NOCIL (NOCIL) Q3 25/26 earnings summary

Executive summary

• Domestic volumes grew at a high single-digit rate in Q3 FY26, driven by improved demand and GST 2.0, while international volumes declined due to seasonal effects and U.S. tariffs.

• Largest rubber chemicals manufacturer in India with global recognition, focusing on sustainable growth, green chemistry, and responsible care.

• Strong export strategy and China+1 positioning to reduce reliance on China and ensure supply stability.

• Board approved unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025, reviewed by statutory auditors with no material misstatements.

• Anti-dumping petitions filed for key products, with investigations underway.

Financial highlights

• Q3 FY26 net revenue: INR 316 crore, down INR 5 crore sequentially from Q2 FY26; nine months revenue: INR 973 crore vs. INR 1,053 crore prior year.

• Q3 FY26 operating EBITDA: INR 27 crore (Q2: INR 22 crore); EBITDA margin: 8.5%.

• Q3 FY26 PAT: INR 9 crore (Q2: INR 12 crore); nine months PAT: INR 39 crore vs. INR 82 crore prior year.

• Standalone revenue for Q3 FY26 was ₹315.84 crore; nine-month revenue was ₹972.62 crore, down from ₹1,053.00 crore year-over-year.

• Exceptional item of ₹5 crore in Q3 FY26 due to new labour codes.

Outlook and guidance

• FY26 volume growth expected at 3%-4% despite H1 decline; double-digit volume growth guided for FY27, driven by domestic buoyancy and recovery in U.S. exports.

• U.S. export volumes, which dropped to 50% of pre-tariff levels, are expected to recover within 2-3 months.

• New TDQ antioxidant capacity to begin production trials in H1 2026, with ramp-up in FY27 and significant contribution by FY28.

• New products in pipeline expected to contribute 10%-12% of volumes by FY28.

• The group continues to monitor regulatory developments regarding labour codes and will adjust accounting as needed.