DCM Shriram Limited has published its Annual Report for the financial year 2025-26, reporting broad-based revenue growth across its diversified business portfolio amid a complex global macroeconomic environment. On a consolidated basis, net revenue from operations (net of excise duty) rose to Rs. 13,538 crore from Rs. 12,077 crore in the previous year, reflecting growth across Chemicals, Agri Inputs, and Fenesta Building Systems segments.

Key Financial Highlights

The company's consolidated financial performance for FY 2025-26 is summarised below:

The increase in PAT includes a one-time deferred tax credit of Rs. 239 crore on account of the company opting for the new tax regime under Section 115BAA of the Income Tax Act, 1961, effective from FY27. Earnings per share after exceptional item stood at Rs. 54.73 for FY26 compared to Rs. 38.75 in FY25.

Segment-Wise Performance

The following table presents segment-level revenue and PBDIT performance for FY 2025-26:

The Chemicals segment's 38% revenue growth was driven by higher volumes following capacity expansion, new product introductions, and improved ECU realisations. Caustic soda sales volumes rose to 7,85,914 MT in FY26 from 7,01,880 MT in FY25, a 12.0% increase, while ECU realisations improved to Rs. 28,924 per MT from Rs. 28,476 per MT. The Vinyl segment saw PVC resin sales volumes rise 9.7% to 61,153 MT, though realisations declined 9.0% to Rs. 70,668 per MT due to dumping of surplus supply from China. Fenesta Building Systems recorded sales of 5,03,385 windows and doors units in FY26, up 20.6% from 4,17,356 units in FY25, though realisations per unit declined 4.2% to Rs. 19,653.

Capital Expenditure and Strategic Investments

DCM Shriram commissioned projects in FY26 at a cumulative investment of approximately Rs. 1,106 crore. Key completed investments included:

• 52,000 TPA Epichlorohydrin (ECH) facility with Glycerine purification facility (partially commissioned in October 2025 and remaining in April 2026)
• Enhancement by 6.6 MW in Renewable (Solar + Wind) power for the Bharuch complex via SPV route (group captive)
• Acquisition of 53% equity stake in DNV Global Pvt. Ltd. for backward integration into windows and doors hardware business
• Acquisition of 100% equity stake in Hindusthan Speciality Chemicals Ltd. for forward integration into advanced materials

Subsequent to the financial year, the company sold 50% stake in its subsidiary Shriram Polytech Ltd. to Teknor Apex B.V. to form a Joint Venture, combining Shriram Polytech's Indian manufacturing base in vinyl compounds with Teknor Apex's global expertise in specialized formulations.

Projects currently under implementation include an Aluminium Chloride expansion of 100 TPD and a Calcium Chloride facility of 225 TPD (planned for commissioning by Q1 FY27), a 68 MW peak renewable energy project for the Kota complex (with average injection of 15 MW started from May 2026), and a 48 MW peak renewable energy project for the Bharuch complex.

Standalone Financial Performance

On a standalone basis, revenue from operations stood at Rs. 13,797 crore in FY26 versus Rs. 12,442 crore in the previous year. Standalone Net Profit was higher by 48% at Rs. 838 crore from Rs. 567 crore in FY25. The Board has recommended a Final Dividend of Rs. 4 per equity share of Rs. 2 each for FY 2025-26, subject to shareholder approval at the 37th Annual General Meeting scheduled for August 18, 2026. Including two interim dividends of Rs. 3.60 per share each declared during the year, the cumulative dividend for FY 2025-26 aggregates to Rs. 11.20 per equity share.

Key Standalone Financial Ratios

ESG and Sustainability

DCM Shriram recorded an ESG score of 63 in the Corporate Sustainability Assessment (CSA) by S&P Global, placing it in the top 6% of 409 global chemical companies, and was included in the Sustainability Yearbook 2026. The company pledged to reduce Scope 1 and Scope 2 emissions by 40% by 2040 and achieve carbon neutrality by 2050. During FY 2025-26, specific energy intensity was reduced by 6% compared to FY 2024-25, specific water withdrawal intensity was reduced by 8%, and specific total waste intensity was reduced by 13%. Zero fatalities were reported across all operations, and a reduction of 52% in LTIFR was achieved during FY 2025-26. The company's sugar division sold 15.15 crore litres of ethanol, supporting India's ethanol blending programme. The 37th AGM is scheduled to be held on Tuesday, August 18, 2026 at 10:30 A.M. (IST) through Video Conferencing/Other Audio-Visual Means.

DCM Shriram Consolidated has entered into a definitive agreement with Serentica Renewables India 38 Private Limited to acquire a 26% equity stake for Rs 104.4 crore. This strategic investment will secure approximately 58 MW of renewable power, including 36 MW of round-the-clock supply, for the company's Bharuch plant. Upon completion, DCM Shriram Limited's total renewable energy capacity will rise to 176 MW (peak) across its facilities in Bharuch and Kota, significantly expanding its clean energy base and supporting sustainability goals.

The Board of Directors had previously approved a total equity investment of up to Rs 105 crore for this purpose. The acquisition will be funded through cash consideration in one or more tranches. The target entity, incorporated on January 1, 2026, operates in the renewable energy sector and is developing a hybrid power project to supply energy to DCM Shriram Chemicals. The transaction is not a related party transaction and is being conducted at arm's length. The company anticipates the acquisition will be completed by June 30, 2027.

Key Transaction Details

Mr. Sabaleel Nandy, Executive Director & CEO of DCM Shriram Chemicals, stated that the agreement expands the share of renewable energy across chemical operations in Bharuch. He noted that the project is expected to help avoid nearly 0.4 million tonnes of CO2 emissions annually while improving cost efficiency and providing visibility into long-term power costs.

Serentica Renewables will supply the power through a 190 MW renewable energy project comprising solar power from Rajasthan and wind power from Karnataka. Mr. Akshay Hiranandani, CEO of Serentica Renewables, described the partnership as a significant step in advancing India's industrial decarbonization journey by enabling reliable and sustainable energy for DCM Shriram's operations.