Announced Mon, 10 Nov · 15:16 IST

The Board considered and approved; 1) Un-Audited financial results for the quarter ended 30th September 2025, 2) Expansion project for the upgradation and revamping of the existing plant ....

Pat Growth 25pctEbitda Margin ExpansionResults View source PDF

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AI summary

The Board of India Gelatine & Chemicals approved unaudited financial results for Q2 FY26 (quarter ended Sept 30, 2025) and a major capacity expansion. Revenue from operations for Q2 stood at ₹4,690 lakhs, up about 10% YoY from ₹4,271 lakhs. Profit after tax jumped sharply to ₹644 lakhs (₹9.08 EPS), more than doubling from ₹309 lakhs last year, aided by lower raw material and power costs. The Board also cleared a ₹80 crore project to revamp and expand the existing plant, adding 700 MT of gelatin capacity (from 2,000 MT to 2,700 MT) over 1.5 years, funded through a mix of internal accruals and borrowings. Current capacity utilization is already above 90%, indicating strong demand. The statutory auditor (Mahendra N. Shah & Co.) issued an unqualified limited review report.

Likely market impact

Strong profit growth despite modest top-line expansion signals healthy margin improvement, which is positive for shareholders. The ₹80 crore capex to add 35% more capacity reflects management's confidence in demand growth, though it will increase debt and execution risk over the next 18 months.