This article first appeared on GuruFocus .
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Revenue from Operations (Q2 FY26):INR 341 crore, down from INR 358 crore in Q1 FY26.
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EBITDA (Q2 FY26):INR 67 crore with margins improving to 19% from 17% in Q1 FY26.
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Profit After Tax (Q2 FY26):INR 37 crore, unchanged from the previous quarter.
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Consolidated Revenue (H1 FY26):INR 715 crore.
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EBITDA (H1 FY26):INR 131 crore with an EBITDA margin of 18%.
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Profit After Tax (H1 FY26):INR 74 crore with a PAT margin of 10%.
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Total Volumes (Q2 FY26):26,165 metric tons.
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Amines Volumes (Q2 FY26):7,685 metric tons.
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Amines Derivatives Volumes (Q2 FY26):8,374 metric tons.
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Specialty Chemicals Volumes (Q2 FY26):10,107 metric tons.
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Debt Status:Zero debt company with a healthy cash position.
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Warning! GuruFocus has detected 5 Warning Signs with BOM:530999.
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Release Date: November 12, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Balaji Amines Ltd ( BOM:530999 ) maintained healthy margins with EBITDA improving to 19% in Q2 FY26 from 17% in Q1 FY26.
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The company remains a zero-debt entity with strong cash positions and prudent working capital management.
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New projects, including the DME plant and N-methyl morphine projects, are advancing well and expected to be commissioned soon, indicating future growth potential.
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The company is focusing on product diversification, process innovation, and sustainable manufacturing practices, which are expected to drive long-term growth.
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Balaji Amines Ltd ( BOM:530999 ) is making progress in its green chemistry initiatives, with 80% of manufacturing powered by solar energy.
Negative Points
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Revenue from operations decreased to INR341 crore in Q2 FY26 from INR358 crore in Q1 FY26, indicating a decline in sales.
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The company is facing challenges in the domestic EV battery market, with only 20% capacity utilization for EV-based products.
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There are delays in receiving government approvals for LPG blending, affecting the commissioning of the DME plant.
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The company is experiencing volatility in raw material prices, particularly methanol and ammonia, which could impact margins.
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Utilization levels for some newly commissioned assets remain below optimum due to global uncertainties and demand challenges.
Q & A Highlights
Q: What is the status of the LPG blending for DME and its potential in the aerosol industry? A: The LPG blending is currently under government review, and approvals for cylinders and road tankers are in progress. The aerosol industry requires approximately 30-35,000 tons of DME, and we anticipate good opportunities once approvals are finalized. (Dundurapu Reddy, Managing Director)
Q: Can you provide an update on the capacity utilization for EV-based products like DMC and PG? A: DMC is operating at 20% capacity, primarily for non-battery applications, as battery manufacturers have not yet ramped up. For PG, we are supplying technical and food-grade products and awaiting pharma-grade approval. (Dundurapu Reddy, Managing Director)
Q: How confident are you in achieving the projected 10% volume growth for FY26? A: We expect approvals for DME and PG to come through this quarter, which should help achieve 8-10% growth in the second half. The anticipated ramp-up in battery manufacturing will also contribute to this growth. (Dundurapu Reddy, Managing Director)
Q: What is the current status of the anti-dumping investigation on EDA, and how does it impact your operations? A: The investigation is ongoing, with a recent oral hearing. A new officer has been assigned, and we expect results by next month. Currently, there is no major impact on our operations. (Dundurapu Reddy, Managing Director)
Q: How are you managing pricing pressures from Chinese imports, and what is your margin outlook? A: We face competition mainly in dimethylformamide but have managed to maintain competitiveness. We expect EBITDA margins to range between 17.5% and 24%, depending on market conditions. (Dundurapu Reddy, Managing Director)
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
