Gujarat Alkalies & Chemicals Limited (GACL), a prominent player in the chemical industry, has reported a robust performance for the second quarter of the fiscal year 2025-26. The company's financial results showcase significant growth and operational improvements across various metrics.

Financial Highlights

For the half-year period:

• EBITDA increased by 28% to Rs. 258.00 crores from Rs. 201.00 crores in the previous year.
• The company earned a profit before tax of Rs. 23.00 crores.

Operational Achievements

GACL has made significant strides in improving its operational efficiency:

1. Increased Production: The company achieved higher production across major products through improved capacity utilization.
2. Better Sales Realization: Enhanced sales realization was observed for major revenue-earning product groups.
3. Energy Cost Reduction: The company further reduced energy costs compared to the previous year, primarily due to increased use of renewable power.
4. Strategic Consultancy: GACL has engaged AT Kearney as a strategic consultant under project 'Ahvaan' for operational efficiency improvements.

Subsidiary Performance

GACL-NALCO Alkalies & Chemicals Private Limited, a material subsidiary of GACL, reported its first profit before tax of Rs. 0.10 lacs during the quarter, marking a significant milestone in its operations.

Future Outlook

The company continues to focus on enhancing operating efficiency, implementing cost-cutting measures across various functional areas, and optimizing capacity utilization. These initiatives, part of the 'Ahvaan' project, are expected to contribute to improved operational efficiencies in the short to long term.

GACL's commitment to green energy and operational excellence positions it well for sustainable growth in the coming quarters. The company's strategic moves, including the engagement of AT Kearney and the focus on renewable power, demonstrate its proactive approach to addressing market challenges and capitalizing on opportunities in the chemical sector.

As GACL continues to navigate the dynamic chemical industry landscape, investors and stakeholders will be keen to observe how these initiatives translate into sustained financial performance and market positioning in the future quarters.

Gujarat Alkalies & Chemicals Limited (GACL) has released its financial results for the second quarter and announced key corporate developments, including the cessation of Independent Director Shri Rajiv Lochan Jain effective December 31, 2025.

Financial Performance and Provisions

The company reported standalone revenue from operations of ₹1,907.32 crore for the quarter. GACL made a significant provision of ₹1,549.24 crore for goods damaged due to a fire at the facility of its contract manufacturer, Sanghvi Organics Pvt Ltd, located in Ankleshwar, Gujarat.

Director Changes and Board Decisions

GACL has formally announced that Shri Rajiv Lochan Jain (DIN: 00161022) ceased to be an Independent Director of the company effective December 31, 2025. This cessation follows the completion of his second five-year term as an Independent Director, as previously communicated by the company in November 2025.

The Board of Directors has also made other key appointments, including M/s Talati Talati LLP as Internal Auditors for a two-year term from July 1, 2026, to June 30, 2028.

Renewable Energy Expansion

GACL continues its focus on sustainable energy solutions with the Board granting in-principle approval for setting up an additional 42.9 MW Renewable Hybrid Power facility. This expansion adds to the company's ongoing renewable energy projects of 62.7 MW-75 MW, demonstrating its commitment to sustainability in the chemical industry.

Employee Investment

The company reported substantial employee benefits expense of ₹3,784.43 crore for the quarter, which included a significant component for pay revision. This investment reflects GACL's efforts to retain talent and boost productivity in a competitive market environment.

Gujarat Alkalies and Chemicals Limited's latest developments showcase the company's focus on governance transitions, operational efficiency, and sustainable growth while managing unexpected operational challenges through prudent financial provisions.