News Earnings Gujarat Alkalies and Chemicals Q3FY26 Results: Revenue Grows 0.70%, Board Approves Major Capex Projects Worth Rs.1,029 CroreGujarat Alkalies and Chemicals Q3FY26 Results: Revenue Grows 0.70%, Board Approves Major Capex Projects Worth Rs.1,029 Crore
Gujarat Alkalies and Chemicals Limited announced Q3FY26 results with revenue growth of 0.70% to Rs.1,04,446 lakhs and EBITDA improvement of 19% to Rs.135 crores. The Board approved major capital expenditure projects worth Rs.1,029 crore including bio-fuel boilers, food grade phosphoric acid plant, and caustic potash capacity enhancement, expected to generate additional revenues of Rs.480 crore annually.
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Gujarat Alkalies & Chemicals Limited has announced its financial results for the third quarter ended December 31, 2025, showcasing steady revenue growth and improved operational efficiency. The company reported standalone revenue from operations of Rs.1,04,446 lakhs for Q3FY26, marking a 0.70% increase from Rs.1,02,941 lakhs in the corresponding quarter of the previous year.
Financial Performance Overview
The company's financial performance for Q3FY26 demonstrated mixed results across key metrics:
| Metric: | Q3FY26 | Q3FY25 | Change |
|---|---|---|---|
| Revenue from Operations: | Rs.1,04,446 lakhs | Rs.1,02,941 lakhs | +0.70% |
| Total Income: | Rs.1,07,493 lakhs | Rs.1,04,457 lakhs | +2.91% |
| Profit Before Tax: | Rs.1,262 lakhs | Rs.445 lakhs | +183.60% |
| Net Profit After Tax: | Rs.(1,116) lakhs | Rs.855 lakhs | Loss |
| Basic EPS: | Rs.(1.52) | Rs.1.16 | Negative |
For the nine months ended December 31, 2025, the company showed stronger performance with revenue from operations reaching Rs.3,23,277 lakhs compared to Rs.2,99,744 lakhs in the previous year, representing growth of 7.85%.
EBITDA Performance and Operational Efficiency
The company achieved significant improvement in EBITDA performance during the quarter. EBITDA for Q3FY26 increased by 19% to Rs.135 crores compared to Rs.113 crores in the corresponding quarter of the previous year. For the nine months period, EBITDA grew substantially by 25% to Rs.394 crores from Rs.314 crores in the previous year.
The company successfully increased capacity utilization across various plants and achieved higher production levels in major products. Additionally, improved sales realization in several product categories contributed to the enhanced performance. Energy cost reduction continued during the nine months period due to increased use of renewable power, with the share of renewable energy increasing to 35.7% from 29.7% during FY 2024-25.
Major Capital Expenditure Approvals
The Board of Directors approved three significant capital expenditure projects with a combined investment of Rs.1,029 crore:
Bio-fuel and Coal Fired Boilers Installation
| Parameter: | Details |
|---|---|
| Project Cost: | Rs.389 crore |
| Location: | Vadodara and Dahej Complex |
| Capacity: | 4 boilers (2 each at both locations) |
| Power Generation: | ~12 MW |
| Benefits: | Substantial reduction in steam cost and overall production cost |
Food Grade Phosphoric Acid Plant
| Parameter: | Details |
|---|---|
| Capacity: | 33,870 TPA (85% H₃PO₄) |
| Location: | Dahej, Gujarat |
| Project Cost: | Rs.560 crore (+/- 5%) |
| Expected Revenue: | Up to Rs.350 crore annually at current market prices |
Caustic Potash Capacity Enhancement
| Parameter: | Details |
|---|---|
| Project Scope: | Internal relocation and capacity enhancement |
| Location: | Vadodara Complex |
| Capacity Increase: | From 120 TPD to 200 TPD |
| Project Cost: | Rs.80 crore |
| Expected Revenue Impact: | Rs.130 crore annually at current market prices |
Financial Facility and Strategic Initiatives
The Board approved availing a Line of Credit facility of Rs.250 crore from Gujarat State Financial Services Ltd (GSFS). The company will submit further details upon acceptance of the sanction letter.
The company continues implementing various initiatives under project "Ahvaan" focusing on enhancing operating efficiency, cost optimization, capacity utilization, green energy adoption, organizational development, digitization, and AI implementation. These initiatives are expected to contribute to improved operational efficiencies across short to long-term horizons.
Accounting Adjustments and Regulatory Compliance
During the quarter, the company corrected the valuation methodology for Spent Palladium (Pd) catalyst inventory in accordance with Ind AS 8. This correction increased the carrying value from Rs.301.11 lakhs to Rs.2,130.59 lakhs as at December 31, 2025, resulting in a corresponding profit increase of Rs.1,829.48 lakhs for the quarter and nine months ended December 31, 2025.
The financial results were prepared in accordance with Indian Accounting Standards (Ind AS) and reviewed by the Audit Committee before Board approval on February 6, 2026. The Board Meeting commenced at 2:30 P.M. and concluded at 5:00 P.M. The results were announced pursuant to Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Historical Stock Returns for Gujarat Alkalies & Chemicals
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +0.59% | +4.99% | -6.03% | -18.96% | -30.98% | +41.77% |
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