Fairchem Organics Limited reported Q1 results with total income from operations at Rs. 1,311.97 crore, up 8.5% quarter-on-quarter but down 20.5% year-over-year. Net profit decreased to Rs. 11.74 crore from Rs. 138.52 crore in the previous year. EBITDA margin improved slightly to 3.97%. The company faced challenges including firm raw material prices and competition in the Dimer Acid business. Despite challenges, the company remains optimistic about its high-value Isostearic Acid product.
11Aug 25
Fairchem Organics Reports Significant Decline in Q1 Financial Performance
Fairchem Organics Limited experienced a significant downturn in its Q1 FY24 financial results. Revenue decreased by 20.5% to ₹131.06 crore, while net profit plummeted by 91.5% to ₹1.17 crore compared to the same quarter last year. EBITDA fell to ₹5.20 crore from ₹21.80 crore, with the EBITDA margin contracting to 3.98% from 13.20%. The company's cost of materials consumed and employee benefits expense also decreased, reflecting lower production volumes.
Fairchem Organics Ltd. announced a ₹7.5 per share dividend despite significant Q4 financial challenges. The company's Q4 FY2024 results show a 25% YoY revenue drop to ₹120.00 crore, 76.60% EBITDA decline to ₹4.40 crore, and a 94.92% net profit decrease to ₹0.60 crore. The EBITDA margin contracted to 3.66% from 11.68%. Annual performance for FY2024 also declined, with revenue down 4.09% to ₹621.50 crore and net profit falling 6.90% to ₹40.50 crore.