Camlin Fine Sciences (CAMLINFINE) investor relations material

Executive summary

• Q1 revenue declined to ₹423 crore from ₹437 crore year-over-year, mainly due to annual maintenance shutdowns and sluggish demand in Specialty Ingredients Straights impacting production and margins.

• Blends business showed strong growth across geographies, while Vanillin remained stable despite channel stock and tariff uncertainties.

• Losses from discontinued operations were curtailed, and the company continues to focus on high-value blends and additives.

• Board approved unaudited financial results for Q1 FY26 and completed a major rights issue in January 2025.

• Key management changes included re-appointment of a director and interim HR charge to CFO.

Financial highlights

• Q1FY26 EBITDA was ₹19 crore (₹190 mn), with a margin of 4.5%, significantly lower due to one-off shutdown and bonus costs.

• Q1FY26 PAT from continuing operations was a loss of ₹42.5 mn, with a PAT margin of -1.0%.

• Consolidated revenue for Q1 FY26 was ₹42,355.20 lakh, up from ₹38,085.20 lakh in Q1 FY25.

• Consolidated net loss after tax for Q1 FY26 was ₹(3,395.41) lakh, compared to a loss of ₹(13,904.59) lakh in Q1 FY25.

• Employee costs increased due to new hires and one-time bonuses, especially in the US and Mexico.

Outlook and guidance

• Management expects channel inventory in Europe and US to clear in 3-4 months, with demand recovery anticipated from October onwards.

• Guidance maintained for Vanillin business volumes at 2,500–3,000 tons for the year, with average realization of $13–14/kg.

• Blends business targeted to grow at 20% annually, with margin improvement as geographies mature.

• FY26 will see commercialization of new specialty ingredients, with a strategic focus on high-value blends and downstream products.

• Discontinued operations in Italy and China continue to be classified as such, with remote prospects of revival.