Epigral Ltd (EPIGRAL)
🎯 Key Takeaways
- Epigral Ltd is transitioning from a mature commodity chemicals player to a growth-oriented specialty chemicals company, marked by strategic capex in epoxy resin and advanced materials capacity. The firm is leveraging volume growth and margin expansion to fund long-term diversification, with management targeting H2FY28 commissioning of key expansion projects.
- Revenue declined 4.2% QoQ to ₹705 in Q1FY27.
- ⚠️ 1) Execution risk in large-scale capex projects with H2FY28 commissioning timelines. 2) Rising power and fuel expenses (₹34.70 Cr in Q1FY27) could pre
- Market Cap
- ₹4,475
- P/E Ratio
- 16.5
- P/B Ratio
- 2.01
- ROE
- 12.2%
- ROCE
- 15.2%
- Debt/Equity
- 0.25
- Div Yield
- 0.48%
- Promoter
- 68.8%
📖 The Story
Epigral Ltd is transitioning from a mature commodity chemicals player to a growth-oriented specialty chemicals company, marked by strategic capex in epoxy resin and advanced materials capacity. The firm is leveraging volume growth and margin expansion to fund long-term diversification, with management targeting H2FY28 commissioning of key expansion projects. Despite a 33% YoY decline in 1Y return, recent quarterly performance shows profitability recovery and capital deployment discipline.
📰 What's Happening
In Q1FY27, Epigral delivered 15% YoY revenue growth to ₹709 Crore and 25% PAT growth to ₹99 Crore, driven by volume and realization improvements. The board approved ₹600 Cr investment for a 1,25,000 TPA epoxy resin and multi-purpose plant at Dahej, targeting H2FY28 commissioning. Management also incorporated Epigral Advanced Material Limited to focus on specialty chemicals and renewable energy investments via Prozeal Green Power. Capex remains on schedule, with ongoing CPVC and ECH expansions supporting diversification into high-margin segments.
Source: Stock Announcements
📊 Quarterly Results (₹ Cr)
| Metric | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|
| Revenue | 587 | 597 | 736 | 705 |
| Operating Profit | 90 | 60 | 127 | 136 |
| OPM % | 15.3% | 10.1% | 17.2% | 19.3% |
| Net Profit | 51 | 39 | 81 | 100 |
| EPS | ₹11.87 | ₹9.07 | ₹18.76 | ₹23.12 |
Revenue has shown sequential recovery, rising from ₹587 Cr in Sep 2025 to ₹705 Cr in Jun 2026, while PAT surged from ₹39 Cr to ₹100 Cr over the same period, reflecting improved operational efficiency and margin discipline. EBITDA margin stabilized at 25% despite rising power and fuel costs, indicating effective cost management. The company’s profitability trajectory aligns with management’s narrative of margin expansion through scale and product mix shift toward higher-value chemicals.
🔮 Management Outlook & What's Next
Management expects both the Epoxy Resin plant and Multi-Purpose Plant to commission by H2FY28, with ongoing expansions in CPVC and ECH supporting long-term growth. They emphasized that capex is on schedule and funded through a mix of debt and internal accruals, while reaffirming tax optimization under Section 115BAA. The strategic focus is on capturing demand in specialty chemicals and renewable energy, with no short-term guidance beyond project timelines.
Extracted from official company announcements. Not StockFin.ai's opinion.
🏦 Balance Sheet (₹ Cr)
| Item | Mar 2025 | Mar 2025 | Mar 2026 | Mar 2026 |
|---|---|---|---|---|
| Equity Capital | 43 | 42 | 43 | 43 |
| Reserves | 1,861 | 1,359 | 2,178 | 2,058 |
| Borrowings | 593 | 896 | 563 | 537 |
| Total Liabilities | 3,152 | 2,979 | 3,505 | 3,236 |
| Fixed Assets | 2,219 | 1,892 | 2,117 | 2,159 |
| Investments | 98 | 21 | 23 | 45 |
| Total Assets | 3,152 | 2,979 | 3,505 | 3,236 |
The balance sheet shows stable leverage with net debt/EBITDA at 0.8x as of June 2026, indicating manageable debt levels relative to earnings. Borrowings declined slightly from ₹593 Cr to ₹563 Cr between March 2025 and March 2026, while equity and reserves grew from ₹1,861 Cr to ₹2,178 Cr, reflecting strong capital base expansion. This suggests a conservative capital structure with room for additional investment without significant financial strain.
