Indian Emulsifiers Limited reported a 56% year-on-year increase in total income to ₹160.19 crore for the financial year ended March 31, 2026, driven by robust demand across its specialty chemicals portfolio. The company’s profit after tax (PAT) rose 22.3% to ₹16.26 crore, while earnings before interest, taxes, depreciation, and amortization (EBITDA) grew 24.6% to ₹26.22 crore. The firm is targeting a compound annual growth rate (CAGR) of 40-50% in revenue over the next three years, supported by expanding product offerings and entry into new international markets including Australia and the United States.

The audited financial results for the half-year and full year ended March 31, 2026, were submitted to the National Stock Exchange of India Ltd. on June 01, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The filing was signed by Joshna Olivera, Company Secretary.

Financial Performance

For FY26, the company achieved a total income of ₹160.19 crore compared to ₹102.66 crore in the previous year. Net sales for the period stood at ₹159.82 crore, up from ₹101.23 crore in FY25. Total expenditure increased to ₹133.97 crore from ₹81.61 crore, primarily due to higher raw material costs which rose to ₹121.92 crore from ₹71.87 crore. The EBITDA margin for the year stood at 16.37%, while the net profit margin was 10.15%.

In the second half of FY26 (H2FY26), total income reached ₹82.96 crore, a 65.9% increase compared to ₹50.00 crore in H2FY25. PAT for H2FY26 was ₹5.99 crore, a slight decline of 5.2% from ₹6.32 crore in the corresponding period of the previous year. The company’s basic earnings per share (EPS) for FY26 was ₹11.24, compared to ₹11.40 in FY25.

Strategic Outlook and Expansion

Indian Emulsifiers is focusing on diversifying its industrial expansion and enhancing its geographic footprint. The company’s Australian subsidiary, Southern Emulsifiers, is expected to generate approximately INR 75 Crores in revenue over the next three years, targeting the mining explosives market. Additionally, Polaris Specialty Chemicals Inc. has been established as a distribution arm in the U.S. to handle logistics and last-mile delivery.

The company continues to invest in operational efficiency and contract manufacturing to strengthen customer ties. With a production capacity of 12,000 MTPA and a portfolio of over 125 specialty chemicals, Indian Emulsifiers supplies industries including personal care, oil & gas, and textiles. The firm is also evaluating inorganic growth opportunities to enhance its product portfolio and market access as part of its five-year strategic plan.

Indian Emulsifiers Limited reported a 57.93% year-on-year increase in total revenue to ₹159.87 crore for the financial year ended March 31, 2026, while profit after tax (PAT) grew 21.83% to ₹16.20 crore. The specialty chemicals manufacturer attributed the growth to volume expansion, new market penetration, and a deeper share with existing customers, even as it navigated global headwinds such as U.S. tariff structures and supply chain disruptions in the Middle East.

The Board of Directors approved the Standalone and Consolidated Audited Financial Statements for FY26 at its meeting held on May 23, 2026. The statutory auditors, M/s Dave and Dave, issued an unmodified opinion on the results.

The company’s EBITDA rose 24.22% to ₹26.15 crore in FY26, compared to ₹21.05 crore in the previous year. Operating profit before working capital changes increased 19.12% to ₹25.94 crore from ₹21.77 crore in FY25. However, management noted that percentage margins moderated slightly, a natural outcome of aggressive volume growth and geographic expansion.

Financial Performance

The audited results for FY26 show strong top-line growth and improved profitability in absolute terms. The following table details the key financial metrics for the year:

Operational Efficiency and Cash Flow

Working capital deployment increased to ₹50.73 crore from ₹36.31 crore in FY25, a rise of approximately 39.70%, which was proportionate to the revenue surge. Debtor days increased to approximately 131 days from 110 days, reflecting a deliberate extension of credit terms to larger customers and new markets. Inventory days on an operational basis rose to 146 days from 131 days due to a strategic build-up in response to supply disruption risks, though traditional procurement-based inventory days remained stable at 178 days versus 179 days.

Creditor days improved significantly to approximately 60 days from 23 days on a revenue basis, indicating enhanced leverage with suppliers. Consequently, the Cash Conversion Cycle remained stable at approximately 218 days on a revenue basis, improving from 258 days to 236 days on a traditional basis.

Strategic Investments and Outlook

Long-term debt increased to ₹25.95 crore from ₹6.74 crore, primarily to fund investments in a new Quality Control and R&D facility and infrastructure expansion for food grade emulsifiers. The company is also constructing a greenfield manufacturing unit at Lote Parshuram MIDC, funded through equity, which is expected to become operational by the end of FY27. Looking ahead, Indian Emulsifiers expressed optimism for FY27, citing new capacity coming online, subsidiary traction, and a stabilizing macro environment.