Neogen Chemicals Limited has announced its financial results for the second quarter and half-year ended September 30, 2026. The company reported a robust performance, with revenues growing 42% year-on-year to INR 296 crore. EBITDA also saw a significant increase of 51% to INR 45 crore, and profit after tax surged by 144% to INR 8 crore.
Neogen Chemicals Announces Strong Q2 FY27 Performance
Neogen Chemicals Limited has reported a significant upswing in its financial performance for the second quarter (Q2) and the half-year ended September 30, 2026. The company’s results indicate robust growth driven by sustained volume increases across its core segments and expansion in its Organolithium business.
Key Financial Highlights
For the second quarter of Fiscal Year 2027 (Q2 FY27), Neogen Chemicals’ consolidated revenues stood at INR 296 crore, marking a substantial increase of 42% compared to the same period last year. This growth was achieved despite prevailing macroeconomic challenges, including geopolitical tensions, supply chain disruptions, and rising feedstock costs.
Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) for Q2 FY27 reached INR 45 crore, a rise of 51% year-on-year. This improved EBITDA performance was attained even with increased costs related to plant rebuilds, tolling arrangements, and capital expenditure.
Profit After Tax (PAT) demonstrated exceptional growth, increasing by 144% year-on-year to INR 8 crore. This surge in profitability is attributed to core operational performance, with temporary impacts from higher interest and depreciation costs related to ongoing capital expenditure initiatives.
Neogen Ionics Contribution
The company’s subsidiary, Neogen Ionics (NIL), played a crucial role in this performance. NIL’s revenue in Q2 FY27 reached INR 37 crore, a significant jump from INR 5.4 crore in Q2 FY26, reflecting an accelerated scale-up. The consolidated EBITDA for the quarter was bolstered by initial fixed-cost absorption at NIL, with revenue scale-up and capacity utilization expected to further enhance future operating leverage.
Earnings Per Share (EPS)
Consolidated Earnings Per Share (EPS) for Q2 FY27 was reported at INR 2.96 per share, on a non-annualized basis.
Strategic Milestones and Future Outlook
During the period, Neogen Chemicals successfully completed its maiden Qualified Institutional Placement (QIP), raising INR 600 crore. The issue was oversubscribed 6.5 times, indicating strong investor confidence. The proceeds from the QIP are earmarked for balance sheet de-leveraging, funding incremental business requirements, and supporting growth initiatives.
The company also provided an update on its expansion initiatives, including the approved expansion of the Organolithium facility at Patancheru, Telangana, doubling its capacity to 600 MTPA with an estimated investment of up to INR 45 crore. Furthermore, key project updates on Battery Chemicals business expansions indicate progress toward commissioning new capacities for Lithium Electrolyte Salts and Additives, and electrolyte production at its Dahej facility.
Looking ahead, Neogen Chemicals anticipates continued encouraging performance for both its standalone business and Battery Chemicals segment, aiming for transformational growth in the energy storage and advanced battery materials ecosystem.
Source: BSE
