Kanoria Chemicals & Industries Ltd (KANORICHEM)
🎯 Key Takeaways
- Kanoria Chemicals & Industries Ltd is in a mature phase with signs of operational stabilization following a period of volatility. The company has demonstrated consistent promoter holding and improving profitability trends, though recent performance includes non-recurring gains and discontinued operations.
- Revenue grew 51.2% QoQ to ₹460 in Q1FY27.
- ⚠️ Reliance on non-recurring items: The company recorded a ₹630 lakh gain from preference share revaluation and a ₹1,064 lakh exceptional loss, indicatin
- Market Cap
- ₹869
- P/E Ratio
- 5.6
- P/B Ratio
- 1.52
- ROE
- 27.1%
- ROCE
- 10.6%
- Debt/Equity
- 0.51
- Promoter
- 74.4%
📖 The Story
Kanoria Chemicals & Industries Ltd is in a mature phase with signs of operational stabilization following a period of volatility. The company has demonstrated consistent promoter holding and improving profitability trends, though recent performance includes non-recurring gains and discontinued operations. Management appears focused on governance and compliance rather than aggressive expansion.
📰 What's Happening
The company approved unaudited standalone and consolidated financial results for Q1 FY2026 on August 11, 2026, reporting total income of ₹43,901 lakhs (standalone) and ₹46,712 lakhs (consolidated), with profit before tax of ₹3,525 lakhs and ₹3,524 lakhs respectively. A key event was the recognition of a ₹630 lakh gain from revaluation of preference shares and a ₹1,064 lakh exceptional item related to impairment of APAGHoldingAG investment, which resulted in loss of control and discontinued operations. The Board also reappointed Suhana Murshed as an independent director and retained auditors during the May 25, 2026 meeting. Additionally, a 66th AGM is scheduled for September 2, 2026, with shareholders required to update KYC by July 31, 2026, to remain eligible for communications and dividends.
Source: Stock Announcements
📊 Quarterly Results (₹ Cr)
| Metric | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|
| Revenue | 210 | 266 | 304 | 460 |
| Operating Profit | -3 | 11 | 18 | 36 |
| OPM % | -1.2% | 4.1% | 6.0% | 7.8% |
| Net Profit | 92 | 4 | 32 | 26 |
| EPS | ₹21.38 | ₹0.81 | ₹7.24 | ₹6.03 |
Quarterly revenue has shown sequential growth from ₹210 lakhs in September 2025 to ₹460 lakhs in June 2026, indicating recovery in core operations after a weak prior quarter. Operating profit margin improved to 7.8% in June 2026 from -1.2% in September 2025, reflecting better cost control or volume gains. However, profitability remains volatile, with net profit declining from ₹92 lakhs (EPS ₹21.38) in September 2025 to ₹26 lakhs (EPS ₹6.03) in June 2026, likely due to the exceptional item and revaluation gain distorting comparability. The company reported an exceptional loss of ₹1,064 lakhs in Q1 FY2026, contributing to one-off volatility in net income.
🔮 Management Outlook & What's Next
Management has not provided explicit forward guidance in the reviewed filings. The Board approved financial results and reappointed key personnel, signaling continuity in leadership and governance focus. There was no discussion of strategic initiatives, margin improvement plans, or growth targets in the meeting outcomes or annual report. The only forward-looking element was the scheduling of the AGM and compliance requirements for shareholders, suggesting a focus on regulatory adherence rather than operational expansion or performance targets.
Extracted from official company announcements. Not StockFin.ai's opinion.
🏦 Balance Sheet (₹ Cr)
| Item | Mar 2025 | Mar 2025 | Mar 2026 | Mar 2026 |
|---|---|---|---|---|
| Equity Capital | 22 | 22 | 22 | 22 |
| Reserves | 499 | 549 | 551 | 510 |
| Borrowings | 595 | 544 | 290 | 327 |
| Total Liabilities | 1,498 | 1,521 | 1,117 | 1,108 |
| Fixed Assets | 855 | 853 | 727 | 709 |
| Investments | 14 | 16 | 59 | 53 |
| Total Assets | 1,498 | 1,521 | 1,117 | 1,108 |
The balance sheet shows a significant reduction in borrowings from ₹595 lakhs in March 2025 to ₹290 lakhs in March 2026, indicating active deleveraging. Equity and reserves remain stable, with total assets declining slightly from ₹1,498 lakhs to ₹1,117 lakhs, consistent with the exit from APAGHoldingAG and discontinued operations. This suggests management is streamlining operations and reducing financial risk, prioritizing balance sheet strength over aggressive investment or expansion.
