OCCL Limited has fixed August 20, 2026, as the record date for determining shareholder entitlement to the final dividend for the financial year ended March 31, 2026. The Board of Directors had previously recommended a final dividend of ₹1.80 per equity share of face value ₹2 each, which translates to a 90% payout ratio. This distribution is contingent upon approval by the shareholders at the company’s 4th Annual General Meeting (AGM), scheduled for August 27, 2026. Shareholders holding equity shares on the record date will be eligible to receive the dividend, subject to the deduction of tax at source as applicable under prevailing laws.

The intimation regarding the record date was issued in compliance with Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The notice was dispatched to the Bombay Stock Exchange and the National Stock Exchange of India Limited on August 4, 2026. Pranab Kumar Maity, Company Secretary and Senior General Manager-Legal at OCCL Limited, signed the communication confirming the procedural steps taken by the company.

Dividend Details

The proposed dividend structure reflects the Board’s recommendation pending shareholder ratification. Below are the key parameters of the proposed payout:

AGM Schedule

The 4th Annual General Meeting is scheduled to be held on Thursday, August 27, 2026, at 11:00 a.m. (IST). In adherence to regulatory guidelines allowing remote participation, the meeting will be conducted through Video Conference or Other Audio Visual Means. Shareholders must ensure their holdings are registered in the company’s books by the close of business on August 20, 2026, to qualify for the dividend payment if the resolution passes.

What This Means for Investors

The fixation of the record date provides clarity on eligibility timelines for investors. Since the dividend is declared as a percentage of face value rather than market price, the 90% payout indicates a significant return relative to the nominal value of the shares. Investors should note that while the Board has recommended the dividend, it is not legally binding until approved by the requisite majority of shareholders at the upcoming AGM. Any changes to the dividend amount or timing would require separate disclosures prior to the meeting.

OCCL Limited posted its first full-year results following the demerger of the chemical business from Oriental Carbon & Chemicals Limited, with FY 2025-26 marking a year of operational resilience amid significant raw material cost pressures and intensified global competition in the insoluble sulphur market. Revenue from operations stood at ₹50,590.36 Lakh for the year ended March 31, 2026, representing a 23% growth over FY 2024-25, while profit after tax rose 67% to ₹47.71 Crore.

Financial Performance: FY 2025-26

The company's financial results reflect a portfolio that benefited from the complementary performance of its two product segments — insoluble sulphur and sulphuric acid. The following table summarises key profitability metrics:

Note: FY 2024-25 figures cover only nine months (July 1, 2024 to March 31, 2025) following the demerger and are therefore not directly comparable with FY 2025-26.

The increase in revenue was primarily driven by higher sales realisations on account of elevated input costs, including freight. Operating profit increased by 45% over the previous year on an annualised basis. Sales volumes remained broadly flat during the year.

Raw Material Headwinds and Margin Dynamics

A defining feature of FY 2025-26 was the sharp escalation in sulphur prices, driven by geopolitical disruptions across global supply chains. Average sulphur cost rose from ₹29 per kg to ₹52 per kg during the year. Insoluble sulphur realisations could not increase in proportion to this rise in input costs, resulting in margin compression in that segment.

However, the sulphuric acid business delivered a record performance, with revenue standing at ₹160.20 Lakhs and profitability reaching its highest level. Sales volume crossed 1 Lakh MT, supported by strong global demand for sulphuric acid and higher domestic realisations. This complementary performance enabled the company to maintain its EBITDA margin at 18%.

The year unfolded in distinct phases:

• Q1 FY26: Healthy performance with steady demand and manageable operating conditions
• Q2 FY26: Raw material costs began rising; US import duty imposition required price adjustments to remain competitive
• Q3 FY26: Margins compressed further as sulphur prices stayed elevated and international competition remained aggressive
• Q4 FY26: Improvement in operating momentum with partial rollback of US duties and strong sulphuric acid performance

Balance Sheet and Capital Efficiency

The company maintained disciplined financial management throughout the year, continuing to prioritise balance sheet strength.

