Jubilant Ingrevia reported stable performance for Q3 FY’26, achieving INR1,051 crore in revenue, slightly below Q3 FY’25. Strong double-digit volume growth successfully offset soft pricing across segments. The company declared an interim dividend of 250% (INR2.5 per share). Key strategic updates include significant progress in the CDMO pipeline and commissioning of new operational assets.
Q3 FY’26 Financial Highlights
Jubilant Ingrevia reported overall revenue of INR1,051 crore for the quarter ending December 31, 2025, compared to INR1,057 crore in Q3 FY’25. Despite macroeconomic headwinds and muted pricing, overall performance remained stable, fueled by nearly 9% volume growth.
Quarterly EBITDA stood at INR136 crore, marking an 8% year-on-year decline primarily due to pricing contractions. However, on a 9-month basis, EBITDA increased by 8% to INR436 crore.
Profit After Tax (PAT) for the quarter, excluding the INR13 crore exceptional item related to Labour Code amendments, was INR60 crore (6% margin). The net debt-to-EBITDA ratio improved significantly to 0.94x from 1.24x in the previous quarter.
Segment Performance Review
Specialty Chemicals
Revenues for Specialty Chemicals reached INR458 crore (down from INR468 crore YoY). Performance was tempered by pricing pressures, but the segment maintained its resilience with an EBITDA margin sustained above 25% (absolute EBITDA at INR116 crore). This was supported by higher offtakes in fine chemicals and CDMO offerings.
On a 9-month basis, segment revenue grew over 7% to INR1,421 crore, with EBITDA growing 27% to INR371 crore.
Nutrition & Health Solutions
This segment showed a year-on-year revenue growth of 6%, reaching INR201 crore. Growth was driven by the highest volumes in 7 quarters, particularly in the Vitamin B3 portfolio. Segment EBITDA was INR23 crore (down 10% YoY), with margins at 11%, primarily due to price declines in Vitamin B3 and choline. Margins are expected to improve as cosmetic and food grade product share rises.
Chemical Intermediates
Segment revenue was INR393 crore compared to INR400 crore in Q3 FY’25, declining sequentially due to lower realization in ethyl acetate and acetic anhydride. The margin decline was attributed to pricing contraction and the pass-through of lower input costs.
Strategic Outlook and Capex
Future Growth Drivers
The management anticipates sustained growth momentum into Q4 FY’26, driven by Specialty Chemicals and Nutrition, alongside a partial recovery in the Acetyls portfolio.
- The major CDMO order is on track for commencement of delivery in Q4 FY’26 (March 2026).
- Construction has begun on a new multipurpose plant in Gajraula to support CDMO and fine chemicals capacity.
- The company expects to invest approximately INR500 crore in 2027, funded via internal accruals.
Pipeline and Innovation
The strategic opportunity funnel now extends beyond 100 active opportunities with a peak annual revenue potential of INR3,500 crore.
Over the last year, 16 molecules have been confirmed, representing a peak potential of INR1,400 crore. The company is also in advanced discussions for 7 additional opportunities worth INR900 crore.
Operational Efficiency and ESG
Sustainability initiatives are showing tangible results: power and fuel expenses were reduced by 10% YoY. Renewable power share at the Bharuch site increased to 34% in Q3 (up from 28% in Q2). The INR120 crore+ annual lean savings program remains on track.
Q&A Key Takeaways
Pricing Dynamics
Management confirmed that pricing pressure across most segments appears to have bottomed out in the last two months, with an uptick seen in derivatives pricing and Vitamin B3 feed grade prices increasing 7-8% recently.
CDMO Contracts
The large agrochemical CDMO contract will start dispatching volumes around mid to late March. While it is a generic product, management affirmed that the margin will be north of the 20% EBITDA threshold set for all new capex projects.
The CDMO portfolio remains diversified, accessing customers across Pharma, Agro, Consumer, and Industrial segments, ensuring a spectrum of potential deal sizes.
Capacity Utilization
New capacities, including the agro project, are currently running at approximately 50-odd percent utilization. FY ’27 is anticipated to be a pivotal year for filling this capacity based on confirmed orders and pipeline development.
Source: BSE
