DCW Limited reported its audited financial results for the fourth quarter and financial year ended March 31, 2026. The Board of Directors approved the results on May 5, 2026, and the company held an earnings conference call on May 6, 2026, hosted by Arihant Capital Markets. The statutory auditors issued an unmodified audit opinion. Results were published in Business Standard (English) and Financial Express (Gujarati) on May 6, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The earnings call transcript was subsequently filed with exchanges on May 13, 2026, by Sr. General Manager (Legal) & Company Secretary Dilip Darji.

Financial Performance: Full Year FY26

The company delivered a strong improvement in profitability for the full year. Revenue from operations rose to Rs. 2,14,358.57 lakhs in FY26 from Rs. 2,00,034.33 lakhs in FY25. Annual PAT stood at Rs. 48 crores, against Rs. 30 crores in the prior year — a significant increase of 60%. Annual EBITDA stood at Rs. 240 crores as against Rs. 216 crores last year, an 11.2% increase. Annual EBITDA margin for the company stood at 11.2%, an improvement from 10.7% in the prior fiscal. Total comprehensive income for FY26 was Rs. 4,786.59 lakhs against Rs. 2,950.22 lakhs in FY25.

The following table summarises the key financial metrics for the full year:

Q4 FY26 Quarterly Performance

For the quarter ended March 31, 2026, DCW Limited reported revenue from operations of Rs. 60,906.38 lakhs, higher by 13.2% on a YoY basis and 17% on a sequential basis. EBITDA including other income for Q4 FY26 stood at Rs. 70 crores, up by 14% YoY and 40% on a sequential basis. Q4 EBITDA stood at 646M rupees versus 557M rupees in Q4 FY25, with EBITDA margin improving to 10.6% from 10.36% year-on-year. Net profit for Q4 FY26 stood at Rs. 18 crores, higher by 60% YoY and 2.7x on a sequential basis. Finance cost for Q4 stood at Rs. 15.4 crores, a reduction of 2.3% YoY and 4.9% on a sequential basis.

Segment Performance

Q4 basic chemicals EBITDA stood at Rs. 30 crores, over Rs. 14 crores in Q4 of the last fiscal — an increase of 1.1x and a breakeven number in the previous quarter. The annual EBITDA for basic chemicals stood at Rs. 54 crores, over Rs. 19 crores in the last fiscal, that is 1.8x. Basic chemical margins improved to 3.5% over 1.3% last year, supported by higher production across all product segments and benefits flowing from substitution of power supplies from Tamil Nadu Electricity Board to Solar.

Q4 specialty chemicals EBITDA stood at Rs. 39 crores, against Rs. 46 crores in Q4 of the last fiscal — a 16% reduction — and Rs. 50 crores in the previous quarter, a 22% reduction. The annual EBITDA for specialty chemicals stood at Rs. 177 crores against Rs. 189 crores in the last fiscal, a de-growth of 6.5%. Specialty margins clocked at 30%, a contraction of 6% over the last fiscal. Despite volume increases in both C-PVC and SIOP, a significant reduction in net realization by 22% in C-PVC with no commensurate reduction in PVC input prices resulted in PVC–C-PVC spread contraction.

Operational Highlights and Capacity Utilization

FY26 was a record year from a volume perspective, with the company achieving its highest-ever sales volumes in C-PVC, Synthetic Iron Oxide Pigment (SIOP), and Synthetic Rutile. Production and sales volumes across all product segments increased on a year-on-year basis, except PVC, where higher volumes were utilized for captive consumption to support C-PVC production. During the year, DCW added 30,000 tons of capacity to its earlier 20,000-ton C-PVC base, taking total annual capacity to 50,000 tons; the expansion was commissioned on time and within budget. The final 10,000 tons was completed towards end of March. Annual production for C-PVC recorded a 60% increase in volumes and synthetic rutile recorded a 20% increase. Soda ash production for Q4 also recorded the highest number in the past 11 quarters.

Capacity utilization for key products in Q4 FY26 was robust, with C-PVC at 100%, SIOP at 83%, and PVC at 101%. For the full year FY26, capacity utilization was C-PVC at 102%, SIOP at 83%, and PVC at 100%. The company's renewable energy project was commissioned during the year, with estimated power cost savings of around Rs. 23–24 crores, and early results from AI-based process optimization piloted at the soda ash plant in partnership with a Netherlands-based technology company were described as encouraging.

