SH Kelkar & Company , a key player in the fragrance and flavor industry, has recently disclosed significant management changes alongside its financial results for the second quarter of fiscal year 2026.

Management Transition

The company's Board of Directors has approved a transition in its Chief Financial Officer (CFO) position:

Ms. Deepti Chandratre, who has been serving as the Interim CFO, will step down from this role effective December 1, 2025. She will continue to contribute to the company in her roles as Global Legal Counsel and Company Secretary.

New CFO Appointment

Mr. Jagdish Agarwal has been appointed as the new Chief Financial Officer, designated as Group Chief Financial Officer. His tenure is set to commence on December 2, 2025.

Agarwal brings extensive experience to SH Kelkar & Company:

• Over 28 years of professional experience
• Expertise across various sectors including manufacturing, telecommunications, and banking
• Held senior positions in prominent organizations such as Reliance Communications, ICICI Bank, Owens Corning, and Huhtamaki India

Professional Qualifications

Mr. Agarwal's credentials include:

• Chartered Accountant
• Cost and Management Accountant
• Bachelor's degree in Commerce from Calcutta University

Financial Results

The Board has approved the unaudited standalone and consolidated financial results for the quarter and half-year ended September 30, 2025. Specific details of these results were not provided in the announcement.

This management change comes at a crucial time for SH Kelkar & Company, potentially signaling a strategic move to strengthen its financial leadership as the company navigates the evolving market landscape in the fragrance and flavor industry.

SH Kelkar & Company (SHK), a leading fragrance and flavor company, has reported a mixed set of financial results for the second quarter. The company saw a significant decline in net profit despite a marginal increase in revenue, reflecting challenging market conditions and cost pressures.

Financial Highlights

For the quarter ended September 30, SH Kelkar reported the following key financial metrics:

The company's net profit saw a sharp decline of 77% year-over-year, dropping to ₹91.80 crore from ₹398.00 crore in the same quarter last year. This significant decrease in profitability comes despite a modest 2.2% increase in revenue, which rose to ₹554.00 crore from ₹542.00 crore in the corresponding period.

Operational Performance

The EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) for the quarter stood at ₹527.00 crore, marking a substantial decrease of 34.8% compared to ₹808.00 crore in Q2 of the previous fiscal year. This decline in EBITDA indicates increased cost pressures and operational challenges faced by the company.

The EBITDA margin compressed significantly, falling to 9.51% from 14.89% in the previous year, representing a decrease of 538 basis points. This margin contraction suggests that the company is facing difficulties in maintaining its operational efficiency and cost management.

Market Implications

The sharp decline in profitability despite revenue growth may raise concerns among investors about SH Kelkar's ability to manage costs effectively in the current economic environment. The company may need to focus on operational efficiency and cost optimization strategies to improve its profit margins in the coming quarters.

Looking Ahead

While the company has not provided specific guidance for the future, the management may need to address the challenges that led to the profit decline and margin compression. Investors and analysts will likely be watching closely for any strategic initiatives or market developments that could impact SH Kelkar's performance in the upcoming quarters.

As the fragrance and flavor industry continues to evolve, SH Kelkar's ability to innovate, manage costs, and capitalize on market opportunities will be crucial for its future growth and profitability.