Camlin Fine Sciences (CAMLINFINE) Q3 25/26 earnings summary

Executive summary

• Q3 revenue was INR 572 crore (Rs. 4,572 mn), up 6% year-over-year, with blends segment growth aided by the Vinpai acquisition and vanillin sales managed for future tariff benefits.

• Profitability was impacted by pricing pressure in the main ingredient (straights) business and tariff-related challenges in vanillin.

• A fire at the Brazil blending unit caused significant inventory loss and operational suspension, with alternative arrangements in place and insurance claims pending.

• Liquidation processes for Europe and China subsidiaries are underway, expected to halt ongoing cash bleed and have no further operational impact.

• Board approved unaudited financial results for the quarter and nine months ended December 31, 2025, prepared per Indian Accounting Standards.

Financial highlights

• Q3 consolidated revenue: INR 572 crore (Rs. 4,572 mn), up 6% year-over-year; 9M FY26: Rs. 13,406 mn (+9% YoY).

• Vanillin sales were 490 tons (INR 55 crore) at $12.5/kg; blends revenue reached INR 271 crore, up 11% year-over-year.

• Adjusted EBITDA margin for Q3: 6.7% (Rs. 307 mn); gross margin declined to 45% from 46% in the previous quarter.

• Q3 PAT: Rs. -60 mn; consolidated net loss after tax for the quarter: Rs. 3,622.99 lakh, impacted by exceptional items and discontinued business losses.

• Exceptional items included acquisition-related costs, provisions for labor code changes, and a doubtful advance.

Outlook and guidance

• FY 2027 vanillin volume guidance is 4,000 metric tons, with 60% targeted for the U.S. and 40% for Europe.

• Gross margin expected to improve to 46-47% and EBITDA margin to 12-14% in FY 2027, driven by higher vanillin realizations and blend growth.

• Revenue guidance for FY 2027 is INR 2,200 crore, and INR 2,400 crore for FY 2028, assuming current price levels.

• Blends business expected to grow 25% in FY 2027; Vitafor and Vinpai targeted for 40-50% top-line growth.

• Management continues to monitor regulatory changes and operational risks, including new Labour Codes and ongoing legal and insurance proceedings.