NSE: FAIRCHEMOR · BSE: 543252
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. AR · MarketPing reader · 2026-08-02
Revenue streams, as the annual report describes them. Specialty oleochemicals, Isostearic acid (4%), New oleochemical product, Exports (8%). Cyclical, commodity-linked specialty chemicals with thin margins sensitive to Chinese dumping and input duty structure
Exhibit 1: Financial summary, FY22–FY26 (all audited; no estimate years)
| ₹ crore · standalone | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Revenue | 643 | 648 | 621 | 538 | 460 |
| EBITDA (ex other income) | 105 | 72 | 67 | 43 | 21 |
| margin % | 16.3 | 11.2 | 10.8 | 8.0 | 4.5 |
| Owners' profit | 68 | 44 | 41 | 22 | 6 |
| EPS, as reported (₹) | 52.15 | 33.41 | 31.10 | 16.88 | 4.28 |
| ROE % · ROCE % | 29.3 · 38.2 | 16.8 · 23.5 | 14.0 · 19.1 | 7.3 · 10.4 | 2.1 · 3.8 |
| Debt / equity (x) | 0.27 | 0.19 | 0.03 | 0.21 | 0.32 |
| Cash from operations | 40 | 50 | 74 | (17) | 42 |
| Capex | (35) | (15) | (18) | (26) | (15) |
Exhibit 2: Quarterly performance, last 8 quarters
| ₹ crore | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | Q2 FY26 | Q3 FY26 | Q4 FY26 | Q1 FY27 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 139 | 114 | 121 | 131 | 112 | 100 | 117 | 176 |
| Profit before tax | 5 | 5 | 1 | 2 | 1 | (0) | 5 | 14 |
| Net profit | 4 | 4 | 1 | 1 | 1 | (0) | 4 | 10 |
| EPS (₹) | 3.08 | 2.70 | 0.46 | 0.90 | 0.59 | (0.07) | 2.85 | 7.95 |
Exhibit 3: Peers — basic industry group, by market cap
| Company | M.cap ₹ cr | P/E | P/B | EV/EBITDA | ROE % | ROCE % | Rev CAGR 5y % | EBITDA m. % |
|---|---|---|---|---|---|---|---|---|
| PIDILITE INDUSTRIES LTD | 1,42,095 | 53.6 | 12.86 | 37.6 | 22.4 | 28.0 | 14.9 | 28.6 |
| SRF LTD | 69,659 | 32.2 | 4.96 | 21.6 | 13.1 | 13.1 | 13.4 | 25.2 |
| GUJARAT FLUOROCHEM LTD | 47,075 | 76.8 | 5.95 | 37.4 | 7.3 | 8.7 | 13.5 | 27.7 |
| NAVIN FLUORINE INT. LTD | 43,610 | 55.1 | 10.97 | 39.3 | 16.7 | 16.4 | 23.0 | 37.5 |
| AETHER INDUSTRIES LIMITED | 20,905 | 88.6 | 8.51 | 56.8 | 8.9 | 11.4 | — | 33.8 |
| DEEPAK NITRITE LTD | 20,257 | 25.9 | 3.45 | 21.0 | 9.4 | 10.2 | 12.6 | 21.5 |
| AARTI INDUSTRIES LTD | 15,871 | 29.9 | 2.67 | 17.1 | 7.0 | 4.4 | 13.0 | 16.2 |
| FINE ORGANIC IND. LTD. | 15,604 | 35.6 | 5.86 | 25.5 | 15.7 | 20.0 | 15.9 | 28.8 |
Exhibit 4: Where the company sits in its group
| Metric | Company | Group median | Rank | Better than |
|---|---|---|---|---|
| P/E (TTM) | 59.3 | 23.1 | 83 of 99 | 16% |
| P/B | 3.2 | 2.8 | 62 of 99 | 38% |
| ROCE | 2.5 | 10.1 | 87 of 106 | 18% |
| ROE | 2.1 | 8.1 | 85 of 99 | 14% |
| Debt / Equity | 0.3 | 0.2 | 68 of 99 | 32% |
| EBITDA margin | 10.3 | 15.5 | 72 of 99 | 28% |
| Revenue growth | 34.4 | 24.4 | 30 of 94 | 69% |
| Profit growth | 753.3 | 55.1 | 7 of 92 | 93% |
| Market cap | 845 | 699 | 51 of 108 | 53% |
Exhibit 5: Filings of the last 90 days, with the measured price reaction
| Date · filing | Category | Importance | Next day % | 5-day % |
|---|---|---|---|---|
| 27 Oct 2026 · Q2 FY27 revenue up 49.7%; management expects higher margins and capacity use | investor communications | medium | — | — |
| 23 Oct 2026 · Fairchem Organics submits earnings call audio for September 2026 quarter | investor communications | low | — | — |
| 23 Oct 2026 · Fairchem Organics Q2 profit rises nearly 13 times year-on-year | compliance | minimal | — | — |
| 22 Oct 2026 · Q2 revenue rises 49.7%, profit jumps to Rs 102 million | investor communications | medium | — | — |
| 22 Oct 2026 · Fairchem Organics Q2 PAT up 10x at Rs 20 cr; buys land for Rs 12 cr from promoter | capex operations | medium | — | — |
| 22 Oct 2026 · Fairchem Organics Q2 PAT jumps to Rs 10.17 cr, board clears land buy from promoter for Rs 12 cr | board shareholder meetings | low | — | — |
| 12 Oct 2026 · Fairchem Organics Q2 FY27 earnings call on Oct 23, 2026 at 4 PM | board shareholder meetings | low | — | — |
| 10 Oct 2026 · Board meeting on Oct 22 to consider Q2 and H1 FY26 unaudited results | results | low | — | — |
| 7 Oct 2026 · Fairchem Organics files Reg 74(5) demat compliance certificate for Q2 FY27 | compliance | minimal | — | — |
| 23 Sept 2026 · Trading Window Closure from October 1, 2026 for Q2 FY27 Results | compliance | minimal | — | — |
How to read this document
| Where a broker report shows | This document shows | Why |
|---|---|---|
| A rating (BUY / ADD / REDUCE / SELL) | A state: the latest filed quarter and the measured reactions | an event is a fact; a rating is an opinion that requires SEBI RA registration |
| A target price and upside | The current price and the multiples against the group | a target is a forecast; a multiple is a measurement |
| Estimate years marked E | More audited years; no estimates | MarketPing publishes no forecasts — your own model lives on the Models page |
Sources, method and disclosures
This document is a statistical summary of publicly filed information and market data, prepared by software from primary sources: SEBI results XBRL filed with BSE and NSE, LODR disclosures, shareholding patterns, exchange price data. It contains no research recommendation, no price target and no opinion on the merits of any security, and is not a research report within the meaning of the SEBI (Research Analysts) Regulations, 2014, Regulation 2(1)(w)(vii). Financial statements are as filed (consolidated where the company files consolidated results). Ratios are computed over filed lines. Where a figure is unavailable the table shows a dash rather than an estimate. The business brief is written by MarketPing's reader from the annual report and checked against it; no figure in a table was generated by a model. Nothing here constitutes investment advice, an offer or a solicitation; readers should consult a SEBI-registered adviser before acting. MarketPing is not a SEBI-registered intermediary.