Advance Petrochemicals Limited reported a net profit of ₹203.95 crore for the quarter ended June 30, 2026 (Q1FY27), marking a substantial turnaround from the ₹1.18 crore net profit recorded in Q1FY26. The company’s revenue from operations grew 98.69% year-on-year to ₹1,889.68 crore, up from ₹951.09 crore in the corresponding period of the previous fiscal year. This performance underscores improved operational efficiency and robust demand dynamics in the petrochemical sector.

The Board of Directors approved the standalone unaudited financial results on August 11, 2026, in compliance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were reviewed by Suresh R. Shah & Associates, the statutory auditors, who issued an unqualified limited review report. Additionally, the Board approved the notice for the 41st Annual General Meeting and the draft Directors’ Report for FY26.

Financial Performance Highlights

Revenue from operations nearly doubled compared to the previous year, while total expenses increased by 71.09% to ₹1,628.23 crore. The significant jump in profitability was largely driven by a reduction in inventory costs, with changes in inventories contributing a credit of ₹236.32 crore in Q1FY27, compared to ₹44.70 crore in Q1FY26. Finance costs rose to ₹46.09 crore from ₹27.29 crore in the prior year quarter.

Board Changes and Governance

The Board noted the resignation of Mr. Akshat Arunbhai Shukla as Non-Executive Independent Director due to the end of his term, effective August 11, 2026. Similarly, Mr. Arvind Vishwanath Goenka resigned as Non-Executive Director citing mutual exit and other project commitments. To fill the casual vacancy, the Board appointed Mr. Priyank Dilipbhai Parikh as an Additional Non-Executive Independent Director for a five-year term, subject to shareholder approval at the AGM.

The company also reconstituted its Audit, Stakeholders Relationship, and Nomination & Remuneration Committees. Mr. Priyank Dilipbhai Parikh and Mrs. Aanchal Arvind Goenka were inducted into these committees to replace the outgoing directors. M/s Tibrewal Bhagat & Associates was re-appointed as Internal Auditor for FY27.

What the Numbers Show

The dramatic surge in net profit is primarily attributable to favorable inventory movements rather than just top-line growth. While revenue nearly doubled, the credit from changes in inventories (₹236.32 crore) significantly boosted operating profit before tax to ₹263.95 crore. Investors should note that this margin expansion is partly driven by working capital adjustments, which may not be sustainable at similar levels in subsequent quarters without corresponding volume or price improvements.

Advance Petrochemicals Limited reported a 90.3% decline in net profit to ₹2.93 crore for the financial year ended March 31, 2026, down from ₹30.22 crore in the previous year. Revenue from operations for FY26 stood at ₹4,736.44 crore, a decrease from ₹4,993.54 crore in FY25. The company's Board of Directors adopted the audited standalone financial results for the quarter and year ended March 31, 2026, during a meeting held on May 23, 2026.

The statutory auditors, M/s Suresh R. Shah & Associates, issued an audit report with an unmodified opinion on the standalone financial results. The report confirms that the statement presents a true and fair view in conformity with applicable Indian accounting standards prescribed under Section 133 of the Companies Act, 2013. The results were reviewed by the Audit Committee and approved by the Board.

For the quarter ended March 31, 2026, the company reported a net profit of ₹25.14 crore, compared to ₹27.17 crore in the corresponding quarter of the previous year. Revenue from operations for the quarter was ₹1,574.20 crore, slightly higher than ₹1,515.98 crore in Q4FY25. Total expenses for the year increased to ₹4,726.41 crore from ₹4,987.00 crore in the prior year.

The company's earnings per share (EPS) for the year ended March 31, 2026, dropped to ₹0.33 from ₹3.36 in the previous year. For the quarter ended March 31, 2026, basic EPS stood at ₹2.79, compared to ₹3.02 in the same period last year. The paid-up equity share capital remained unchanged at ₹90 crore.

Financial Performance Summary

Balance Sheet Highlights

As of March 31, 2026, the company's total assets stood at ₹3,164.13 crore, up from ₹2,530.50 crore in the previous year. Total equity and liabilities increased to ₹3,164.13 crore from ₹2,530.50 crore. Current assets rose to ₹2,241.72 crore from ₹1,697.51 crore, driven by higher inventories and trade receivables.

The company's cash and cash equivalents at the end of FY26 were ₹74.25 crore, compared to ₹69.47 crore at the end of FY25. Net cash flow from operating activities for the year was ₹299.13 crore, while net cash used in investing and financing activities was ₹183.95 crore and ₹110.40 crore, respectively.