Epigral Q1 FY27: Growth holds steady as the capex engine accelerates

In Q1 FY27, total revenue was INR 709 crore, EBITDA was INR 179 crore (25% margin), and PAT was INR 99 crore (14% margin).

Management stated Q1 FY26 reported PAT included an INR 81 crore benefit from deferred tax liability reduction due to a shift to a 25.17% tax rate; excluding that benefit, Q1 FY26 PAT would be INR 79 crore.

CPVC expansion (additional 75,000 TPA) and ECH expansion (additional 50,000 TPA) are expected to commission in Q2 FY27. The Epoxy Resin and Formulations plant (125,000 TPA) and the Multi Purpose Plant are expected to commission in H2 FY28.

Management stated that after ECH capacity expands to around 100,000 TPA, the company plans to consume about 50% internally for epoxy resin and related products and sell the remaining 50% in the market.

Management said the combined INR 600 crore capex for epoxy and MPP is planned to be funded roughly 40% from internal accruals and around 60% through debt.

Management indicated caustic soda utilization around 75%, ECH around 70% to 75%, CPVC around 50% to 55%, chloromethanes around 100%, and hydrogen peroxide around 85% to 90%.

The presentation states that derivatives and specialty chemicals were 52% of revenue in FY26 and are targeted to be about 70% by FY28E, with chlor-alkali reducing to about 30%.