Balance Sheet and Debt Position

The company repaid Rs. 145 crores of long-term debt during the year and ended FY26 with a net debt-to-EBITDA at 0.3x. Closing gross debt stood at Rs. 276 crores versus Rs. 426 crores a year back — a reduction of Rs. 150 crores due to scheduled term loan repayments. The company did not avail any additional term borrowings during the year, with debt levels at a multi-year low. A healthy cash position including bank FDs was maintained at Rs. 204 crores, resulting in a closing net debt of only Rs. 71 crores. Annual finance cost stood at Rs. 62 crores, down from Rs. 67 crores in the last fiscal, a reduction of 7.5%. Management indicated that scheduled debt repayment for FY27 is Rs. 130 crores, which would make the company net cash positive.

Management Commentary and Outlook

DCW President Saatvik Jain noted that FY26 performance was achieved despite net realizations declining across the entire product range with the exception of pigments, and that C-PVC realizations alone corrected by more than 20% during the year. Profitability improvement was driven by higher volumes, better operating discipline, improved utilization, a stronger specialty contribution, and a leaner balance sheet. CFO Pradipto Mukherjee highlighted that caustic soda realizations in Q4 were around $350, improving to north of $400 in Q1, while soda ash import prices are currently in the vicinity of about $250. Management noted that PVC–C-PVC spreads have improved back to pre-war levels following a spike in PVC prices in March. On future capital allocation, management stated that commodity-side capex would be directed towards efficiency improvements rather than volume growth, while growth capex would predominantly target specialty or niche segments with related chemistries, with formal announcements pending resolution of current geopolitical uncertainties.

Dividend and Corporate Actions

The Board of Directors recommended a final dividend of Rs. 0.20/- (Rupees Twenty Paise only), representing 10% on the face value of Rs. 2/- per equity share, for the financial year ended March 31, 2026, subject to shareholder approval at the ensuing Annual General Meeting. The Board also approved the re-appointments of M/s. PKF Sridhar & Santhanam LLP, Chartered Accountants, as Internal Auditors, M/s. R. Nanabhoy and Co., Mumbai, and M/s. N. D. Birla and Co., Ahmedabad, as Cost Auditors, all for FY 2026-27.

DCW Limited has issued a formal notice to shareholders holding shares in physical form, announcing a special window for re-lodgement of transfer requests of physical shares. The notification, published in Business Standard (English) and Financial Express (Gujarati) on May 13, 2026, was made pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Background and Regulatory Context

SEBI had discontinued the transfer of physical shares from April 1, 2019. A special window was initially opened vide SEBI Circular No. SEBI/HO/MIRSD/MIRSD-PoD/P/CIR/2025/97 dated July 02, 2025, covering the period from July 7, 2025 to January 6, 2026, to facilitate re-lodgement of physical share transfer requests originally submitted before April 1, 2019 but returned due to documentation deficiencies. Subsequently, SEBI extended this facility vide Circular No. HO/38/13/11(2)2026-MIRSD-POD/13750/2026 dated January 30, 2026, for a period of one year.

Special Window Details

The key parameters of the special window are summarised below:

Eligibility Criteria

The following matrix outlines the eligibility conditions for availing the special window:

Only re-lodgements of legally valid and complete documents for transfer of physical shares, where there is no dispute on ownership, will be considered. Lodgers must hold an active demat account to avail this facility.

Documents Required and Submission Process

Shareholders wishing to avail the special window are required to submit the following documents to the Company's Registrar and Share Transfer Agent (RTA):

• Client Master List (CML)
• Duly executed transfer deed(s)
• Original share certificate(s)
• Any other necessary documents as applicable

Documents are to be submitted to M/s. Bigshare Services Private Limited, the Company's RTA, at the following address:

KYC Update and Dematerialisation Advisory

DCW Limited has also encouraged shareholders holding shares in physical form to update their KYC details and convert their physical holdings into dematerialised form. The company noted that holding shares in dematerialised form offers multiple benefits and eliminates risks associated with physical share certificates. The notice was signed by Dilip Darji, Sr. General Manager (Legal) & Company Secretary (Membership No. ACS-22527), and is also available on the Company's website.