Deepak Nitrite Limited showcased operational resilience in Q3 FY26, delivering robust financial performance despite challenging market conditions. The chemical intermediates manufacturer reported strong year-on-year growth across key metrics while advancing strategic capacity expansion initiatives.

Financial Performance Overview

The company achieved notable financial improvements in Q3 FY26, demonstrating the strength of its diversified business model and operational discipline.

*Before exceptional items of ₹12.84 crore towards gratuity provision

The revenue mix showed a domestic-heavy composition at 83:17 for domestic versus exports. Nine-month performance reflected broader market challenges, with revenue at ₹5,820 crore compared to ₹6,163 crore in 9M FY25, while EBITDA declined to ₹658 crore from ₹836 crore year-on-year.

Strategic Capacity Expansion and Integration

Deepak Chem Tech Limited achieved significant operational milestones during the quarter, strengthening the group's manufacturing capabilities and vertical integration.

These commissioning activities position Deepak Group among select global players with complete vertical integration across the ammonia-nitration-amines spectrum. The strategic integration is expected to drive margin expansion, optimize working capital, and deliver enhanced cost efficiency across key intermediate products.

Segment Performance Analysis

The Phenolics segment demonstrated resilience with consistent performance supported by improved volumes and operating efficiencies. Revenue remained stable at ₹1,334 crore compared to ₹1,366 crore in Q3 FY25, while EBIT improved significantly to ₹145 crore from ₹121 crore, representing a 20% year-on-year increase. The segment benefited from higher sales volumes in both Phenol and Acetone, advanced process optimization, better operating leverage resulting in improved profitability, and reinforced market leadership despite import pressures.

The Advanced Intermediates segment faced more challenging conditions due to aggressive Chinese competition and overcapacity. However, the segment achieved 18% year-on-year revenue growth to ₹652 crore, driven by increased market penetration of key products, successful geographic expansion, leveraging plant fungibility to optimize product mix, and strategic contributions from new product launches.

Regulatory Compliance and Transparency

In line with regulatory requirements, Deepak Nitrite Limited submitted the audio recording of its Q3 & 9M FY2026 earnings conference call to BSE Limited on February 13, 2026. The submission was made pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The audio recording provides stakeholders with comprehensive insights into the company's quarterly performance and management commentary on strategic initiatives.

Project Pipeline and Future Outlook

The company maintains strong execution momentum across multiple strategic projects. The Polycarbonate project shows significant progress with plant dismantling underway in Stade, Germany, marking a major milestone toward relocating the facility to India. All project activities remain on schedule and aligned with planned installation and commissioning timelines.

Management expects favorable Q4 FY26 performance driven by new capacity ramp-up at DCTL, potential integration benefits, and strategic focus on new product introduction and geographic expansion across Fluorination, Nitration, Nitrite, and Amine segments. The company's commitment to building an integrated ecosystem from raw material security to final products, supported by strategic vendor partnerships and robust financial arrangements, positions it well for sustained growth in the specialty chemicals sector.

Deepak nitrite Limited has updated its regulatory compliance framework by amending the Code of Practices and Procedures for Fair Disclosure of Unpublished Price Sensitive Information. The amendment was communicated to BSE Limited on February 12, 2026, through a formal notification bearing reference number DNL/138/BSE/1133/2026.

Regulatory Compliance Update

The amendment has been undertaken pursuant to Regulation 8(2) of the SEBI (Prohibition of Insider Trading) Regulations, 2015. The primary objective is to incorporate recent amendments to the SEBI regulations governing insider trading and ensure continued compliance with evolving regulatory requirements.

Code Framework and Scope

The revised Code of Fair Disclosure addresses comprehensive guidelines for handling Unpublished Price Sensitive Information (UPSI). The code defines UPSI as information relating to the company or its securities that is not generally available and could materially affect security prices upon disclosure.

Key areas covered under the updated code include:

• Financial results and dividend announcements
• Changes in capital structure and key managerial personnel
• Mergers, acquisitions, and business expansion activities
• Fund-raising initiatives and rating changes
• Regulatory actions and litigation outcomes
• License approvals and forensic audit findings

Information Sharing Protocols

The amended code establishes clear protocols for sharing UPSI for legitimate purposes. Information may be shared with partners, collaborators, lenders, customers, suppliers, merchant bankers, legal advisors, auditors, and other consultants in the ordinary course of business.

Digital Database and Documentation

The Chief Investor Relations Officer (CIRO) is responsible for maintaining a structured digital database of persons receiving UPSI. This database includes recipient names, organizational affiliations, contact details, and PAN information. The system incorporates internal controls, time stamping, and audit trails to prevent tampering.

Disclosure and Implementation

The updated code has been published on the company's official website at www.godeepak.com and communicated to stock exchanges where the company's securities are listed. The Board of Directors retains authority to establish additional principles and procedures to ensure fair disclosure practices. Future amendments will require Board approval and prompt notification to relevant stock exchanges.