The company repaid ₹15 Crore of long-term debt during the year. Inventories stood at ₹9,443.57 Lakh as at March 31, 2026, compared to ₹5,988.93 Lakh as at March 31, 2025, reflecting advance procurement to secure raw material availability amid geopolitical supply disruptions. Trade receivables stood at ₹8,466.32 Lakh as at March 31, 2026, compared to ₹6,492.33 Lakh as at March 31, 2025. Working capital borrowings stood at ₹6,514.08 Lakh as at March 31, 2026 against ₹2,247.67 Lakh as at March 31, 2025.

Exports and Global Presence

Exports accounted for 36% of revenues during FY 2025-26, with the company servicing tyre plants across 22 countries. Export sales represented 36% of total insoluble sulphur sales and 53% of overall operating revenue. The export environment was complex during the year, with US tariffs rising from 0% to 50% requiring the company to offer discounts in the American market to maintain pricing competitiveness. Despite this headwind, international revenues remained a meaningful contributor to overall profitability.

Foreign exchange earned during the year stood at ₹16,448.85 Lakh, while foreign exchange used was ₹4,591.44 Lakh.

Dividend and AGM

The Board of Directors, at its meeting held on May 21, 2026, recommended a final dividend of ₹1.80 per equity share of ₹2 each (90%) for FY 2025-26. Including the interim dividend of ₹1.00 per share (50%) already paid, the total dividend for the year amounts to ₹2.80 per share (140%). The total outflow on account of the final dividend, if approved at the AGM, would be ₹899.11 Lakhs.

The 4th Annual General Meeting is scheduled for Thursday, August 27, 2026, through Video Conferencing/Other Audio Visual Means. The record date for determining dividend entitlement is August 20, 2026, with payment on or by September 11, 2026. Remote e-voting opens on August 24, 2026 at 9:00 a.m. and closes on August 26, 2026 at 5:00 p.m.

Manufacturing and Operational Highlights

As of March 31, 2026, the company possessed a production capacity of 39,500 MTPA of insoluble sulphur and 290 MTPD of sulphuric acid and oleum, with manufacturing facilities at Dharuhera in Haryana and Mundra in Gujarat.

The product mix shifted during the year, with sulphuric acid contributing a higher share of output:

Key energy efficiency initiatives during the year included replacement of cooling tower fan blades with carbon fibre blades (saving 695.92 KW/day), installation of an energy-efficient air compressor (saving 649 KWh/day), and installation of an auto tube cleaning machine for the chiller condenser (saving 294.3 KWh/day). The proportion of electricity sourced from renewable energy increased from 0.4% in FY 2019-20 to 17% in FY 2025-26.

Credit Rating and Governance

ICRA maintained the company's long-term rating at [ICRA]AA- and short-term rating at [ICRA]A1+ across FY 2024 and FY 2025. The company reported zero workplace complaints and zero safety incidents during the year, while maintaining 100% safety training coverage across employees. The workforce numbered 364 employees as at March 31, 2026, with a 90% retention rate.

R&D expenditure for the year stood at ₹227.96 Lakh (capital: ₹7.07 Lakh; recurring: ₹220.89 Lakh), representing 0.45% of net turnover. CSR expenditure for the year was ₹19.50 Lakh against a mandatory obligation of ₹19.08 Lakh, with focus areas including healthcare, education and community development.

Competitive Environment and Outlook

The domestic insoluble sulphur market continued to face competitive distortion from Chinese manufacturers directing surplus volumes into India at aggressive prices. An anti-dumping duty of USD 307 per tonne was in place; however, Chinese exporters absorbed the duty by lowering their selling prices — a practice known as anti-absorption. An anti-absorption investigation has been initiated by the Directorate General of Trade Remedies (DGTR) and the matter is under review.

The company petitioned the Government of India for an anti-absorption duty on insoluble sulphur imports. The company also reported that the Indian tyre industry recorded domestic sales of 23,01,355 vehicles in February 2026, marking a ~30% year-on-year increase from 17,73,650 units in February 2025, reflecting robust growth in vehicle demand. The global insoluble sulphur market was valued at USD 1.29 Billion in 2025 and is expected to grow to USD 2.2 Billion by 2034, reflecting a CAGR of around 6.1%.