Sigachi Industries Limited has informed the Exchange about Transcript
SIGACHI · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
Sigachi's Q1 FY26 earnings call was dominated by a tragic fire incident at its Pashamylaram (Hyderabad) unit on June 30, 2025, caused by a dust explosion in a spray drying machine, which killed 46 workers, left 8 unaccounted, and injured 25 others. The company has paid out about INR5.8 crores in compensation and booked a total charge of roughly INR121 crores in Q1, fully backed by insurance of about INR90 crores in fixed assets plus a INR25 crore business interruption policy. Q1 revenue grew to INR128 crores (up from INR95 crores YoY) with EBITDA of INR24 crores (18.79% margin), but the company reported a net loss of INR101 crores largely due to the incident-related provisions. The Hyderabad unit, which accounts for 29% of installed capacity (6,400 MT), is expected to remain shut for about 180 days, with an estimated revenue impact of INR60 crores, partly offset by INR20 crores from other facilities. Management reaffirmed its FY26 revenue guidance of INR550–575 crores and said the API segment is expected to grow to INR70 crores, with EBITDA margins of 18–20% and working capital days targeted to come down to under 90 by end-FY26 from the current 193.
Near-term sentiment is likely to remain weak given the severity of the incident, but insurance coverage is expected to protect the bottom line, and management has largely preserved its revenue and growth guidance. The stock may see volatility around safety findings, insurance clarity, and progress on restarting the Hyderabad unit, while longer-term growth levers (API, CCS, European CEP filings) remain intact.