Financial Performance Overview
20 Microns Limited reported strong financial results for FY 2025-26 with consolidated revenue growth of 4.5% to ₹9,538.33 crore from ₹9,127.85 crore in FY25. Profit After Tax increased by 6.70% to ₹666.70 crore, while standalone performance showed revenue of ₹8,240.37 crore (3.66% growth) and PAT of ₹602.31 crore (6.87% growth). The company recommended a final dividend of ₹1.25 per equity share (25% on face value of ₹5 each) with a record date of July 17, 2026.
Strategic Developments and CAPEX
The company implemented a strategic ₹100 crore CAPEX plan over 24 months across six growth pillars: Product Innovation, Export Acceleration, Strategic Partnerships & Acquisitions, Digital Transformation, Sustainability & ESG, and Capacity Expansion. Four new products were launched including TALC HFM 25 SD and White Kaolin Cosmetic Grade. The company increased its stake in subsidiary 20 Microns Nano Minerals Limited from 97.21% to 99.99% with an investment of ₹489.79 lakh.
Capital Structure and Investments
The equity share capital remained unchanged at ₹1,764.33 lakhs across 3.53 crore shares. Promoters held 36.02% of shares, with major shareholders including Ionix Advanced Materials Private Limited (24.56%). Property, plant and equipment stood at ₹20,599.05 lakhs net block with additions of ₹3,045.21 lakhs during the year. Total investments in subsidiaries and associates amounted to ₹5,604.12 lakhs.
Borrowings and Debt Management
Total borrowings were ₹12,247.92 lakhs, comprising secured term loans and unsecured deposits. The debt-equity ratio improved to 30.15% from 35.19% previous year, while the adjusted net debt to equity ratio stood at 13.20%. Cash credit facilities were priced at 0.10% above 6-month MCLR (8.75-9.25% p.a.), with term loans at 1.00% above MCLR (9.65% p.a.).
Risk Management and Contingent Liabilities
The company disclosed contingent liabilities of ₹9.57 crore as of March 31, 2026, including statutory claims (₹4.64 crore), disputed mining penalty (₹4.19 crore), and export obligations under EPCG scheme (₹0.54 crore). A net fair value loss of ₹488.03 lakh was recognized on FVTOCI equity investments. Foreign currency exposure included trade payables in USD (₹858.79 lakh) and receivables in foreign currencies (₹2,245.86 lakh).
Corporate Governance and Compliance
The 39th Annual General Meeting was convened on July 31, 2026. The Board composition included Mr. Rajesh C. Parikh as Chairman & Managing Director and Mr. Atil C. Parikh as CEO & Managing Director. The company held 4 Board meetings, 4 Audit Committee meetings, and maintained compliance with SEBI regulations, Companies Act 2013, and secretarial standards. ICRA reaffirmed credit ratings at Crisil A/Stable for long-term facilities.
Related Party Transactions and Employee Benefits
Significant related party transactions included sales to 20 Microns Nano Minerals Limited (₹445.03 lakh), royalty received from subsidiaries (₹434.47 lakh), and rent received (₹453.20 lakh). Employee benefits included defined contribution plans expense of ₹381.75 lakh and gratuity obligation of ₹1,216.85 lakh. The company had 413 permanent employees as of March 31, 2026.
Financial Ratios and Performance Metrics
Key financial ratios showed improvement: Current Ratio at 1.92 times (1.70 previous year), Net Profit Ratio at 6.99% (6.85%), Inventory Turnover at 8.27 times (8.09), and Return on Equity at 14.60% (15.97%). Export performance showed foreign exchange earned of ₹917.55 lakh and used ₹1,197.28 lakh. Two customers accounted for more than 10% of sales totaling ₹23,102.03 lakh.