Privi Speciality Chemicals announced a healthy financial performance for Q3 and 9M of FY25-26, detailing a 24% YoY revenue growth. The company remains committed to its 5k:1k vision, emphasizing consolidation via amalgamation and innovation in green chemistry. Key operational highlights include strong EBITDA improvement driven by operational excellence and strategic CAPEX projects positioning the company for over 2x growth in the next 3-4 years.
Q3 and 9M FY26 Performance Snapshot
Privi Speciality Chemicals has reported a healthy performance for the quarter ended December 31, 2025 (Q3 FY26). The company achieved 24% YoY revenue growth in both Q3 and the nine months (9M FY26), despite global challenges. Strong profitability was noted, with EBITDA growing by 37% in Q3 and 47% in 9M FY26.
- Q3 FY26 Highlights (Consolidated)
- Revenue: Rs. 611.15 Crs (up 24% YoY)
- EBITDA: Rs. 157.85 Crs (up 37% YoY)
- PAT: Rs. 77.99 Crs (up 76% YoY)
- EBITDA Margin: 25.83% (an increase of 251 bps)
- 9M FY26 Highlights (Consolidated)
- Revenue: Rs. 1,857.23 Crs (up 24% YoY)
- EBITDA: Rs. 481.04 Crs (up 47% YoY)
- PAT: Rs. 233.84 Crs (up 94% YoY)
- EBITDA Margin: 25.90% (an increase of 402 bps)
The significant improvement in EBITDA margins is attributed to a focus on operational excellence, an increasing share of value-added products, and state incentives. The financials were impacted by one-time expenses of Rs. 389.96 lakh related to new labor legislation effective November 11, 2025.
Strategic Roadmap: Vision 5k:1k and Consolidation
The Chairman & Managing Director confirmed commitment to the long-term 5k:1k vision over the next 3-4 years. A key step is the proposed Scheme of Amalgamation, merging Privi Fine Sciences Private Limited and Privi Biotechnologies Limited to unlock synergies and create a unified structure for scalable growth.
The company is progressing well on its expansion phases, with the capacity augmentation project for flagship products nearing completion by June 30th, 2026. Total projected investment of ~Rs 1,200 Cr over the next 2-3 years is planned across three phases, targeting 74,000 MT capacity and revenue visibility of Rs 5,000 Cr, supported by projected EBITDA margins north of 20%.
PRIGIV Resurrection and Growth Levers
The joint venture with Givaudan, PRIGIV, achieved positive EBITDA in Q3 FY26. To fund immediate expansion, an equity infusion of Rs. 50 crore is planned, alongside a non-interest bearing trade advance of about Rs.150 cr from Givaudan to reduce debt costs. PRIGIV is also evaluating further CAPEX based on in-house technology to generate potential revenue exceeding Rs. 100 cr from high-value speciality molecules.
Key growth levers driving future performance include the China +1 Strategy, New Product Innovation (e.g., Maltol, Ethyl Maltol, Cyclopentanone), Gross Margin Expansion, and leveraging state tax incentives against CAPEX done.
Operational Strength and Sustainability
Privi continues to emphasize operational excellence, driven by in-house R&D across 2 centers and 116 members. The company’s state-of-the-art facilities are backed by strong backward integration into CST processing, a niche technology that provides supply visibility and a price advantage over the GTO route.
Sustainability achievements are significant, evidenced by achieving the Ecovaadis PLATINUM rating (Top 1%) in May 2025. Strategic targets include a 50.4% reduction in Scope 1 & 2 GHG emissions by 2032 and sourcing 50% energy from renewables by 2032.
Source: BSE