💰 Cash Flow Statement (₹ Cr)
| Item | Mar 2026 |
|---|---|
| Operating | +436 |
| Investing | -355 |
| Financing | -94 |
| Net Cash Flow | -14 |
👥 Shareholding Pattern
| Category | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|
| Promoters | 68.8% | 68.8% | 68.8% | 68.8% |
| FII | 2.7% | 2.4% | 1.5% | 1.0% |
| DII | 4.9% | 5.1% | 4.9% | 5.6% |
| Public | 17.0% | 17.2% | 17.9% | 17.9% |
| # Shareholders | 78,605 | 77,562 | 77,583 | 76,305 |
Institutional interest has declined slightly, with FII holding dropping from 2.71% in Q2FY26 to 1.03% in Q1FY27, while DII increased marginally from 4.9% to 5.56%. Promoter holding remains stable at 68.83%. The growing number of shareholders (76,305 in Q1FY27) indicates retail broadening, but the reduction in FII allocation may signal short-term caution despite strong fundamentals.
⚖️ Peer Comparison — Chemicals
| Company | MCap (₹ Cr) | P/E | ROCE | ROE | D/E |
|---|---|---|---|---|---|
| PIDILITIND | 1.53 L Cr | 57.6 | 33.4% | — | 0.01 |
| SRF | 73,810 | 34.1 | 15.6% | — | 0.36 |
| LINDEINDIA | 52,814 | 96.7 | 17.5% | — | 0.00 |
| FLUOROCHEM | 48,774 | 79.7 | 9.6% | — | 0.34 |
| NAVINFLUOR | 43,256 | 54.7 | 22.2% | — | 0.31 |
| GODREJIND | 36,153 | 30.8 | 9.2% | — | 4.57 |
| HSCL | 33,807 | 42.0 | 20.7% | — | 0.16 |
| AETHER | 23,029 | 97.7 | 13.8% | — | 0.08 |
| DEEPAKNTR | 21,155 | 27.0 | 15.3% | — | 0.26 |
| CASTROLIND | 19,891 | 18.7 | 76.2% | — | 0.00 |
🔗 Peer Stock Analyses
⚠️ Risk Factors
1) Execution risk in large-scale capex projects with H2FY28 commissioning timelines. 2) Rising power and fuel expenses (₹34.70 Cr in Q1FY27) could pressure margins if not managed. 3) Concentration in epoxy resin demand, which is cyclical and subject to economic sensitivity. 4) Renewable energy investments may not yield immediate returns and carry regulatory or technological risks.
📋 Recent Filings
- Announcement2026-09-28Epigral Ltd announced the closure of its trading window for insiders starting October 1, 2026, until 48 hours after the un-audited Q2 results declarat…
- 🔴 Announcement2026-09-16Epigral Ltd announced its officials will attend the Anand Rathi Annual Flagship Conference G-200 Summit 2026 in Mumbai on September 21, 2026, as per S…
- 🔴 Announcement2026-08-31Epigral Ltd announced an investor and analyst plant visit to its Dahej facility in Gujarat on September 3, 2026, as part of its regulatory disclosure …
- Announcement2026-08-18Epigral Limited announced a scheduled one-on-one meeting with Institutional Research Services Pvt. Ltd. on August 20, 2026 in Ahmedabad, confirming th…
- Announcement2026-08-07Epigral Limited announced its participation in the EMKAY Confluence 2026 conference scheduled for August 12, 2026 in Mumbai, as required under SEBI li…
- Announcement2026-07-30Epigral Limited announced a scheduled one-on-one meeting with VVD Asset Managers on August 3, 2026, in Ahmedabad, to discuss updated earnings and corp…
- 🔴 Financial Results2026-07-27Epigral reported Q1FY27 revenue of ₹709 Crore, up 15% YoY, driven by volume growth and improved realization, with EBITDA at ₹179 Crore (25% margin) an…
- Announcement2026-07-27Epigral Limited announced that the audio recording of its conference call discussing Q1 FY27 results, held on 27 July 2026, is now available on its we…
- 🟡 Board Meeting2026-07-27Epigral Limited announced the outcome of its board meeting held on July 27, 2026, approving unaudited standalone and consolidated financial results fo…
- 🟡 Board Meeting2026-07-27Epigral Limited announced board approval to establish a new epoxy resin and formulations multi-purpose plant at Dahej, Gujarat, with an estimated inve…
🧠 Analyst's Read
Epigral is executing a clear turnaround narrative through strategic capex in specialty chemicals and renewable energy, supported by improving profitability and disciplined balance sheet management. The next catalyst will be project execution progress and demand trends in epoxy resin. Investors should monitor commissioning timelines and margin sustainability amid input cost volatility.
Based on filing content and financial data. Not a recommendation.
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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-29.
Editorial & Data Transparency Notice
This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.
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