Neogen Chemicals reported a strong Q4 FY26 performance with 22% year-on-year revenue growth to INR 247 crore, and a 21% increase in EBITDA to INR 44 crore. The company is aggressively scaling its battery materials business, with the Pakhajan greenfield facility expected to become a cornerstone for future growth. Management remains optimistic about achieving INR 875-950 crore in standalone revenue for FY27 as major capital projects reach completion.
Quarterly Financial Performance
Neogen Chemicals delivered resilient results in Q4 FY26, achieving consolidated revenue of INR 247 crore and EBITDA of INR 44 crore, maintaining an EBITDA margin of 17.8%. This growth was driven by high plant utilization and strong demand in the organic and inorganic chemical segments. The Inorganic Chemicals segment was a standout, recording 145% expansion year-on-year, while the Organic Chemicals segment grew by 7%.
Strategic Focus on Battery Materials
The company is transitioning toward a future-ready portfolio centered on battery chemicals. The Pakhajan greenfield project is progressing, with commercial manufacturing for electrolytes targeted for H1 FY27 and electrolyte salts for H2 FY27. Neogen has strengthened its capabilities through a strategic partnership with Japan’s Morita, positioning itself as a key supplier for India’s growing ACC battery manufacturing ecosystem.
Operational Milestones and Capex
The Dahej replacement facility is on track for commissioning by June 2026. Despite project timeline recalibrations to integrate advanced Japanese technologies, the company maintains its long-term return targets of 18% to 20% ROCE. Funding for these initiatives is secured through recent promoter capital infusion and $20 million in anticipated equity from the Morita joint venture.
Future Outlook
Management has provided a standalone revenue guidance of INR 875 crore to INR 950 crore for FY27. Beyond the current fiscal year, the company projects significant scaling, with long-term revenue potential reaching INR 3,700 crore to INR 4,200 crore by FY29, supported by increased capacity at the Pakhajan site and continued brownfield expansions across existing facilities.
Source: BSE
