Carysil Limited has submitted its quarterly monitoring agency report for the utilization of funds raised through its Qualified Institutions Placement (QIP) for the quarter ended December 31, 2025. The report, prepared by ICRA Limited as the appointed monitoring agency, was filed with BSE Limited and National Stock Exchange of India Limited in compliance with Regulation 32(6) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

QIP Issue Details and Fund Utilization

The company's QIP issue was completed between July 01, 2024, and July 03, 2024, raising ₹125.00 crore through equity shares. After accounting for issue-related expenses of ₹3.35 crore, the net proceeds available for utilization stand at ₹121.65 crore, revised from the originally planned ₹121.70 crore due to higher expenses by ₹0.05 crore.

Object-wise Fund Deployment

The monitoring agency report reveals the progress across three main objectives of the QIP issue:

Capital Expenditure for Manufacturing Facilities: Out of the allocated ₹62.50 crore for procurement and installation of machines, equipment, and moulds, the company has utilized ₹23.37 crore by December 31, 2025, leaving ₹39.13 crore unutilized for this purpose.

Working Capital Requirements: The entire allocated amount of ₹31.25 crore has been fully utilized for funding the company's working capital needs.

General Corporate Purposes: The complete allocation of ₹27.90 crore has been utilized across various corporate activities including advertising and publicity expenses (₹2.22 crore), Acrysil USA loan payment (₹2.81 crore), raising funds for right issue CSL (₹4.25 crore), supplier payments (₹18.20 crore), and sales promotion expenses (₹0.42 crore).

Deployment of Unutilized Proceeds

The company has strategically deployed the unutilized funds of ₹39.13 crore in fixed deposits with HDFC Bank across 15 different accounts. These investments are earning returns ranging from 6.25% to 6.35% with maturity dates extending from August 2026 to March 2027. The total earnings from these deployments amount to ₹0.78 crore, bringing the market value of unutilized proceeds to ₹39.91 crore.

Monitoring Agency Assessment

ICRA Limited, in its capacity as the monitoring agency, has confirmed that there is no material deviation from the objects of the issue. The utilization of proceeds remains in line with the disclosures made in the offer document. The agency noted that all government and statutory approvals related to the objects have been obtained, and technical assistance arrangements are operational.

The report emphasizes that while the capital expenditure component shows remaining utilization of ₹39.13 crore, this is expected to be deployed by the fiscal year ending March 31, 2026, as per the company's implementation timeline.

Carysil has delivered impressive financial results for the third quarter, reporting significant growth across key performance metrics that underscores the company's strong operational performance and revenue expansion.

Financial Performance Overview

The company demonstrated robust growth across revenue, profitability, and operational efficiency metrics during the quarter, with substantial improvements in EBITDA performance and margin expansion.

Revenue and EBITDA Growth Analysis

Carysil's revenue increased to ₹2.2 billion in Q3 compared to ₹2 billion in the same quarter of the previous year, representing a solid 10% year-on-year growth. More significantly, the company's EBITDA surged to ₹421 million from ₹288 million, marking a substantial 46.18% year-on-year increase.

Operational Efficiency Enhancement

The company's EBITDA margin expanded significantly to 18.95% in Q3 from 14.18% in the corresponding quarter of the previous year, representing an improvement of 477 basis points. This margin expansion demonstrates Carysil's enhanced operational efficiency and improved cost management capabilities.

Profitability Performance

The 68% year-on-year increase in consolidated net profit reflects Carysil's exceptional ability to enhance profitability. The jump from ₹125 million to ₹210 million represents an additional ₹85 million in net profit generation compared to the same quarter in the previous fiscal year.

This substantial improvement in bottom-line performance, coupled with strong EBITDA growth and margin expansion, indicates positive momentum in the company's business operations and suggests effective management of costs and revenue optimization during the quarter.