FAIRCHEMORBSEFairchem Organics LtdMediumNeutral
Announced Sat, 9 May · 13:39 IST

Please find attached herewith transcript of audio recording of Earnings Concall on Audited Financial Results for the Quarter and Year Ended March 31, 2026

Mgmt Guided Margin ImprovementAnalyst Day Multiyear TargetsInvestor Communications View source PDF

FAIRCHEMOR · price

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Price reaction · full curve 14 horizons · vs prior close
-3.6%1-day move
₹617.15
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₹619.40
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AI summary

Fairchem Organics reported Q4 FY'26 revenue of Rs.117 crore (down 3.2% YoY) with EBITDA margin improving to 6.8% from 3.64% in Q4 FY'25, driven by better price realization as Chinese dumping reduced significantly since February. Full year FY'26 revenue was Rs.460 crore (down 14.5%), with EBITDA of Rs.22 crore (4.7% margin) and net profit of Rs.6.2 crore. Volume declined to 44,000 tonnes from 54,000 tonnes. Management completed a buyback of 4.25 lakh shares, increasing promoter holding to 63.2%. Management expects FY'27 margins to reach 8% by targeting 75-80% capacity utilization, with export contribution rising from 8-9% to 20%. A new 40,000 tonne high-margin product (15-18% margins) using a novel process will be commissioned in Q2 FY'27, with Rs.800-1000 crore revenue potential over 5 years. The long-term Rs.2,000 crore revenue vision by FY'30 is based on this expansion.

Likely market impact

Margin recovery is underway as Chinese dumping has moderated and paint sector demand is rebounding. The new high-margin product pipeline and export growth targets provide multi-year growth visibility, though near-term earnings remain pressured with dividend cut to Rs.1 from Rs.7.5.