FAIRCHEM ORGANICS LIMITED

Makes specialty oleochemicals in India from renewable agro-based raw materials, sold to industrial buyers including cosmetics and paint sectors. Q1 FY27 revenue was Rs 176 crore, up 34.4% YoY, with EBITDA margin recovering to 10.14% as Chinese dumping receded and Middle East supply tightened. Isostearic acid, produced via a green route, accounts for 4% of the mix and positions the company as the third global player in this segment, though qualification cycles with global cosmetic buyers remain long. Sales volume was 13,500 MT in Q1 FY27; FY26 full-year volume came in at 44,000 tonnes, down from 54,000 tonnes the prior year on weak paint industry demand and import pressure. Exports currently contribute 7-8% of sales across 12 countries, with management targeting a larger share over time, supported by the concluded India-UK FTA and an expected India-EU FTA. Raw materials are the dominant cost at 81.4% of revenue, with an inverted duty structure (16.5% on raw materials versus 7.5% on finished goods) extracting around 9% of margin per company estimates. Capacity utilisation on the existing plant was around 60% in Q1 FY27, with management guiding to 70-75% by FY27 exit and 15-20% volume growth for the year.