India Glycols demerger excludes three businesses from results

India Glycols Limited excluded its spirits, biofuel and biopharma operations from results from the April 1, 2026 appointed date, reporting Rs 712.82 crore of standalone revenue for the half year ended September 30, 2026. The National Company Law Tribunal-approved arrangement also ended the subsidiary status of IGL Spirits and Ennature Bio Pharma from that date.

What did the India Glycols demerger transfer?

India Glycols transferred its Spirits and Biofuel Undertaking to IGL Spirits Limited and its Biopharma Undertaking to Ennature Bio Pharma Limited as going concerns from April 1, 2026. The National Company Law Tribunal, Allahabad Bench, Prayagraj approved the Scheme of Arrangement on July 17, 2026, and the Scheme became effective on September 1, 2026.

The transfer covered the carrying value of the businesses’ assets, liabilities and identified reserves. India Glycols said the difference between those transferred balances was adjusted in other equity under applicable laws; standalone other equity stood at Rs 796.04 crore on September 30, 2026, compared with Rs 2,503.93 crore on March 31, 2026, but the filing does not quantify the demerger-related component.

The statutory auditor said IGL Spirits and Ennature Bio Pharma ceased to be subsidiaries of India Glycols from the April 1 appointed date. This means the Scheme changed both the parent company’s operating perimeter and its group reporting boundary, even though the legal effectiveness date was September 1, 2026.

Which India Glycols business remains in current reporting?

India Glycols identifies Bio-based Specialities and Performance Chemicals as its sole reportable segment in the current period under Indian Accounting Standard 108, or Ind AS 108, which governs operating-segment reporting. The company therefore provided no separate current-period segment disclosures for potable spirits, bio-fuel or Ennature Biopharma in the September 2026 results.

The remaining segment generated standalone revenue of Rs 358.18 crore in the quarter ended September 30, 2026 and Rs 712.82 crore in the half year ended that date. Its standalone half-year revenue was Rs 586.54 crore in the comparable 2025 period, before the transfer of the other three businesses.

The table shows why the reported total revenue change is not a like-for-like operating comparison. The three transferred businesses represented Rs 4,327.20 crore of standalone revenue in the half year ended September 30, 2025, but are absent from the September 2026 reporting perimeter.

Are India Glycols’ previous-period results comparable?

No, India Glycols says the quarter and half year ended September 30, 2025 and the year ended March 31, 2026 included the transferred businesses and are not comparable with current-period figures. It restated the June 30, 2026 quarter to reflect the demerger, while explicitly identifying the earlier reported periods as including the former spirits, biofuel and biopharma operations.

The distinction extends beyond revenue. Standalone profit before tax was Rs 31.79 crore for the half year ended September 30, 2026, against Rs 142.62 crore for the prior-year half, while finance costs were Rs 23.71 crore versus Rs 93.96 crore and depreciation and amortisation were Rs 24.05 crore versus Rs 72.93 crore. The filing attributes the lack of comparability to the differing business perimeter.

India Glycols also said sales and purchases of the spirits, biofuel and biopharma businesses continue to be recorded in its books and transferred to the relevant resulting companies under the Scheme. That accounting mechanism does not change the company’s statement that current-period financial performance excludes the transferred undertakings.

How did India Glycols report after the demerger?

India Glycols reported standalone revenue of Rs 358.18 crore for the quarter ended September 30, 2026, compared with Rs 354.64 crore for the restated quarter ended June 30, 2026. Standalone profit after tax was Rs 11.24 crore for the September quarter and Rs 23.59 crore for the six months ended September 30, 2026.

On a consolidated basis, India Glycols reported Rs 719.50 crore of revenue and Rs 56.28 crore of profit after tax for the half year ended September 30, 2026. Consolidated profit before tax included Rs 33.24 crore as the share of profit from a joint venture, compared with Rs 30.18 crore in the half year ended September 30, 2025.

The continuing standalone segment’s revenue rose to Rs 712.82 crore in the September 2026 half year from Rs 586.54 crore in the 2025 half year. However, India Glycols’ total standalone revenue fell from Rs 4,913.74 crore to Rs 712.82 crore because the earlier figure included the three businesses that have since been transferred.

What changed in India Glycols’ balance sheet and cash flow?

India Glycols’ standalone total assets were Rs 2,181.53 crore at September 30, 2026, compared with Rs 6,126.12 crore at March 31, 2026. The company specifically noted that the March 31, 2026 balance sheet included the combined results of the spirits, biofuel and biopharma businesses, so the change does not represent a directly comparable movement in the continuing operation alone.

Property, plant and equipment was Rs 1,254.43 crore at September 30, 2026, versus Rs 4,445.21 crore at March 31, 2026. Standalone total equity was Rs 829.55 crore at September 30, 2026, compared with Rs 2,537.44 crore at March 31, while standalone total liabilities were Rs 1,351.98 crore, against Rs 3,588.68 crore.

Standalone net cash flow from operating activities was Rs 39.88 crore during the half year ended September 30, 2026, while purchases of property, plant and equipment were Rs 95.23 crore. Cash and cash equivalents closed at Rs 6.25 crore, down from Rs 26.35 crore at the beginning of the half year, producing a reported net decrease of Rs 20.10 crore.

Conclusion

The demerger materially changes what India Glycols’ financial statements measure from April 1, 2026. Its results now principally reflect Bio-based Specialities and Performance Chemicals, while the spirits and biofuel undertaking sits with IGL Spirits and the biopharma undertaking sits with Ennature Bio Pharma. Reported revenue, profit, assets and liabilities for earlier periods consequently cannot be used as direct comparisons with the post-demerger figures.

The next results filings should provide additional quarters for assessing the continuing business, including whether the Rs 712.82 crore standalone half-year revenue base develops further. Readers should also watch for any further disclosure by India Glycols on the Scheme’s other-equity adjustment or on financial information concerning the resulting companies, neither of which is separately quantified in this filing.