offer document; no deviation observed.
• No material deviations across objects; no change from prior monitoring reports.
• Capital Expenditure: On schedule; General Corporate Purpose: On schedule.
• Unutilised proceeds total ~73.90 crore; funds held in mutual funds and cash balance.
• GCP allocation: 82.8660 crore; no utilisation in Q1 FY2027.

Governance and Compliance

• Statutory and shareholder approvals: Not Applicable for these objects.
• No material events or regulatory actions impacting viability reported.

General Corporate Purpose (GCP)

• GCP objective: Funding of Working Capital.
• GCP allocation: 82.8660 crore; no utilization in Q1 FY2027.
• Board approval status for allocation not stated in the report.

Financial results

• Unaudited consolidated and standalone results for quarter ended 30 June 2026 approved.
• Limited Review Report by Singhi & Co enclosed.

Capex approvals

• Capex of Rs 128 crore approved to expand Anthraquinone and Carbazole capacity from 2600 to 5300 MTPA.
• Phase 1 by Q2FY27; Phase 2 by Q2FY28.
• Funded via internal accruals; no change in total capacity.
• Capex Rs 70 crore for CNT facility in West Bengal; 200 MT annual capacity; commissioned by Q4 FY27.
• Capex Rs 170 crore for SSCB; 6,000 MTPA; commissioning by Q4 FY28; capacity unchanged at 250,000 MTPA.

CNT business adoption

• CNT line of business adoption approved; Rs 70 crore investment for 200 MTPA production.

ESOP and equity capital

• 19,000 equity shares allotted under ESOP 2016; paid-up capital increased to 50,45,60,599.

Auditor remarks

• Independent Auditor's review: no material misstatement; some overseas subsidiaries not reviewed.

Meeting Details

• Date and time: 16 July 2026, 04:00 PM IST.
• Type and mode: Earnings Conference Call; via dial-in audio conference.
• Organizer: Himadri Speciality Chemical Ltd hosting Q1 FY27 results.
• Audience: Analysts and investors.
• Key company participants: CMD & CEO; EVP – Tyre & Strategy; CFO.
• Purpose: Discuss Q1 FY27 financial results.