Gujarat Alkalies and Chemicals (GUJALKALI) Q1 25/26 earnings summary

Executive summary

• Q1 FY26 returned to standalone profitability: PBT ₹9.55 crore and PAT ₹7.79 crore, versus losses of ₹30.44 crore and ₹24.69 crore YoY; EBITDA rose to ₹125.09 crore from ₹77.07 crore.

• Sales revenue was ₹1,073 crore, up ₹122.28 crore (12.86%) YoY, supported by higher capacity utilization, production and sales realization across major product groups.

Financial highlights

• Standalone revenue from operations was ₹1,105.12 crore versus ₹977.30 crore in Q1 FY25; total income was ₹1,113.59 crore versus ₹980.60 crore.

• Standalone total expenses were ₹1,104.04 crore versus ₹1,011.04 crore YoY; quarterly PBT was ₹9.55 crore versus a loss of ₹30.44 crore, and PAT was ₹7.79 crore versus a loss of ₹24.69 crore.

• Consolidated PBT was a loss of ₹12.02 crore and PAT a loss of ₹13.78 crore, compared with losses of ₹50.28 crore and ₹44.53 crore, respectively, in Q1 FY25.

• Consolidated total comprehensive income was ₹189.58 lakh versus ₹2,944.60 lakh in Q1 FY25; the current-quarter figure includes a ₹681.04 lakh notional gain from JV CCD liability revaluation.

Outlook and guidance

• Continued energy-cost improvement initiatives are planned through FY26 and FY27, following improved renewable-energy power use of 32%–35% in Q1.

• Project Ahvaan targets operating efficiency, cost reduction, increased green energy and long-term growth; initiatives include improving renewable-asset throughput and sourcing short-term renewable power competitively.

• Initiatives under Project Ahvaan are expected to support operational efficiency in the short to long term; A T Kearney was engaged as strategic consultant.