Key Financial Figures (Q1 FY27)

  • Revenue from operations: ₹26.6 crore (down 39% YoY and 49% QoQ)
  • EBITDA: ₹4.6 crore
  • Profit After Tax (PAT): ₹2.7 crore (down 12% YoY and 41% QoQ)
  • Earnings Per Share (EPS): ₹3.51 (down 12% YoY from ₹3.97)
  • Other Income: ₹2.4 crore (up from ₹0.3 crore in Q1 FY26)
  • Effective Tax Rate: 17.4% (vs. 30.3% in Q1 FY26)
  • Total Expenses: ₹24.0 crore (down 42% YoY)
  • Operating Margin (before other income): 17.1% (vs. 16.4% in Q1 FY26)
  • PAT Margin: 9.5% (vs. 7.0% in Q1 FY26)
  • Finance Costs: ₹0.97 crore (up 26% YoY)
  • Depreciation: ₹2.62 crore (up 14% YoY)
  • PBT pre-exceptional: ₹3.3 crore (down 25% YoY)
  • Tax Expense: ₹0.6 crore (down 57% YoY)

Operational Highlights

  • Installed Capacity: 24,000 TPA (80 TPD)
  • AlF3 Revenue: ₹26.0 crore (down 40% YoY)
  • Captive Solar Revenue: ₹0.6 crore (down 28% YoY)
  • The primary cause of the revenue decline was a volume shortfall due to a constraint in the supply of Hydro-fluosilicic Acid (FSA), a key raw material, from late May 2026.
  • The company disclosed this supply constraint to the exchanges on 23 May 2026.
  • The supplier reported the issue was resolved on 15 July 2026, and operations at the Visakhapatnam plant are being restored to normal levels.
  • The constraint was traced to disruptions in sulphur and ammonia shipments to Indian fertiliser complexes, a result of the West Asia conflict and Strait of Hormuz tensions.
  • Despite the constraint, the company met all customer delivery commitments by sourcing FSA from distant suppliers, albeit at higher freight costs.
  • The company had secured sales contracts in May 2026, providing some price protection, and had stocked alumina hydrate at favourable prices.

Customer and Supply Chain Details

  • The largest customer accounted for 69% of AlF3 revenue in FY25 (52% in FY24).
  • The company is qualified to supply all major Indian smelters, including Hindalco, Vedanta, and NALCO.
  • FSA Supply Arrangements:
  • IFFCO Paradeep: Long-term contract for over 17,500 TPA, potential to expand to 19,000 TPA.
  • Paradeep Phosphates: Supplemental volumes.
  • Coromandel International: Supply from its Visakhapatnam and new Kakinada plants began in April 2026 (~4,500 TPA combined).
  • The company is pursuing qualification with additional buyers and overseas markets through its subsidiary, Alufluoride International Pte. Ltd., Singapore.

Strategic Roadmap

The presentation outlined several strategic initiatives under evaluation:

  • Alumina Hydrate: Exploration of a greenfield facility for backward integration and material security.
  • Second-Site AlF3: Potential additional AlF3 capacity at a second location.
  • Fluorine Derivatives: Assessment of adjacent fluorine-derivative chemistries.
  • Silica Value-Add: Developing value-added products from silica, a byproduct of the AlF3 process.
  • Green Logistics: Examining the transport of raw materials via Electric Vehicles.
  • Overseas, Reset: Exit from the Jordan JV completed; overseas market pursuit continues via the Singapore subsidiary at a reduced cost.
  • A formal commitment on new projects will follow once specifications, capital cost, financing, and revenue economics are determined to the Board's satisfaction.

Corporate Actions

  • A final dividend of 40% for FY26 was approved at the AGM held on 16 July 2026.

Governance

  • The presentation was signed by Vaishali Kohli, Company Secretary and Compliance Officer (Membership No.: ACS 63818).
  • The managing director is Venkat Akkineni, and the whole-time director & CEO is Aditya Akkineni.

#Tags: #Alufluoride #Q1Results #SEBIDisclosure #RegulatoryCompliance #FinancialUpdate #Neutral