Sadhana Nitro Chem Reports Significant Loss Amid Production Challenges and Market Uncertainties

Sadhana Nitrochem , a leading manufacturer of chemical intermediates and performance chemicals, has reported a substantial loss for the quarter ended September 30, 2025, primarily due to production constraints and market uncertainties.

Financial Performance

The company's unaudited standalone financial results for the quarter reveal a significant downturn:

Particulars (in Rs. Lakhs)	Q2 FY2026	Q2 FY2025	% Change
Revenue from Operations	26.00	3,271.00	-99.2%
Total Income	166.00	3,387.00	-95.1%
Net Loss	(2,638.00)	55.00	-4896.4%

The drastic decline in revenue and the substantial loss underscore the severity of the challenges faced by the company during this period.

Factors Contributing to the Loss

Sadhana Nitrochem attributed the higher-than-usual loss to two primary factors:

Technical Constraints in Production: The company experienced technical issues in its production facilities, leading to slower output and delays in scheduled dispatches. These operational challenges were compounded by liquidity issues, further impacting the company's ability to maintain normal production levels.
Reduced Export Demand: Ongoing tariff-related developments, particularly affecting the United States market, have created uncertainty around the import of finished goods. This has led to customers adjusting their procurement schedules, with some deferring planned deliveries. European customers have also revised delivery timelines in response to the shifting demand environment.

Market Impact and Future Outlook

The company's performance has been significantly affected by these external and internal factors. However, Sadhana Nitrochem remains optimistic about future prospects. Management expects improvements in subsequent periods as they work towards restoring operational stability and as market conditions become more predictable.

Financial Position

Despite the challenging quarter, the company's balance sheet as of September 30, 2025, shows:

Total Assets: Rs. 61,980.00 lakhs
Total Equity: Rs. 25,558.00 lakhs
Total Liabilities: Rs. 36,422.00 lakhs

Conclusion

While Sadhana Nitrochem faces significant short-term challenges, the company's management is focused on addressing the technical constraints and adapting to the changing market dynamics. Investors and stakeholders will be closely watching the company's performance in the coming quarters for signs of recovery and improved operational efficiency.

The company's ability to overcome these production challenges and navigate the uncertain export market will be crucial for its financial recovery and long-term growth prospects in the chemical manufacturing sector.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-3.12%	-9.56%	+7.40%	0.0%	-83.83%	-92.19%

Sadhana Nitrochem Limited has completed a significant inter-se transfer of shares among its promoter group members, with the latest regulatory filing submitted on December 23, 2025. The transaction involves a substantial 26.65% stake in the company, amounting to 8.77 crore equity shares valued at approximately ₹54.15 crores.

Transaction Overview

The share transfer was executed between November 7-14, 2025, involving key promoter group members. The regulatory disclosure under Regulation 29(2) of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 was filed with both BSE Limited and National Stock Exchange of India Limited.

Transaction Details:	Information
Transferor:	Manekchand Panachand Trading Investment Co Pvt Ltd
Primary Acquirer:	Mr. Abhishek Asit Javeri
Shares Acquired:	4,38,88,500 equity shares
Acquisition Percentage:	13.32% of total share capital
Transfer Method:	Inter-se transfer (off-market)
Price per Share:	₹6.17
Transaction Period:	November 7-14, 2025
Total Value:	₹27.07 crores

Updated Shareholding Pattern

Following the completion of the inter-se transfer, the shareholding pattern shows significant changes in promoter group holdings. The latest filing reveals updated shareholding positions post-transaction.

Shareholder Details:	Pre-Transaction	Post-Transaction	Change
Mr. Abhishek Asit Javeri Shares:	27,43,762	4,66,32,262	+4,38,88,500
Percentage Holding:	0.83%	14.16%	+13.32%
Total Share Capital:	₹32.94 crores	₹32.94 crores	Unchanged

Regulatory Compliance Framework

The transaction falls under the exemption provided in SEBI regulations for inter-se transfers among promoter group members. Mr. Abhishek Asit Javeri, serving as Managing Director, was already part of the promoter group, making this an internal restructuring exercise.

Regulatory Aspects:	Details
Filing Regulation:	Regulation 29(2) of SEBI (SAST) 2011
Exemption Category:	Inter-se transfer among promoters
Disclosure Date:	December 23, 2025
Company Equity Capital:	₹32.94 crores
Face Value per Share:	₹1.00

Strategic Implications

This restructuring represents a strategic consolidation within the promoter group, with the aggregate promoter and promoter group holding remaining unchanged. The transaction demonstrates the promoter group's commitment to optimizing their shareholding structure for operational efficiency and tax optimization.

The completion of this inter-se transfer strengthens the individual holding of key management personnel while maintaining the overall promoter control structure. With Mr. Abhishek Asit Javeri now holding a significant 14.16% stake, the management's direct involvement in the company's strategic direction is further reinforced.