Lords Chloro Alkali Limited , a key player in the chloro alkali sector, has reported robust financial performance for the first half of FY26, along with ambitious expansion plans.

Financial Performance

Lords Chloro Alkali reported total income of Rs 201.24 crore for H1 FY26, representing a significant 59.22% year-on-year growth. The company's EBITDA reached Rs 41.78 crore with a margin of 20.76%, while profit after tax stood at Rs 19.49 crore, showing an impressive 743.12% year-on-year growth.

For the quarter ended September 30, 2025, the company's performance was equally strong:

The company attributed this strong performance to higher volumes, better realizations in caustic soda lye and chlorinated paraffin wax, improved fixed cost absorption, and energy cost savings from its solar power plant. Notably, energy costs per tonne decreased by 19% year-on-year during the quarter.

Expansion Plans

The Board of Directors has approved a strategic Rs 165 crore capex plan, which includes:

1. Expansion of caustic soda capacity by 100 TPD
2. Establishment of a new 100 TPD sulphuric acid plant
3. Expansion of solar power capacity by 21 MW

These initiatives align with the company's earlier announced plans to diversify its product portfolio and strengthen its commitment to renewable energy.

Green Energy Initiatives

Lords Chloro Alkali continues to transform into a green chemical company with significant strides in renewable energy:

• Previously commissioned a 16MW solar plant at Bikaner
• Entered a 10MW hybrid power agreement
• Reduced power costs as a percentage of production from 51% to 39%

The proposed 21MW solar project expansion further underscores the company's commitment to sustainability and cost reduction.

Future Outlook

With these expansion plans and green energy initiatives, Lords Chloro Alkali is positioning itself to:

• Capitalize on the growing demand in the chlor-alkali sector
• Enhance operational efficiency and cost-effectiveness
• Strengthen its leadership in ESG-driven practices within the industry

The company's strategic focus on margin stability, product diversification, and sustainable practices sets a strong foundation for future growth and competitiveness in the market.

Lords Chloro Alkali Limited , a key player in the chloro-alkali sector, has announced significant expansion plans aimed at enhancing its production capabilities and diversifying its product portfolio. The company's board of directors approved these strategic initiatives during a meeting held on November 10, 2025.

Expansion Plans

Caustic Soda Plant Expansion

The company plans to expand its caustic soda plant capacity by 100 tonnes per day (TPD) at its existing facility in Alwar, Rajasthan. This expansion will complement the current production capacity of 300 TPD, potentially increasing the total output to 400 TPD.

New Sulphuric Acid Plant

In a move to diversify its product range, Lords Chloro Alkali will establish a new sulphuric acid plant with a capacity of 100 TPD. This new facility is expected to cater to the domestic market.

Solar Power Plant Expansion

To support its growing energy needs and reduce power costs, the company will expand its solar power plant in Bikaner, Rajasthan. The planned addition of 21 MW DC will increase the current capacity of 16.5 MW DC.

Investment and Financing

The company has outlined the following investment plans for these expansions:

Lords Chloro Alkali plans to finance these projects through a combination of internal accruals and bank financing.

Strategic Rationale

The expansion of the caustic soda plant is expected to enable greater economies of scale, improve fixed cost absorption, and enhance product availability to meet increasing market demand. The new sulphuric acid plant will allow the company to enter a new product category, potentially opening up additional revenue streams.

The solar power plant expansion is aimed at reducing power costs for the production facility at Alwar, which could lead to improved operational efficiency and cost savings in the long run.

Timeline

• The caustic soda plant expansion is expected to be completed by the end of the third quarter of FY 2026-27.
• The solar power plant expansion is slated for completion by the end of May 2026.
• The new sulphuric acid plant is planned for launch in FY 2027-28.

These expansion plans reflect Lords Chloro Alkali's commitment to growth and its strategic vision to strengthen its position in the chemical industry.