Aarti Industries Q4 FY26: Volume recovery lifts profitability, while capex sets up the next leg

Consolidated Q4 FY26 revenue was INR 2,422 crore, EBITDA INR 342 crore, and PAT INR 137 crore, as stated by management in the earnings call.

For FY26, management reported revenue of INR 9,018 crore, EBITDA of INR 1,172 crore, and PAT of INR 419 crore.

The investor presentation states a FY28 EBITDA target range of INR 1,800 to 2,200 crore, along with targets of Debt/EBITDA below 2.5x and ROCE above 15%.

Management stated Middle East contributes about 9% to 10% of annual revenue, predominantly in the energy application portfolio.

Management said finance costs included about INR 39 crore of revaluation loss on unhedged foreign currency long-term loans due to INR depreciation versus USD.

Management stated Zone IV will be commissioned in a phased manner during FY27; calcium chloride has had commercial runs, MPP and PEDA are under commissioning trials and expected to be declared commissioned in the current quarter (Q1 FY27).

Management guided FY27 capex in the range of INR 700 to 800 crore, with significant spend towards completion of Zone IV, the new long-term contract capex, and ongoing maintenance capex.