Sudarshan Chemical Industries Limited , a leading pigment manufacturer, has reported robust financial results for the first quarter, showcasing significant growth in revenue and profitability.

Key Financial Highlights

• Consolidated revenue from operations surged to ₹2,506.90 crore, a substantial increase from ₹633.60 crore in the same quarter last year.
• Net profit rose to ₹55.00 crore, up 78% from ₹29.40 crore in Q1 of the previous year.
• EBITDA (Earnings Before Interest, Tax, Depreciation, and Amortization) increased to ₹192.40 crore from ₹80.50 crore year-over-year.

Segment Performance

The company's pigments segment, which is its primary business, demonstrated strong performance:

• Pigments segment revenue reached ₹2,456.60 crore, compared to ₹589.50 crore in the corresponding quarter last year.
• Segment EBITDA for pigments grew to ₹192.20 crore from ₹90.20 crore in Q1 of the previous fiscal year.

Financial Ratios and Metrics

Sudarshan Chemical showed improvement in several key financial metrics:

• Operating margin stood at 7.67%, reflecting the company's operational efficiency.
• The debt-equity ratio improved to 0.53, indicating a stronger balance sheet position.
• Current ratio increased to 1.01, suggesting better short-term liquidity.

Recent Developments

The company has made several strategic moves recently:

• Completed the acquisition of the global pigment business operations of the Heubach Group on March 3, which has contributed to the substantial revenue growth.
• Appointed Mr. Rajesh Balkrishna Rathi as the Chairman of the Board of Directors, effective May 29, in addition to his role as Managing Director.
• Allotted 23,584 options to eligible employees under the Sudarshan Employee Stock Option Plan, 2018, on July 29.

Outlook

With the recent acquisition and strong Q1 performance, Sudarshan Chemical appears well-positioned for continued growth in the pigment industry. The company's focus on expanding its global footprint and strengthening its product portfolio is likely to drive future performance.

Investors and analysts will be watching closely to see if the company can maintain this growth trajectory in the coming quarters, especially as it integrates the newly acquired Heubach Group operations.

Note: All financial figures are based on consolidated results for the quarter ended June 30.

Sudarshan Chemical Industries Limited , a prominent player in the chemical industry, has announced a final dividend of Rs. 4.50 per equity share for the financial year 2024-25, subject to shareholder approval. The company's Board of Directors declared this dividend, which represents 225% of the face value of Rs. 2.00 per share.

Key Dividend Details

Tax Deduction Guidelines

Sudarshan Chemical Industries has provided comprehensive guidelines for Tax Deduction at Source (TDS) on the dividend payment, in compliance with the Income Tax Act, 1961, as amended by the Finance Act, 2020.

For Resident Shareholders:

• No TDS: For individual shareholders with total dividend up to Rs. 10,000.00 in a financial year
• 10% TDS: For shareholders with valid PAN
• 20% TDS: For shareholders without PAN or with invalid PAN

For Non-Resident Shareholders:

• 20% TDS (plus applicable surcharge and cess) or as per Double Taxation Avoidance Agreement (DTAA) rates, whichever is lower

Exemptions and Special Categories

The company has outlined specific exemptions and requirements for various categories of shareholders:

1. Insurance Companies, Mutual Funds, and Alternative Investment Funds: Exempt from TDS subject to specified conditions and document submission
2. New Pension System (NPS) Trusts: Exempt from TDS with proper documentation
3. Government Entities: Covered under Section 196 of the Income Tax Act are exempt

Document Submission

Shareholders claiming exemptions or lower tax rates must submit the required documents by September 22, 2025. These include:

• Form 15G/15H for resident individuals meeting specific criteria
• Tax Residency Certificate and Form 10F for non-resident shareholders claiming DTAA benefits
• Valid SEBI registration certificates for eligible institutional investors

Electronic Payment and Bank Details Update

Sudarshan Chemical Industries emphasized that dividend payments will be made electronically. Shareholders are urged to update their bank account details:

• For dematerialized shares: Update with the Depository Participant
• For physical shares: Update with MUFG Intime India Private Limited, the company's Registrar and Transfer Agent

Importance of PAN and Residential Status

The company stressed the importance of shareholders ensuring their PAN and residential status are correctly updated with their Depository Participant or the company's RTA. This is crucial for determining the applicable TDS rate.

Sudarshan Chemical Industries Limited has demonstrated its commitment to shareholder value through this dividend declaration while ensuring compliance with tax regulations. Shareholders are advised to carefully review the detailed guidelines and submit necessary documentation to avail of applicable tax benefits or exemptions.