Asahi Songwon Colors Limited reported a 57.46% year-on-year increase in net profit to ₹10.82 crore for the quarter ended March 31, 2026, driven by stronger realisations and operational efficiencies. Revenue from operations for Q4FY26 stood at ₹144.05 crore. For the full financial year FY26, the company recorded a net profit of ₹17.78 crore on revenue of ₹535.48 crore. The API and Azo businesses achieved EBITDA positivity for the full year, marking a significant milestone in their financial progression. Following the results, the company hosted an earnings conference call on June 01, 2026, the audio recording of which is now available on its website.

The company’s operating environment remained challenging due to geopolitical tensions impacting raw material prices and supply chains. However, the phthalocyanine pigment business saw healthy growth in profitability during Q4FY26, supported by higher realisations and the ability to pass on cost increases to customers. The API business delivered consistent volumetric growth of approximately 18% CAGR over the last three years, with the three-year price erosion cycle reversing during the quarter.

Financial Performance for Q4 and FY26

Strategic and Operational Updates

The company has successfully commenced commercial production of API intermediates at its Chhatral site. Exports contributed 69% to the revenue in FY26. Management highlighted that both API and Azo businesses have reached cash break-even levels. The company is also progressing towards achieving CEP certification by the end of the current financial year, which is expected to support volume growth and access to more profitable segments.

Asahi Songwon Colors continues to focus on operational efficiencies to strengthen its margin profile. The company serves over 101 customers across 19 countries, leveraging its four manufacturing facilities. The Odhav plant is currently running at optimum capacity utilisation.

Management Commentary and Outlook

During the earnings conference call, Managing Director Mr. Gokul M. Jaykrishna announced his transition from the role of CEO, a position he held for eight years, while continuing as Managing Director. Mr. Arjun G. Jaykrishna, previously Executive Director, has assumed the role of Chief Executive Officer effective immediately. The leadership change aims to drive the company's next phase of growth with a focus on increasing fixed asset turnover and operational efficiencies.

Management expressed confidence in sustaining the Q4FY26 performance into Q1FY27. The company targets an EBITDA margin of approximately 13% for the Azo business and 15% to 16% for the API business in the long term. For the standalone Blue pigment business, the goal is to achieve revenue of around ₹400 crore with an EBITDA margin of 13% to 14% in FY27. The company aims to reach a consolidated revenue scale of ₹1000 crore over the next few years, supported by internal accruals and strategic improvements.

Asahi Songwon Colors Limited has commenced remote e-voting to seek shareholder approval for the appointment of Mr. Rupesh Chandrakant Shah as an Independent Director. The voting period, facilitated by National Securities Depository Limited (NSDL), began at 9:00 a.m. on Saturday, May 30, 2026, and will conclude at 5:00 p.m. on Sunday, June 28, 2026. Shareholders holding shares as of the cut-off date of Friday, May 22, 2026, are eligible to participate. The appointment requires the passing of a special resolution and, if approved, will be for a term of five years effective from March 31, 2026, to March 30, 2031.

The Board of Directors initially appointed Mr. Rupesh Chandrakant Shah (DIN: 00277687) as an Additional Director in the capacity of Independent Director on March 31, 2026, based on the recommendation of the Nomination and Remuneration Committee. In compliance with Regulation 17(1C) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company is required to obtain member approval within three months of the appointment or at the next General Meeting, whichever is earlier.

Mr. Shah brings over five decades of experience in the ceramic and food processing industries. A Gold Medallist from Gujarat University with a degree in Ceramic Engineering from the United States, he has held leadership roles including President of the Ahmedabad Pottery Manufacturing Association and Chairman of the Indian Ceramic Society (Gujarat Chapter). The Board believes his expertise in export-oriented manufacturing and operational excellence will benefit the company.

In compliance with Ministry of Corporate Affairs (MCA) Circulars, the Postal Ballot Notice and all annexures are being sent to shareholders only in electronic mode. The documents are available on the company's website at www.asahisongwon.com , the stock exchanges at www.bseindia.com and www.nseindia.com , and the e-voting agency NSDL at www.evoting.nsdl.com . Shareholders holding shares in demat mode must contact their Depository Participant (DP) to register their email addresses, while those holding shares in physical mode can register via Form No. ISR-1, SH-13, or ISR-3.

Mr. Naveen Kumar Mandovara, proprietor of M/s. S. Sharda & Associates, Chartered Accountant, has been appointed as the Scrutinizer to conduct the voting process. The results will be announced within statutory timelines and communicated to the stock exchanges.

Key Dates for Postal Ballot