Fairchem Organics Q1 Results: Net Profit Surges 751% YoY, EBITDA Nearly Triples

2 min read     Updated on 27 Jul 2026, 01:14 PM
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Fairchem Organics posted a strong Q1FY27 performance with net profit surging 751% YoY to ₹10.01 crore and revenue from operations rising 34% to ₹176.15 crore. EBITDA nearly tripled to ₹178M from ₹52M, with EBITDA margin expanding sharply to 10.14% from 3.98%, reflecting significant improvement in operating efficiency. EPS rose to ₹7.95 from ₹0.90, while segment assets grew to ₹397.52 crore as of June 30, 2026.

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Fairchem Organics reported a net profit of ₹10.01 crore for the quarter ended June 30, 2026, representing a 751% surge compared to ₹1.17 crore in the same quarter of the previous fiscal year. The specialty chemicals manufacturer also saw revenue from operations climb 34% year-on-year to ₹176.15 crore, while EBITDA nearly tripled to ₹178M from ₹52M in the prior year period, signaling strong operational momentum in its first quarter of FY27.

The Board of Directors approved the unaudited financial results on July 27, 2026, pursuant to Regulations 30 and 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were prepared in accordance with Ind AS and reviewed by the Audit Committee before board approval. Statutory Auditors B S R and Co expressed an unmodified review conclusion on the limited review of the financial statements.

Financial Performance Highlights

The company's total income reached ₹176.49 crore in Q1FY27, up from ₹131.20 crore in Q1FY26. This growth was primarily fueled by higher revenue from operations, which stood at ₹176.15 crore against ₹131.06 crore in the prior year period. Other income contributed marginally at ₹34.75 lakh. The following table summarises the key financial metrics for the quarter:

Particulars: Q1FY27 Q1FY26 YoY Change
Revenue from Operations: ₹17,614.57 lakhs ₹13,106.31 lakhs +34.40%
Total Income: ₹17,649.32 lakhs ₹13,119.67 lakhs +34.50%
EBITDA: ₹178M ₹52M ~+242.31%
EBITDA Margin: 10.14% 3.98% +616 bps
Profit Before Tax: ₹1,363.67 lakhs ₹161.56 lakhs +744.10%
Net Profit After Tax: ₹1,001.38 lakhs ₹117.36 lakhs +751.50%
EPS (Basic/Diluted): ₹7.95 ₹0.90 +783.30%

Cost of materials consumed rose to ₹120.27 crore from ₹90.73 crore in the previous year, reflecting increased production volumes. Employee benefits expense increased to ₹67.54 crore from ₹60.15 crore, while finance costs nearly doubled to ₹18.38 crore from ₹10.05 crore. Despite these cost increases, the company managed to expand its pre-tax profit significantly to ₹13.64 crore from ₹1.62 crore in the prior year period.

Segment and Balance Sheet Overview

Operating in a single reportable segment of specialty chemicals, including oleo chemicals and intermediate nutraceuticals, Fairchem Organics generated segment revenue of ₹176.15 crore. Segment assets grew to ₹397.52 crore as of June 30, 2026, from ₹361.90 crore a year earlier. Segment liabilities stood at ₹124.85 crore, down slightly from ₹127.94 crore at the end of FY26 but significantly higher than ₹58.76 crore in Q1FY26.

The company's paid-up equity share capital remained unchanged at ₹12.60 crore. Earnings per share jumped to ₹7.95 from ₹0.90 in the corresponding quarter last year. For the full year ended March 31, 2026, the company had reported a net profit of ₹55.41 crore on revenues of ₹459.65 crore.

What the Numbers Show

The dramatic turnaround in profitability is evident across multiple metrics. While revenue growth of 34% is substantial, the EBITDA margin expansion from 3.98% to 10.14% highlights a meaningful improvement in operating efficiency. The 744% surge in pre-tax profit further indicates significant operating leverage, as the company successfully converted top-line growth into bottom-line gains despite rising material and finance costs. The absence of exceptional items in the current quarter, unlike the ₹88.27 lakh regulatory-driven charge in FY26, also contributes to the cleaner profit picture. This performance underscores the resilience of the specialty chemicals business model during this period.

Historical Stock Returns for Fairchem Organics

1 Day5 Days1 Month6 Months1 Year5 Years
+5.00%+14.53%+26.14%+24.66%-14.57%-52.32%

Can the company sustain its expanded EBITDA margin of 10.14% in upcoming quarters given the rising cost of raw materials and finance costs?

What specific operational strategies or product mix shifts contributed to the significant operating leverage that drove the 751% surge in net profit?

How does the increase in segment liabilities to ₹124.85 crore impact the company's future capital allocation and debt servicing capabilities?

Fairchem Organics to discuss Q1FY27 results on July 28

1 min read     Updated on 14 Jul 2026, 02:46 PM
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Fairchem Organics Ltd announced a conference call for July 28, 2026, at 4:00 PM IST to discuss unaudited Q1FY27 results. The session will feature Managing Director Nahoosh Jariwala and CFO Bhavesh Shah. Domestic and international dial-in facilities have been arranged for investors.

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Fairchem Organics Ltd will hold a conference call on July 28, 2026, to discuss its unaudited financial results for the quarter ended June 30, 2026. The earnings call is scheduled to begin at 4:00 PM IST. This meeting provides investors with an opportunity to review the company's performance for Q1FY27 directly with its leadership team.

The con-call is being coordinated by M/s. Valorem Advisors, the company's external investor relations advisor. The discussion will focus on the financial outcomes of the first quarter of the fiscal year 2026-27.

Management representation during the call will include key senior executives responsible for the company's operations and financial strategy. The presence of these officials allows for a detailed analysis of the quarterly figures and future outlook.

Participant Designation
Mr. Nahoosh Jariwala Managing Director & Chairman
Mr. Bhavesh Shah Chief Financial Officer

Investors can join the discussion using various dial-in numbers provided for domestic and international access. Specific toll-free lines have been made available for participants dialing in from the USA, UK, Singapore, and Hong Kong.

Region Dial-in Number
Universal (India) +91 22 6280 1341 / +91 22 7115 8242
USA Toll Free 1866 7462 133
UK Toll Free 0808 1011 573
Singapore Toll Free 800 101 2045
Hong Kong Toll Free 800 964 448

The company has also provided a Diamond Pass link for webcast access and an Investor Kit link for relevant documents. The intimation was submitted to the exchanges pursuant to Regulation 30(2) of the SEBI (LODR) Regulations, 2015.

Historical Stock Returns for Fairchem Organics

1 Day5 Days1 Month6 Months1 Year5 Years
+5.00%+14.53%+26.14%+24.66%-14.57%-52.32%

What guidance does management expect to provide regarding the demand outlook for the remainder of FY27?

How might recent raw material price volatility impact the company's operating margins in the coming quarters?

Are there any strategic capacity expansions or new product launches anticipated in the near future?

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1 Year Returns:-14.57%