Balaji Amines , a leading manufacturer of Aliphatic Amines and Specialty Chemicals in India, has reported its financial results for the second quarter of fiscal year 2026, demonstrating resilience in the face of market challenges.

Financial Highlights

For Q2FY26, Balaji Amines reported:

• Consolidated revenue of ₹341.00 crore, compared to ₹358.00 crore in Q1FY26
• EBITDA of ₹67.00 crore, up from ₹64.00 crore in Q1FY26
• Net profit of ₹37.10 crore, slightly higher than ₹36.53 crore in Q1FY26
• EBITDA margin improved to 19.00% from 17.00% in the previous quarter
• Total sales volume of 26,165 MT, maintaining similar levels to Q2FY25 (26,348 MT)

Segment-wise Performance

The company's Q2FY26 volumes were distributed as follows:

Operational Update

Balaji Amines remains a zero-debt company on a standalone basis, highlighting its strong financial position. The company is progressing with several expansion projects:

• DME Plant at Unit-IV: Expected to be commissioned in FY2025-26
• N-Methyl Morpholine (NMM) facility: 5,000 TPA capacity, to be commissioned in FY2025-26
• Improved Acetonitrile (ACN) plant: Scheduled for commissioning in FY2026-27

Subsidiary Expansion

Balaji Speciality Chemicals Limited, a subsidiary, is undertaking a significant expansion with an investment of ₹750.00 crore. This project has been granted Mega Project status by the Maharashtra government under the Packaged Scheme of Incentives (PSI), 2019. The expansion includes:

• Unit-I: A brownfield project for EDA-based products, expected to be commissioned by September 2026
• Unit-II: A greenfield project at MIDC, Chincholi, for manufacturing HCN, NaCN, EDTA, and EDTA 2Na, with commissioning expected before December 2026

Management Commentary

Mr. D. Ram Reddy, Managing Director, commented on the performance: "During the quarter and period ended 30th September 2025, overall operations remained muted compared to the previous quarters, largely due to lower offtake in the pharma and agrichem sectors amid prevailing geopolitical uncertainties. With several projects progressing as planned, the company anticipates a gradual improvement in operational momentum in the coming quarters as new capacities become operational."

He further added, "Looking ahead, our outlook remains steady in the near term, with clear signs of inflection emerging in Q3 and Q4. Over the medium to long term, BAL is poised to benefit from our differentiated portfolio, capacity expansions, and cost-competitive manufacturing base."

Future Outlook

Despite near-term challenges, Balaji Amines remains optimistic about its long-term prospects. The company is focusing on:

1. Ramping up electronic-grade DMC and Pharma-grade Propylene Glycol initiatives
2. Leveraging its legacy amines and derivatives business for reliable cash flows
3. Capitalizing on India's push for greater self-sufficiency in specialty chemicals
4. Prioritizing targeted investments and operational discipline

As Balaji Amines navigates through the current market conditions, its strategic expansions and focus on high-value products position it well for future growth in the specialty chemicals sector.

Balaji Amines , a leading manufacturer of specialty chemicals, has reported mixed financial results for the second quarter. The company's performance shows a decline in profit and revenue, but with a marginal improvement in EBITDA margin.

Financial Highlights

• Consolidated net profit for Q2 stood at ₹346.00 million, down from ₹410.00 million in the same period last year.
• Revenue decreased to ₹3.40 billion from ₹3.50 billion year-over-year.
• EBITDA margin improved slightly to 17.56% from 17.49% in the previous year.
• Absolute EBITDA declined to ₹598.00 million from ₹607.00 million compared to the previous year.

Segment Performance

The company's financial results are divided into two main segments:

1. Amines & Speciality Chemicals
2. Hotel Division

Amines & Speciality Chemicals Segment

This segment, which forms the core of Balaji Amines' business, reported the following results for Q2:

Hotel Division

The Hotel Division, a smaller segment of the company's operations, reported:

Balance Sheet Overview

As of September 30, Balaji Amines' consolidated balance sheet shows:

Conclusion

Balaji Amines' Q2 results present a mixed picture, with declines in revenue and profit offset by a marginal improvement in EBITDA margin. The company's performance in the coming quarters will be crucial to determine if this is a temporary setback or indicative of broader market challenges in the specialty chemicals sector.