Himadri Speciality Chemicals targets 100 GWh by FY29

What Himadri has outlined

Himadri Speciality Chemicals Ltd (HSCL) has laid out a plan to build a battery materials manufacturing business focused on cathode and anode materials, two core inputs for electric vehicle (EV) batteries. The company’s stated target is a combined 100 gigawatt-hours (GWh) capacity for cathodes and anodes. Management has linked that scale to a peak topline of more than ₹30,000 crore once full capacity is achieved. The company has said the capacity build-out is expected over the next five years, with a broader target of annual revenues exceeding ₹30,000 crore within five to six years.

The capex plans for the manufacturing facility are currently being drawn up, and the company has indicated an announcement is expected over the next few weeks. Alongside scale-up plans, Himadri has highlighted that it has already commissioned pilot capacity and has begun moving from R&D into commercial operations.

Why the announcement matters for HSCL

The roadmap signals a clear pivot from traditional carbon materials toward high-technology speciality chemicals and advanced materials used in lithium-ion batteries. HSCL has positioned the shift as a response to rising demand in EV supply chains, especially for raw material components used in cell manufacturing. Chairman and CEO Anurag Choudhary has linked this to the next wave of growth after electronics and solar, calling the EV cycle a larger opportunity over the next 10 years.

The company is tying the new battery materials initiative to long-term demand expansion. It has also indicated that near-term profitability is still expected to be supported by its legacy businesses, while battery materials scale up over time.

100 GWh capacity target: what it implies

HSCL’s stated goal is 100 GWh of cathode and anode capacity. The company has explained that 100 GWh refers to producing enough cathode and anode materials to power 100 GWh of battery cells annually. It has also indicated this could be equivalent to approximately 1 to 1.5 million EV batteries depending on battery size.

The company’s plan is structured as a phased build-out rather than a single-step expansion. Management has linked the full capex and full capacity outcome to a topline of ₹30,000 crore-plus.

Cathode strategy: LFP capacity planned up to 200,000 tonnes

A major element of HSCL’s blueprint is a lithium iron phosphate (LFP) cathode active material platform. The company’s plan includes a 200,000 metric tonne production facility for LFP cathode materials, a chemistry that is increasingly used for its safety and longevity in EV batteries.

In the nearer term, HSCL has outlined Phase 1 LFP capacity of 40,000 tonnes per annum (TPA). Within Phase 1, the first 2,000 TPA line is scheduled to start by Q3 FY27, and the remaining Phase 1 capacity is expected to be commissioned in phases, with full Phase 1 expected to be operational by FY29. The disclosed Phase 1 capex for the LFP platform is ₹1,125 crore, and the company has said it plans to scale capacity after customer validations and demand visibility improve.

Anode materials: commercial milestone and next capex plan

On the anode side, HSCL has communicated multiple milestones. It has commissioned a pilot plant with a capacity of 400 tonnes to support execution and operations for the commercial plant. Separately, the company has described a commercial anode material facility commissioned on 23 April 2026 at Mahistikry, West Bengal, with an initial capacity of 200 metric tonnes per year, designed using proprietary in-house technology.

Management has also stated that it will soon announce capex for anode material manufacturing, aligning that expansion with the broader objective of reaching a combined 100 GWh capacity across anode and cathode products.

Revenue expectations and timelines shared by management

HSCL has repeatedly connected the capacity plan with revenue potential. Management has said that both anode and cathode at peak 100 GWh capacity could together generate a topline of more than ₹30,000 crore. It has also guided that the initial phase, featuring a 40,000-tonne LFP plant, could generate about ₹3,000 crore in revenue.

On timelines, the company has said the battery materials division is expected to start contributing meaningfully to earnings from FY 2028-29. It has also referenced a profitability timeline of FY29 for the battery materials segment. In addition, management has indicated it expects around ₹3,000 crore revenue from the battery business in FY29.

Separately, the company has provided a financial marker for FY28, guiding for ₹1,100 crore PAT that it said would come from existing businesses and some portion from cell chemistry related business.

Industry backdrop: demand growth is driving raw material needs

HSCL has anchored its strategic push to a larger rise in battery demand. The market for EV battery materials is currently pegged at about 2 terawatt-hours (TWh) and is expected to more than double to 5 TWh by 2030, based on figures cited by the company. That demand level has been linked to consumption of more than 10 million tonnes of cathode material and about 5 million tonnes of anode material.

In this context, HSCL’s emphasis has been on positioning itself early in the domestic supply chain, particularly for materials that are widely imported today. The company has also highlighted its R&D work over the last 10 years as a key reason it believes it is strongly positioned.

Partnerships and global positioning signals

Beyond internal capacity creation, HSCL has indicated it is building global connections. The company has stated that it increased its stake in a US-based international battery company to 20.47%. While further details were not provided in the shared information, the move signals an intent to align with global battery ecosystems as it scales up cathode and anode materials.

The company has also described its broader transformation into advanced materials science, presenting the battery materials business as an extension of long-run R&D and speciality chemical capabilities.

Market impact: what investors will track from here

For markets, the most immediate trigger is the pending capex announcement that the company has said could come over the next few weeks. Investors are also likely to track whether the company’s phased approach translates into visible commissioning milestones, especially for the LFP Phase 1 ramp-up starting with the 2,000 TPA line in Q3 FY27.

The other key watchpoint is revenue traction versus timelines: management has linked FY29 to profitability and has indicated a FY29 revenue marker of ₹3,000 crore from the battery business. At the same time, HSCL has said its immediate profit outlook remains anchored in legacy businesses, indicating the battery materials segment is still in an investment and scale-up phase.

Key numbers and milestones (as disclosed)

Analysis: why the plan is strategically significant

HSCL’s roadmap stands out because it ties together three elements it has explicitly highlighted: long-term demand growth, internally developed technology and a staged commissioning plan. The phased approach to LFP capacity, with scale-up contingent on customer approvals and demand visibility, suggests the company is trying to manage capital deployment and reduce the risk of building excess capacity ahead of confirmed offtake.

At the same time, the numbers shared by management underline how large the plan is relative to the company’s current base. A peak topline target of ₹30,000 crore-plus from battery materials is positioned as a step-change outcome, but it depends on multiple milestones: capex finalisation, customer validation, commissioning schedules and achieving targeted utilisation across both cathode and anode lines.

Conclusion

Himadri Speciality Chemicals has set a clear ambition to scale to 100 GWh of battery materials capacity and link that build-out to a peak topline of more than ₹30,000 crore, with FY29 framed as a key profitability milestone. Near-term focus will likely remain on the upcoming capex announcement and the Phase 1 execution schedule for LFP cathode and anode materials, including the Q3 FY27 commissioning target and the FY29 operational timeline for full Phase 1 capacity.