Lords Chloro Alkali (500284) Q4 25/26 earnings summary

Executive summary

• FY 2026 marked a landmark year with strong financial outcomes, driven by disciplined execution, operational improvements, healthy demand, and significant renewable energy integration.

• Transitioned towards a green chemical company with downstream product expansion and a focus on sustainability initiatives.

• Audited financial results for Q4 and full year ended March 31, 2026, showed significant year-over-year growth in revenue and profit.

• Board approved re-appointment of statutory and cost auditors, and appointment of a new internal auditor for FY 2026-27.

Financial highlights

• FY 2026 total income grew 44.62% year-over-year to INR 393.1 crore, with PAT up 360.9% to INR 28.49 crore; EBITDA reached INR 66.38 crore, up 159% year-over-year, with margin improvement of 747 basis points.

• Q4 FY 2026 total income was INR 97.75 crore, up 22.3% year-over-year; Q4 EBITDA margin at 14.03%.

• Earnings per share (EPS) for FY 2026 was ₹9.94, up from ₹2.46 year-over-year.

• Power and fuel costs reduced to 42% of production costs in FY 2026 due to renewables integration.

• Cash and cash equivalents increased to ₹2,943.08 lakh as of March 31, 2026, from ₹1,194.15 lakh a year earlier.

Outlook and guidance

• Optimism for FY 2027 driven by strong domestic demand, improving caustic soda realizations, and ongoing capacity expansions.

• Expectation of easing power cost headwinds after commissioning of 21 MW solar plant by mid-June 2026.

• Targeting 40–45% renewable energy in the short term and 80% in the medium term.

• Focus remains on operational excellence, energy cost reduction, and disciplined capital allocation.

• Continued focus on operational efficiency and compliance indicated by auditor and internal auditor appointments.