Indo Borax & Chemicals reported an 18.3% year-on-year increase in consolidated net profit to ₹50.27 crore for FY26, driven by robust operational performance and higher realizations. The company's consolidated operating revenue rose 22.9% to ₹215.45 crore from ₹175.26 crore in the previous year. The board has recommended a final dividend of ₹10 per share and a special dividend of ₹30 per share for the financial year, backed by strong liquidity and a near-zero debt position.

Annual Performance Highlights

For the financial year ended March 31, 2026, Indo Borax & Chemicals achieved a Profit After Tax (PAT) of ₹50.27 crore compared to ₹42.51 crore in FY25. EBITDA for the year stood at ₹44.16 crore, with a healthy EBITDA margin of 20.5%. The company maintained a PAT margin of 21.8% during the year. On a standalone basis, net profit for the year stood at ₹49.73 crore, up from ₹41.88 crore in the corresponding period last year.

Q4 Performance

In the fourth quarter of FY26, the company reported a standalone net profit of ₹14.53 crore, a significant increase from ₹10.24 crore in the same quarter of the previous year. Total income from operations for the quarter increased to ₹63.01 crore from ₹50.12 crore year-on-year. EBITDA for Q4FY26 rose to ₹12.82 crore from ₹10.20 crore in Q4FY25, with margins maintained at 20.4%.

Key Financial Metrics

Strategic Developments

The company noted that its strong performance was supported by improved capacity utilization and steady domestic demand. Management highlighted that Indo Borax is a leading player in Boric Acid with a market share of approximately 50% and is the sole manufacturer of IP grade Boric Acid in the country with valid FDA and BIS licenses. The company is also evaluating downstream expansion opportunities to capture incremental domestic demand, which is estimated to grow at a CAGR of 7%–8% from FY26 to FY30.

Management Commentary

Addressing investors in an earnings call, management stated that the company experienced a transformational phase in FY26 with a change in ownership, where Zenrock Chemicals emerged as the new promoter. A new leadership team took charge in the fourth quarter. The company closed FY26 with 23% growth in operating revenue and 18% growth in net profit. The special dividend of ₹30 per share was funded by the sale of non-core assets. Looking ahead, management expects revenue to reach ₹250 crore in the coming year, driven by debottlenecking, better realizations, and volume growth. The company is also exploring new product lines, including Boron Oxide, and expanding its presence in export markets.

Indo Borax & Chemicals has been the subject of a regulatory disclosure filed on May 14, 2026, under Regulation 29(2) of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeover) Regulations, 2011. Catalyst Trusteeship Limited, acting as Debenture Trustee on behalf of debenture holders, has reported the creation of a pledge over certain equity shares of the company, with the transaction date recorded as May 12, 2026.

Pledge Created to Secure Debenture Issuance

The pledge was created in favour of Catalyst Trusteeship Limited to secure the issuance of 39,000 senior, secured, unlisted, unrated, redeemable and non-convertible debentures having a face value of INR 1,00,000 (Indian Rupees One Lakh) each, aggregating up to INR 390,00,00,000 (Indian Rupees Three Hundred and Ninety Crore). These debentures were issued by Zenrock Chemicals Private Limited in favour of Catalyst Trusteeship Limited in its capacity as Debenture Trustee for the benefit of debenture holders. The mode of acquisition is described as creation of pledge over equity shares of the target company.

Key Transaction Details

The following table summarises the key parameters of this disclosure:

Shareholding and Encumbrance Position

The disclosure provides a detailed breakdown of the encumbered shareholding position before and after the pledge creation. The equity share capital of Indo Borax Chemicals Limited stands at Rs. 3,20,90,000, comprising 3,20,90,000 equity shares having a face value of Rs. 1 each, both before and after the transaction.

Regulatory Compliance

The disclosure was submitted to both BSE Limited and the National Stock Exchange of India Limited in compliance with Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeover) Regulations, 2011. The filing was signed by Deesha Srikkanth, Senior Vice President at Catalyst Trusteeship Limited, on May 14, 2026, from Mumbai. Catalyst Trusteeship Limited is not part of the promoter or promoter group of Indo Borax Chemicals Limited.