J.G.Chemicals Ltd

Land acquisition

• BDJ Oxides Private Limited acquired ~16.74 acres freehold land at APIIC Industrial Park, Attivaram, Tirupati.
• Total consideration is Rs 18.41 crore, plus registration and other levies.
• Land to support expansion of sustainable recycling product portfolio and manufacturing capacity.
• Location opposite existing Naidupeta facility provides strategic expansion opportunity.

Financial Performance

• For Q1 FY27, consolidated revenue ₹315.7 crore, up 44.8% YoY and 10.3% QoQ.
• EBITDA ₹36.3 crore; margin 11.5% in Q1 FY27.
• PAT ₹26.1 crore; PAT margin 8.27%.
• Utilization around 80% of achievable capacity; volume grew double-digit.

Operating Update

• Phase 1 Dahej capacity 15,000–17,000 TPA; revenue potential ₹300–₹400 crore.
• Dahej capex about ₹100 crore; commissioning Phase 1 targeted Q3 FY27.
• Total Dahej capacity after both phases exceeds 115,000 MTPA.
• Naidupeta brownfield expansion to commission in Q3 FY27.
• Dahej greenfield capacity ~40,000 MTA; revenue potential ₹900 crore.

Guidance and Outlook

• FY28 guidance: Dahej utilization 50–60% (conservative); EBITDA margin ~14–15%.
• By FY29, Dahej utilization 70–80%; Phase 2 ramp expected.
• Blended EBITDA margin expected to rise to 14–15% by FY29.

Q&A Highlights

• Ceramic market approvals 1–3 months; faster than tires.
• Exports share currently 10–15%; target 15% by FY28.
• Direct-to-customer sales target ~90% of new orders.
• Zinc sulphate revenue share is <5–6% of total.

Meeting Details

• Date and time: August 14, 2026 at 2:00 PM.
• Type and mode: group meeting, virtual.

Participants

• Key participants: company management team.

Purpose

• Purpose: Analyst/Institutional Investor meeting to discuss publicly available information; no UPSI will be shared.

Meeting Details

• Date and time: August 13, 2026 at 2:00 PM IST.
• Type/Mode: Group meeting, virtual.
• Event/organiser: Analyst/Institutional Investor meeting with management.

Participants

• Key company participants: Management team.

Purpose

• Purpose: Discuss schedule of analyst/institutional investor meeting with management.

Meeting Details

• Date: 10 August 2026; time not disclosed; earnings call (audio) held; recording available on company website.

Business Overview

• Largest zinc oxide producer in India; 70,000 MTPA zinc chemicals capacity.
• Rubber & Tyre accounts for ~85% of FY26 revenue; diversification to non-rubber planned.
• Dahej greenfield facility planned; 40,000+ MTPA capacity; land acquired May 2025.
• Revenue split shows Rubber & Tyre dominance; non-rubber share targeted to 30%.
• BDJ Oxides Naidupeta: IATF approved ZnO facility; WHO GMP certification.

Key Operational Highlights

• Dahej equipment installation underway; commissioning expected in Q3 FY27.
• Naidupeta brownfield expansion progressing; commissioning planned in Q3 FY27.
• Pilot Devulc rubber project validated; commercial plan under development.
• R&D centre inaugurated; LabPure and JG-ZRA product launches underway.
• Over 90 specialised grades of zinc oxide offered; ongoing portfolio expansion.

Financial Performance

• Q1-FY27 revenue 3,157 mn; EBITDA 363 mn; PAT 261 mn.
• EBITDA margin 11.50%; PAT margin 8.27%; Total income 3,184 mn.
• YoY revenue growth 44.8%; Basic/Diluted EPS INR 6.40.

Capital Structure & Liquidity

• Current borrowings: FY24 102 mn, FY25 1 mn, FY26 64 mn.
• Non-current borrowings: 36 mn in FY24; zero thereafter.
• Share capital 392 mn; total equity 5,411 mn (FY26); cash 162 mn; bank balances 222 mn.

Strategic Priorities & Outlook

• Expand product portfolio; ramp up Zinc Sulphate; diversify end-user applications.
• Non-rubber revenue target raised toward 30% of revenue over next years.
• Dahej commissioning in Q3 FY27 to drive growth and margin expansion.

Risks & Mitigation

• Raw material security amid global disruption; mitigated by scale and long-term supplier relationships.
• Dependence on tyre sector; mitigated by non-rubber diversification and new customers.
• Regulatory/compliance risk; mitigated by ISO/IATF/WHO GMP certifications.

Governance & Leadership

• Board-approved earnings presentation on 8 August 2026.
• Certifications and ESG initiatives supported by BDJ Oxides; R&D initiatives strengthening governance.

Issue Overview

• IPO of equity shares as the security type.
• Total proceeds disclosed; no undersubscription or revision reported.
• Main objectives: investment in a material subsidiary; R&D centre capex; long-term working capital; general corporate purposes.

Utilisation of Proceeds

• Utilisation largely as disclosed; no major deviations from objects.
• R&D Centre purchases partially align; some vendor specifications not followed.
• Financing plan unchanged; no change in means of finance.
• Approvals for related government/statutory objects not obtained.
• Civil work started; machinery procured for R&D centre.
• Repayment of borrowings by subsidiary: fully utilised.
• R&D centre capex: partially utilised; remaining idle; vendor misalignment noted.
• Long-term working capital: partially utilised; funds parked idle.
• General corporate purposes: fully utilised.
• Unutilised funds held in fixed deposits and monitoring accounts.

Governance and Compliance

• Statutory approvals for objects are not yet obtained.
• Material developments: civil work and equipment procurement for R&D.
• Monitoring agency notes no audit; no conflicts of interest disclosed.

GCP

• GCP utilised for land procurement related to new manufacturing unit.
• Board approval for GCP allocation not explicitly indicated.

Financial highlights

• Standalone revenue from operations 958.85m; total standalone revenue 991.01m.
• Consolidated revenue from operations 3,156.50m; total consolidated income 3,183.76m.
• Standalone PAT 84.96m; consolidated PAT 261.16m.
• Standalone EPS (basic) -2.17; diluted -2.17.
• Consolidated EPS (basic/diluted) 6.40.
• Dubai entity BDJ Materials And Metals Trading FZCO to be formed; 100% held via BDJ Oxides.
• Board approved unaudited standalone and consolidated results; Limited Review conducted.
• Single reportable segment: manufacturing and selling of Zinc-based products.

Meeting Details

• Date and time: Monday, 10 August 2026 at 11:00 IST.
• Type/Mode: group conference call (virtual).
• Event/organiser: Q1FY27 Post Results Conference Call by JG Chemicals Ltd.

Participants

• Key company participants: MD & CEO; Whole Time Director & CFO; General Manager (Accounts & Finance).

Purpose

• Purpose: post-results discussion and investor interaction for Q1 FY27.

Additional Notes

• Conference call invite is annexed.
• No UPSI will be shared during the meeting.