Clean Science and Technology (CLEAN) Q4 25/26 earnings summary

Executive summary

• Q4 FY 2026 delivered resilient EBITDA margins and profitability despite global challenges, with sequential improvement in volumes and revenue, especially in the HALS segment and base business rebound.

• FY 2026 saw robust profitability, supported by new product launches, innovative specialty chemicals, and increased export revenues, which comprised up to 61% of consolidated sales.

• Audited standalone and consolidated financial results for Q4 and FY ended March 31, 2026, were approved, showing continued growth.

• Promoter/Executive Directors voluntarily reduced or forgone a substantial portion of their FY 2026 performance bonus, lowering it to less than 1% of PBT.

• The company remains focused on customer engagement, process efficiency, backward integration, and market position protection.

Financial highlights

• Standalone Q4 revenue rose 8% sequentially to INR 193 crores, while consolidated Q4 revenue increased 14% sequentially to INR 246-249 crores.

• Standalone EBITDA and PAT margins were 46% and 40%, with EBITDA at INR 88 crores and PAT at INR 77 crores; consolidated EBITDA margin reached 38.9% in Q4.

• FY 2026 standalone revenue was ₹9,223.16 million, up year-over-year; consolidated revenue was ₹9,565.47 million, slightly down from the previous year.

• FY 2026 consolidated PAT was ₹2,296.55 million, down from ₹2,644.05 million; standalone net profit was ₹2,923.02 million, up from ₹2,512.17 million.

• Board approved/recommended a final dividend of ₹4 per share for FY 2026.

Outlook and guidance

• Management expects HALS Q4 revenue to be a base for future quarters, with further improvement anticipated.

• CapEx for Performance Chemical Two is on track for commercialization by September 2026, with revenue ramp-up expected in FY 2028.

• Strategic focus on ESG, sustainability, and green chemistry, with continued investments in new product development and greenfield capex.

• Plans to expand export customer base and capitalize on import substitution opportunities in India.

• The chemical industry outlook remains uncertain due to global macro factors, especially crude oil price volatility and China-India commodity arbitrage.