In Q4 FY25E, the brokerage anticipate that revenue growth for most companies will be driven primarily by higher volumes, with limited margin expansion owing to continued competitive pricing pressure. While prices across a broad range of specialty chemicals appear to have stabilized, a sustained upward trend is yet to materialize.
NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
DRChoksey Report
In Q4 FY25E, we expect double-digit YoY revenue growth from the specialty chemical companies in our coverage. The revenue is expected to grow 24.8% YoY (+29.0% QoQ) driven by strong volume growth, capacity additions and reducing dependency on the agrochemical sector.
We expect positive YoY revenue growth from the entire coverage companies (barring Balaji Amines). Notable companies are Ami Organics (strong growth in the Advanced Intermediates segment), Navin Fluorine (new capacities coming in from R32 and Specialty Chemicals) and Anupam Rasayan (driven by strong growth in the pharma and polymer segments).
Ebitda is expected to grow at a similar pace to revenue growth at 27.0% YoY (+28.0% QoQ). Ebitda margins are expected to expand 32 bps YoY (-14 bps QoQ) due to an unfavorable product mix, pricing pressure and weak realization.
Ebitda margin is expected to contract for half of the coverage companies, where Balaji Amines and Tatva Chintan are expected to post weak margin growth among our coverage due to persistent market headwinds impacting pricing and continued struggle in the SDA segment, respectively.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
As a Subscriber you get
Stories
RECOMMENDED FOR YOU
Bajaj Finance, Tata Communications, Delhivery, ACC, MTAR Tech, NATCO Pharma, UPL Are Buzzing On Dealers' Desk
Jul 03, 2025
UPL, Colgate, Tata Steel, Aditya Birla Sun Life AMC, Syrma SGS Buzzing On The Dealer Desk — Check Out Why
Jun 26, 2025
Indian Hotels Gets JPMorgan's 'Overweight' Initiation On Strong Fundamentals
Jun 25, 2025
UPL Q4 Results Review: Motilal Oswal Maintains 'Neutral' Stance On The Stock Post Inline Performance
May 13, 2025
POPULAR