CHEMPLASTSBSEChemplast Sanmar LtdMinimalNeutral
Announced Tue, 26 May · 12:44 IST

Newspapers Publication on Audited standalone and consolidated financial results for the quarter and financial year ended March 31, 2026 attached

Revenue DeclineCompliance View source PDF

CHEMPLASTS · price

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AI summary

Chemplast Sanmar reported deeply negative FY2026 results. Consolidated revenue was Rs 4,223.79 Cr (vs Rs 4,346.07 Cr prior year), but net loss after tax widened sharply to Rs 279.87 Cr from Rs 110.36 Cr. Standalone performance was far worse — revenue fell to Rs 2,169.98 Cr from Rs 2,387.61 Cr, and net loss surged to Rs 1,003.39 Cr vs Rs 65.57 Cr, driven almost entirely by a Rs 898 Cr impairment provision on the company's wholly owned subsidiary CCVL (Suspension PVC business). The impairment followed a detailed independent valuation triggered by removal of customs duty on S-PVC imports, influx of low-priced imports, and raw material price volatility tied to the West-Asia crisis. Additionally, the subsidiary recorded Rs 149.92 Cr in exceptional charges from onerous procurement contracts. Consolidated EPS stood at Rs (17.70) vs Rs (6.92) prior year.

Likely market impact

This is a severely negative update. The Rs 898 Cr impairment and multi-hundred crore losses signal material distress in the standalone PVC business. The removal of import duty has structurally weakened the company's competitive position. Shareholders should expect significant pressure on the stock.