Bhagiradha Chemicals Reports 23% Revenue Growth in H1FY26 Despite Margin Pressures

Bhagiradha Chemicals and Industries Limited reported revenue from operations of Rs. 263.9 crores in H1FY26, representing 23% year-over-year growth driven by close to double-digit volume growth and improved price realizations. The company achieved EBITDA of Rs. 24.0 crores, up 11% from the previous year, supported by better operating efficiency. However, PAT declined to Rs. 9.5 crores from Rs. 11.1 crores in H1FY25, primarily due to elevated finance costs from increased working capital utilization. Gross margins were impacted by higher raw material costs and clearance of low-margin inventory. The company launched a new herbicide product and commissioned a 4MW solar plant. Phase 1 of the Rs. 800 crore expansion plan in subsidiary Bheema Fine Chemicals has been implemented at a cost of Rs. 429 crores, with structured production ramp-up planned over the next six months. Management indicated that pricing pressures have largely bottomed out and average realizations are beginning to improve.

Bhagiradha Chemicals Outlines Growth Strategy Through Capacity Expansion and R&D Enhancement

Bhagiradha Chemicals has outlined its growth strategy focusing on capacity expansion at Ongole and development of new agrochemical molecules. The company is strengthening its R&D pipeline to enter the global off-patent market while diversifying its product mix toward high-value intermediates and formulations. The strategy emphasizes operational efficiency, import substitution, and backward integration to enhance margins and export competitiveness.