Primo Chemicals filed its 51st Annual Report for FY26 with exchanges on September 8, 2026, ahead of its AGM scheduled for September 30, 2026, reporting a consolidated profit after tax of ₹15.37 crore against ₹3.56 crore in the previous year.

The company fixed September 23, 2026 as the record date for remote e-voting. The Register of Members and Share Transfer Books will remain closed from September 24, 2026 to September 30, 2026, both days inclusive. The AGM will be held at 2:00 pm through Video Conferencing or other Audio Visual Means.

FY26 Financial Performance

Primo Chemicals delivered improved profitability in FY26, supported by stable revenue, lower finance costs, and a strong contribution from associate Flow Tech Chemicals Private Limited. The following table summarises the key financial highlights.

Standalone revenue from operations stood at ₹561.69 crore, up 1.10% from ₹555.56 crore. Finance costs moderated to ₹18.50 crore from ₹23 crore in the previous year, a decline of 19.64%. Combined average sales realisation improved to ₹40,660 per ECU from ₹38,423 per ECU. The company recorded capacity utilisation of 82% with total Caustic Soda Lye production of 1,36,055 MT.

Associate Company Performance

Flow Tech Chemicals Private Limited, in which Primo holds a 49% equity stake, reported total revenue of ₹342.42 crore with profit before tax of ₹13.02 crore, compared to revenue of ₹275.44 crore and profit before tax of ₹3.56 crore in the previous year. The Board approved the acquisition of the remaining 51% stake in Flow Tech Chemicals on July 2, 2026, with shareholders according consent through postal ballot on August 5, 2026, to make it a wholly owned subsidiary.

Key Performance Indicators

The annual report disclosed the following five-year trend in key financial metrics.

Strategic Initiatives and Energy Investment

In January 2026, the Board approved a ₹21 crore investment to acquire a 26% equity stake in TPCS Private Limited, a special purpose vehicle established to develop a 49.998 MW AC captive solar power plant under an OPEX model. The Power Purchase Agreement was executed in May 2026, granting Primo pari passu rights with the promoter group and a Right of First Refusal on any future stake transfer. The company's existing 35 MW captive power plant at Naya Nangal completed its first full year of operation in FY26, supported by a long-term coal linkage with Northern Coalfields Limited for an Annual Contracted Quantity of 1,25,000 MT.

Credit Rating and Governance

CRISIL assigned a fresh rating of BBB with a Stable outlook, a notch above the previous BBB- from CARE. CARE Ratings had revised its rating to CARE BBB-; Stable on July 23, 2025, with outlook revised from Negative. The Board was strengthened during the year with the appointment of CA Dipti Jain as Woman Independent Director in November 2025, and Shri Dibakar Sarkar and CA Sobhag Mal Jain as Independent Directors in May 2026. CA Anoop Kumar Kabra was appointed Chief Financial Officer with effect from February 27, 2026. Foreign Institutional Investor participation rose to 0.32% by June 2026 from below 0.11% in the preceding twelve months, while promoter holding increased from 31.35% to 32.40%.

Key Financial Ratios

CSR and Voting Details

The company spent ₹74.84 lakh on CSR activities against a total obligation of ₹74.56 lakh, after setting off ₹34.41 lakh from the previous year's excess expenditure. The Board did not recommend any dividend for FY26. Remote e-voting opens September 27, 2026 at 10:00 am and closes September 29, 2026 at 5:00 pm, with the cut-off date of September 23, 2026. The disclosures were made pursuant to Regulation 30 read with Regulation 34(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE607A01022/3042daee-c9f5-4902-8219-97a2b1008144.pdf

Primo Chemicals reported a rise in quarterly profitability for the first quarter, driven by improved operating margins despite flat top-line growth. The company’s net profit increased 16% year-on-year to ₹36 million, up from ₹31 million in the corresponding period last year.

Operating performance showed clear signs of efficiency gains. EBITDA grew slightly to ₹208 million from ₹204 million YoY. More significantly, the EBITDA margin expanded by 46 basis points to 14.83%, compared to 14.37% in the prior year quarter. This margin expansion occurred even as revenue remained unchanged at ₹1.4 billion, indicating better cost management or product mix optimization rather than volume-driven growth.

Financial Highlights

What the Numbers Show

The divergence between flat revenue and expanding margins suggests operational leverage. While sales did not grow, the company managed to increase absolute EBITDA and significantly widen its margin percentage. This indicates that costs were controlled effectively relative to revenue, allowing a larger portion of the fixed revenue base to flow through to operating profit. The subsequent jump in net profit (16%) outpacing the EBITDA growth (2%) further highlights the impact of this margin improvement on the bottom line.