Shree Pushkar Q2 revenue rose 58% as chemical sales surged

Shree Pushkar Chemicals & Fertilisers Limited reported Q2 FY27 revenue of Rs 403.5 crore, up 58.2% year on year, as chemical sales rose 85.6% to Rs 245 crore and EBITDA increased 87.7% to Rs 49.2 crore. Consolidated sales volume grew 4.3%, indicating that product mix and realisations were important contributors to growth.

Why did Shree Pushkar's Q2 revenue grow 58%?

Shree Pushkar's Q2 FY27 revenue grew because chemical sales increased much faster than fertiliser sales. Chemical sales value reached Rs 245 crore, up 85.6% year on year, while fertiliser sales value was Rs 158 crore, up 27.5%. Together, the two segments accounted for Rs 403.5 crore of consolidated revenue from operations for the quarter ended September 30, 2026.

Revenue also increased sequentially from Rs 280.1 crore in Q1 FY27 to Rs 403.5 crore in Q2 FY27, a 44.1% rise. For H1 FY27, revenue from operations was Rs 683.60 crore, up 34.1% from Rs 509.6 crore in H1 FY26. Q2 therefore contributed about 59% of first-half revenue, compared with the first quarter's Rs 280.1 crore.

Consolidated Q2 sales volume was 93,645 metric tonnes, up 4.3% year on year, comprising 14,368 metric tonnes of chemicals and 79,277 metric tonnes of fertilisers. Sales value rose faster than volume, particularly in chemicals. Management attributed the difference to improved realisations, a favourable product mix and sustained demand, rather than growth in tonnes alone.

How did Shree Pushkar's profitability change in Q2 FY27?

Shree Pushkar expanded EBITDA margin to 12.2% in Q2 FY27 from 10% in Q2 FY26. EBITDA increased 87.7% year on year to Rs 49.2 crore, while profit after tax rose 96.1% to Rs 35.7 crore and the profit-after-tax margin reached 8.9%. The chief financial officer also reported Q2 gross profit of Rs 120 crore, an increase of Rs 42 crore from a year earlier.

Management said chemical margins improved amid a shortage of dye intermediates in China, linked to environmental and safety compliance requirements, alongside demand from China for its products. The chairman described the quarter's gain as a combination of volume, market realisation and pricing. He also said pricing volatility in products including H-Acid and vinyl sulfone could last for weeks or months, rather than being permanent.

H1 FY27 profitability rose at a slower rate than the second-quarter result. EBITDA was Rs 81.2 crore, up 46.7% year on year, and profit after tax was Rs 58.6 crore, up 49.7%. The H1 EBITDA margin rose to 12% from 11% in H1 FY26, while the profit-after-tax margin increased to 8.6% from 7.7%.

What capacity additions is Shree Pushkar pursuing?

Shree Pushkar started commercial production at Unit 5 during Q2 FY27, adding about 6,000 metric tonnes a year of dye-manufacturing capacity. It also commissioned a 10-megawatt direct-current solar project at Nanded, Maharashtra. The addition took consolidated installed solar capacity to 20.6 megawatts on a direct-current basis.

The expansion of wholly owned Madhya Bharat Phosphates Private Limited at Meghnagar, Jhabua, Madhya Pradesh, was continuing as planned on September 30, 2026. Shree Pushkar had invested Rs 92 crore in the project from internal accruals by that date. Management said the expansion is intended to increase manufacturing integration and improve operating efficiency, but did not provide a commissioning date.

The board has also approved Rs 70 crore for a new chemical plant at Unit 5 in Lote Parshuram, with additional capacity of 3,000 metric tonnes a year and expected commissioning by March 2028. Funding is planned through internal accruals and a proposed preferential issue of 854,060 fully convertible warrants to the promoter at Rs 526.90 per warrant, aggregating up to Rs 45 crore, subject to shareholder and other approvals.

What is Shree Pushkar expecting in the second half?

Shree Pushkar management said Q3 FY27 fertiliser performance could be subdued because of poor rainfall and drought conditions in parts of Maharashtra and Madhya Pradesh. The company sold 79,277 metric tonnes of fertiliser in Q2, and management said it would aim to perform better than in the previous year's second half. It also noted that fertiliser subsidy had not been declared by the central government as of the November 3, 2026 call.

Chemical volumes may rise further in Q3, according to the chairman's view. He said chemical volume increased from about 9,000 metric tonnes in Q1 FY27 to about 14,000 metric tonnes in Q2 FY27, and he expected Q3 volume to be somewhat higher than Q2. This was management commentary rather than a formal volume forecast and remained dependent on market demand and supply.

The chairman said he had visibility for at least Rs 1,250 crore of FY27 sales and profitability in three digits, describing the sales view as conservative. He did not specify whether the profitability reference meant EBITDA, profit before tax or profit after tax. Management also clarified that remarks about a possible 15% to 20% improvement in margins referred to longer-term potential, not an FY27 target.

Conclusion

Shree Pushkar's Q2 FY27 result reflected a shift toward chemicals, where sales increased 85.6% to Rs 245 crore, compared with 27.5% growth in fertilisers to Rs 158 crore. With consolidated volume up only 4.3%, the 58.2% revenue increase and the rise in EBITDA margin to 12.2% were driven materially by mix, realisations and chemical pricing.

The next disclosures to watch are the fertiliser subsidy decision management expected on November 5, 2026, and the planned Unit 6 trial-production update around late November or December. Progress on the Rs 70 crore Unit 5 chemical project, targeted for March 2028 commissioning, will also determine the pace of Shree Pushkar's planned capacity expansion.