Navin Fluorine International Limited , a key player in the fluorochemicals industry, has reported impressive financial results for the second quarter of fiscal year 2026, showcasing substantial growth and expansion plans.

Strong Financial Performance

The company achieved a consolidated revenue of Rs. 758.40 crores in Q2FY26, marking a significant year-on-year growth of 46%. This robust performance indicates a strong market position and increased demand for Navin Fluorine's products.

Improved Profitability

Alongside revenue growth, Navin Fluorine demonstrated enhanced operational efficiency:

The substantial expansion in the operating EBITDA margin from 20.7% to 32.5% suggests improved cost management and operational effectiveness.

Expansion Plans

Navin Fluorine has announced new capital expenditure plans:

• Capex Investment: Rs. 75.00 crores
• Purpose: Additional HFC (Hydrofluorocarbon) capacity
• Expected Peak Revenue Potential: Rs. 600.00-825.00 crores per annum from upcoming projects

This investment aims to enhance the company's production capabilities and capitalize on market opportunities in the fluorochemicals sector.

Outlook

The combination of strong financial results and planned capacity expansion indicates Navin Fluorine's commitment to growth and market leadership. The significant increase in revenue and profitability, coupled with strategic investments, positions the company favorably in the fluorochemicals industry.

Investors and market observers may want to monitor Navin Fluorine's progress as it implements its expansion plans and works towards realizing the projected revenue potential from its new projects.

Navin Fluorine International Limited (NFIL) has reported a robust financial performance for the second quarter, with significant growth across all business segments. The company also announced strategic capex plans to strengthen its market position in the fluorochemicals industry.

Financial Highlights

NFIL reported a strong 46% year-on-year growth in quarterly revenue, reaching INR 758.00 crores. The company's operating EBITDA more than doubled to INR 246.00 crores, with margins expanding to 32.5% from 20.7% in the previous year. Profit after tax saw an impressive surge, more than doubling to INR 148.00 crores from INR 59.00 crores in the same quarter of the previous fiscal year.

For the first half of the current fiscal year, the company's performance remained solid:

Dividend Declaration

The Board of Directors has declared an interim dividend of INR 6.50 per share on a face value of INR 2.00 per share, reflecting the company's strong financial position and commitment to shareholder returns.

Strategic Capex Initiatives

NFIL announced two significant capex projects totaling INR 311.50 crores:

1. HFC Capacity Expansion: An investment of INR 236.50 crores to set up additional HFC capacity equivalent to 15,000 metric tonnes per annum of R32. This project is expected to generate peak annual revenue of INR 600.00-825.00 crores.

2. MPP Capacity Debottlenecking: A INR 75.00 crore investment to debottleneck the Multi-Purpose Plant (MPP) capacity, with potential revenue of INR 140.00-160.00 crores per annum.

Both projects will be funded through internal accruals, highlighting the company's strong cash flow generation.

Business Segment Performance

All three business divisions - High Performance Products (HPP), Specialty Chemicals, and Contract Development and Manufacturing Organization (CDMO) - reported good growth:

• HPP: Revenue crossed INR 400.00 crores, marking a 38% year-on-year increase, driven by higher realization and volumes in both domestic and international markets.
• Specialty Chemicals: Revenue grew by 39% year-on-year to INR 220.00 crores, with the new fluoro specialty plant contributing significantly.
• CDMO: Revenue surged by 98% year-on-year to INR 134.00 crores, with strong relationships with global partners driving growth.

Future Outlook

NFIL remains optimistic about sustained momentum across all business segments. The company is focusing on manufacturing excellence, controlling costs, and pursuing growth objectives. With a strong order book in place and strategic capex plans, NFIL is well-positioned for future growth in the fluorochemicals market.

The company's management expects to maintain EBITDA margins between 28% to 30% for the full fiscal year, driven by volume growth, operational efficiencies, and a balanced approach to product placement in global and domestic markets.

As Navin Fluorine International Limited continues to strengthen its position in the fluorochemicals industry, investors and stakeholders can anticipate further growth and value creation in the coming quarters.