Event Type and Details:
- Q1 FY27 Earnings Conference Call hosted by Gandhar Oil Refinery (India) Limited
- Date: July 23, 2026
- Time: Morning session (specific time not mentioned)
- Purpose: Discussion of quarterly results for quarter ended June 30, 2026 (Q1 FY 2026-27)
Management Participants:
- Mr. Aslesh Parekh, Joint Managing Director
- Mr. Indrajit Bhattacharyya, Chief Financial Officer
- Moderated by Ms. Aashvi Shah from Adfactors IR
Availability of Materials:
- The transcript of the earnings call is available on the Company's website at: https://gandharoil.com/wp-content/uploads/2026/07/Transcript-23.07.2026.pdf
- The company filed this transcript with BSE and NSE pursuant to Regulation 30 of SEBI Listing Regulations
Financial Period Discussed:
- Q1 FY27 (quarter ended June 30, 2026)
Forward-Looking Statements and Compliance:
- Management noted that certain statements made during the call may be forward-looking in nature and subject to risks and uncertainties
- The company undertook no obligation to publicly update these forward-looking statements
Financial Highlights Disclosed:
- Revenue: Consolidated revenue stood at INR 1,731.9 crores, representing 92% YoY growth (from INR 903 crores in Q1 FY26) and 58% QoQ growth (from INR 1,093 crores in Q4 FY26)
- Volume: Total sales volume of approximately 131,000 kilolitres, reflecting 8% YoY growth (from 121,000 kilolitres in Q1 FY26)
- EBITDA: Consolidated EBITDA of INR 281 crores, representing 512% YoY growth (from INR 46 crores) and 342% QoQ growth (from INR 64 crores)
- EBITDA Margin: Expanded to 16.20% from 5.1% in Q1 FY26
- PAT: Profit after tax of INR 206 crores, representing 688% YoY growth (from INR 26 crores) and 456% QoQ growth (from INR 37 crores)
- Gross Margin Spreads: Expanded to approximately INR 28,145 per kilolitre compared to approximately INR 8,274 per kilolitre in normal operating environment (3.4x YoY improvement)
- Gross Margin Percentage: 21.4% for the quarter
Segment Performance:
- PHPO Segment (Personal Care, Healthcare, Performance Oil): 18% YoY growth, driven by sustained demand from personal care, healthcare and pharmaceutical sectors
- PIO Business (Process and Insulating Oil): 28% YoY growth, supported by healthy demand from transformer, power and rubber manufacturers
- Lubricant Business: Remained broadly stable, providing resilient revenue base
- Export Business: 54% YoY growth in export volumes, contributing 51% of consolidated revenue (up from 37% in corresponding quarter last year)
Operational Highlights:
- Company achieved highest quarterly profit in its history, exceeding profit generated during entire FY26
- Performance driven by agile sourcing, prudent inventory management, favorable product mix, and disciplined execution
- Operating environment challenged by geopolitical tensions in Middle East, concerns surrounding Strait of Hormuz, volatility in crude oil and base oil pricing, and intermittent global supply chain disruptions
- Subsidiary Texol (Hamriyah Free Zone, Sharjah) operations temporarily impacted by regional supply constraints and vessel movement disruptions, but business continuity maintained
Strategic Updates and Guidance:
- Company remains effectively debt-free on standalone basis
- Strong profitability strengthened balance sheet and provides financial flexibility for capital allocation
- Management declared interim dividend of 100% of face value (INR 20 crores allocated for dividend payment)
- Volume growth guidance: Historically 8-11% range, expected to continue at similar levels
- Margin outlook: Hopeful of maintaining current margin levels (around 16%) for most of the year, expecting elevated margins for next 1-2 quarters
- Capacity utilization: Approximately 97% on 2-shift basis across all three plants (capacity fungible among products)
- South Africa entry strategy being worked out, with clarity expected in next 1-2 quarters
Additional Notes Section:
- The document contains the full transcript of the earnings conference call, including Q&A session with analysts from Sapphire Capital, Girik Capital, Plus91 Asset Management, Ekant Investments, Tiger Assets, and others
- The transcript includes detailed management commentary on sourcing strategies, customer relationships, market conditions, and future outlook
- Financial data was extensively disclosed in the transcript including all key performance metrics