💰 Cash Flow Statement (₹ Cr)
| Item | Mar 2026 |
|---|---|
| Operating | +66 |
| Investing | -37 |
| Financing | -25 |
| Net Cash Flow | +5 |
👥 Shareholding Pattern
| Category | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|
| Promoters | 74.4% | 74.4% | 74.4% | 74.4% |
| FII | 0.0% | 0.0% | 0.0% | 0.1% |
| DII | 0.1% | 0.1% | 0.1% | 0.1% |
| Public | 20.5% | 20.9% | 21.0% | 21.1% |
| # Shareholders | 17,555 | 17,295 | 16,861 | 15,700 |
Promoter holding remains stable at 74.4% across all recent quarters, signaling confidence and lack of stake sales. Institutional ownership (FII and DII) is minimal but has shown slight accumulation, rising from 0.04% to 0.08% in DII and from 0% to 0.05% in FII over the last few quarters. The increase in shareholder count from 15,700 to 17,555 suggests growing retail interest, possibly driven by improved financial visibility or dividend anticipation despite no recent payouts.
⚖️ Peer Comparison — Chemicals
| Company | MCap (₹ Cr) | P/E | ROCE | ROE | D/E |
|---|---|---|---|---|---|
| PIDILITIND | 1.50 L Cr | 56.5 | 33.4% | — | 0.01 |
| SRF | 72,171 | 33.4 | 15.6% | — | 0.36 |
| LINDEINDIA | 52,799 | 96.6 | 17.5% | — | 0.00 |
| FLUOROCHEM | 48,503 | 79.3 | 9.6% | — | 0.34 |
| NAVINFLUOR | 42,232 | 53.4 | 22.2% | — | 0.31 |
| GODREJIND | 35,513 | 30.2 | 9.2% | — | 4.57 |
| HSCL | 33,663 | 41.8 | 20.7% | — | 0.16 |
| AETHER | 23,246 | 98.6 | 13.8% | — | 0.08 |
| DEEPAKNTR | 20,783 | 26.5 | 15.3% | — | 0.26 |
| CASTROLIND | 19,792 | 18.6 | 76.2% | — | 0.00 |
🔗 Peer Stock Analyses
⚠️ Risk Factors
1. Reliance on non-recurring items: The company recorded a ₹630 lakh gain from preference share revaluation and a ₹1,064 lakh exceptional loss, indicating earnings volatility. 2. Discontinued operations: Loss of control over APAGHoldingAG has led to operational discontinuity, potentially affecting long-term strategic positioning. 3. Low institutional interest: Minimal FII/DII holding may limit liquidity and analyst coverage. 4. Regulatory and compliance exposure: Insider trading and insider transaction disclosures highlight governance scrutiny, though no violations were reported.
📋 Recent Filings
- Announcement2026-09-21Kanoria Chemicals & Industries announced that its designated persons must not trade company shares from October 1, 2026 until the quarter and half-yea…
- 🟡 voting results2026-09-03Kanoria Chemicals & Industries Ltd reported voting results from its 66th Annual General Meeting held on 2nd September 2026, where all proposed resolut…
- 🟡 Board Meeting2026-09-02Kanoria Chemicals held its 66th AGM on 2 September 2026 via video conference, with 96 members representing 32 million shares participating. The meetin…
- 🟡 Board Meeting2026-09-02Kanoria Chemicals reported a 29% year-on-year revenue rise to **₹87,534 lakhs** and a 52% EBITDA jump to **₹8,158 lakhs** in FY2026, with margins expa…
- 🟡 Board Meeting2026-08-11The Board of Kanoria Chemicals & Industries Limited approved unaudited standalone and consolidated financial results for the quarter ended June 30, 20…
- Announcement2026-08-06No summary available
- 🔴 annual report2026-08-06Kanoria Chemicals & Industries Limited announced that its 66th Annual General Meeting will be held on 2 September 2026 at 11:00 AM IST via video confe…
- Financial Results2026-06-22Kanoria Chemicals & Industries Limited announced that its trading window for designated persons will remain closed from 1 July 2026 until the quarterl…
- 🟡 Board Meeting2026-05-25Kanoria Chemicals & Industries Limited announced the outcome of its board meeting held on May 25, 2026, where it approved standalone and consolidated …
- Announcement2026-05-07No summary available
🧠 Analyst's Read
Kanoria Chemicals appears to be stabilizing after a period of operational and strategic disruption, with improving revenue trends and active balance sheet management. Investors should monitor future earnings quality to determine if profitability gains are sustainable beyond one-off items, and watch for any strategic shifts post-AGM as management may provide clearer direction on growth or restructuring.
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 2026-09-30.
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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