Neogen Chemicals Limited, a leading specialty chemicals manufacturer, demonstrated resilience in its Q1 FY26 performance, reporting a 4% year-on-year revenue growth to INR 186.70 crore despite the unavailability of its Dahej plant due to a fire incident. The company maintained a steady EBITDA of INR 31.50 crore, with margins reaching 18.8% on a standalone basis.

Key Financial Highlights

• Consolidated revenue stood at INR 186.70 crore, up 4% year-on-year
• EBITDA remained stable at INR 31.50 crore, with margins of 18.8% on a standalone basis
• Profit after tax came in at INR 10.30 crore
• Neogen Ionics contributed INR 5.40 crore to the revenue

Recovery from Dahej Fire Incident

The company is making swift progress in recovering from the Dahej plant fire incident:

• Received initial insurance claims of INR 50.55 crore in June 2025 and an additional INR 30.00 crore in July 2025
• Net claim receivable stands at INR 268.27 crore on a consolidated basis
• Replacement plant construction is underway at an adjacent location, with civil foundation work completed and long lead time equipment orders placed
• The new plant is on track to be operational by next year

Strategic Developments

Leadership Transition

• Chairman and Managing Director Mr. Haridas Kanani will retire on September 30, 2025, and will become Chairman Emeritus from October 1
• Mr. Anurag Surana has been designated as Chairman and Non-Executive Director effective October 1, 2025

Battery Chemicals Expansion

• Pakhajan facility's Greenfield electrolyte plant using MUIS technology is progressing well
• INR 506.00 crore deployed out of total INR 1,500.00 crore CAPEX for the Pakhajan facility
• Ongoing factory acceptance test of the module manufacturing plant at Mitsubishi Engineering Corporation

Joint Venture Progress

• Incorporated Neogen Morita New Materials Limited (NML), a wholly-owned subsidiary of Neogen Ionics Limited
• JV aims to leverage Morita Chemical Industries' 30+ years of experience in producing lithium salts

Financial Flexibility

• Board approved raising INR 200.00 crore through private placement of NCDs to provide additional liquidity during ongoing CAPEX projects

Outlook

Despite adjusting near-term revenue guidance due to operational challenges, Neogen Chemicals remains confident in its long-term trajectory. The company is well-positioned to capitalize on the growing demand for battery chemicals, both in India and globally, as the industry shifts towards non-Chinese supply chains.

Dr. Harin Kanani, Managing Director, commented, "Our diversified business model proved its inherent strength as we navigated the challenge of our Dahej plant unavailability. We are seeing strong interest from international customers for our battery chemicals, driven by the global push for non-Chinese supply chains in critical materials."

As Neogen Chemicals continues to execute its strategic initiatives and expand its capacity, it remains focused on delivering value to shareholders through innovation and operational excellence in the specialty chemicals and advanced battery materials sectors.

Neogen Chemicals Limited , a leading specialty chemicals manufacturer, has announced significant changes in its leadership structure along with its financial results for the first quarter of fiscal year 2026.

Leadership Transition

The company's Board of Directors has approved a series of leadership changes, marking a new chapter in Neogen's corporate governance:

• Chairman and Managing Director Retirement: Mr. Haridas Kanani, the founder and current Chairman and Managing Director, will retire on September 30, 2025. In recognition of his visionary leadership and outstanding contributions, the Board has conferred upon him the honorary title of 'Chairman Emeritus' effective October 1, 2025.

• New Chairman Appointment: Mr. Anurag Surana, currently serving as a Non-Executive Non-Independent Director, will assume the role of Chairman and Non-Executive Non-Independent Director from October 1, 2025.

• Executive Director Appointment: The Board has recommended the appointment of Mr. Triplicane Commandoor Narasimhan Saikrishnan as Executive Director for a five-year term, starting October 1, 2025.

• Whole Time Director Re-appointment: Mr. Shyamsunder Upadhyay has been re-appointed as Whole Time Director for a three-year term, commencing October 1, 2025.

Financial Performance

Neogen Chemicals reported its standalone financial results for Q1 FY2026 (quarter ended June 30, 2025):

The company's performance demonstrates resilience in a challenging economic environment.

Corporate Actions

In addition to the leadership changes, Neogen Chemicals has taken several corporate actions:

1. The 36th Annual General Meeting is scheduled for September 26, 2025.

2. The Board has approved an additional corporate guarantee of ₹125 crores for its wholly-owned subsidiary, Neogen Ionics Limited.

3. The company is planning to raise funds up to ₹200 crores through the issuance of non-convertible debentures on a private placement basis.

Subsidiary Developments

Neogen Chemicals continues to expand its global footprint:

• Neogen Ionics Limited, a wholly-owned subsidiary, has incorporated a new entity named Neogen Morita New Materials Limited on July 30, 2025.

• The company has invested JPY 200,00,000 (equivalent to ₹1.19 crores) in Neogen Chemicals Japan Corporation Limited, its wholly-owned subsidiary in Japan.

These strategic moves are expected to strengthen Neogen's position in the specialty chemicals market and drive future growth.

As Neogen Chemicals navigates through this transition period, the company remains committed to its core values of excellence, integrity, and innovation in the specialty chemicals sector.