Financial Results Summary

Standalone Financials (Quarter Ended September 30, 2026):

  • Revenue from operations: ₹288.00 crore (Q2 FY26: ₹206.68 crore)
  • Other income: ₹8.28 crore (Q2 FY26: ₹4.37 crore)
  • Total income: ₹296.28 crore (Q2 FY26: ₹211.05 crore)
  • Profit before tax: ₹28.43 crore (Q2 FY26: ₹12.33 crore)
  • Net profit: ₹21.14 crore (Q2 FY26: ₹9.31 crore)
  • EPS: ₹7.60 (not annualized) (Q2 FY26: ₹3.53)

Standalone Financials (Half-Year Ended September 30, 2026):

  • Revenue from operations: ₹540.28 crore (H1 FY26: ₹391.26 crore)
  • Other income: ₹16.18 crore (H1 FY26: ₹7.68 crore)
  • Total income: ₹556.46 crore (H1 FY26: ₹398.94 crore)
  • Profit before tax: ₹54.55 crore (H1 FY26: ₹31.41 crore)
  • Net profit: ₹40.58 crore (H1 FY26: ₹23.55 crore)
  • EPS: ₹14.75 (not annualized) (H1 FY26: ₹8.93)

Consolidated Financials (Quarter Ended September 30, 2026):

  • Revenue from operations: ₹295.96 crore (Q2 FY26: ₹208.66 crore)
  • Other income: ₹3.96 crore (Q2 FY26: ₹1.89 crore)
  • Total income: ₹299.92 crore (Q2 FY26: ₹210.55 crore)
  • Profit before tax: ₹12.72 crore (Q2 FY26: ₹5.15 crore)
  • Net profit: ₹8.23 crore (Q2 FY26: ₹3.37 crore)
  • EPS: ₹2.96 (not annualized) (Q2 FY26: ₹1.28)

Consolidated Financials (Half-Year Ended September 30, 2026):

  • Revenue from operations: ₹546.25 crore (H1 FY26: ₹395.38 crore)
  • Other income: ₹7.82 crore (H1 FY26: ₹3.07 crore)
  • Total income: ₹554.07 crore (H1 FY26: ₹398.45 crore)
  • Profit before tax: ₹36.00 crore (H1 FY26: ₹19.44 crore)
  • Net profit: ₹25.34 crore (H1 FY26: ₹13.63 crore)
  • EPS: ₹9.21 (not annualized) (H1 FY26: ₹5.18)

Key Financial Metrics (Standalone as of September 30, 2026):

  • Current ratio: 1.85 times
  • Net worth: ₹1,600.15 crore
  • Debt equity ratio: 0.46 times
  • Debt service coverage ratio: 1.79 times (H1), 1.49 times (TTM)
  • Interest service coverage ratio: 2.38 times (H1), 2.18 times (TTM)
  • Operating margin: 18.85% (H1)
  • Net profit margin: 7.51% (H1)

Board Approvals

1. Financial Results: Approved un-audited standalone and consolidated financial results for quarter and half-year ended September 30, 2026, along with limited review report from statutory auditors Chandabhoy & Jassoobhoy.

2. Statement of Deviation: Submitted statement of deviation/variation in fund utilization for quarter ended September 30, 2026 under Regulation 32.

3. Loan/Investment Threshold: Increased threshold for granting loans/ICDs, providing corporate guarantees/securities, and making investments up to ₹500 crore under Section 186 of Companies Act, 2013.

4. Related Party Transactions: Approved material RPTs between Company and Neogen Morita New Materials Limited (step-down subsidiary) for period December 8, 2026 to December 7, 2027, subject to shareholder approval:

  • Corporate guarantees/securities/indemnities: Up to ₹500 crore

5. Subsidiary RPTs: Approved material RPTs between Neogen Ionics Limited (wholly owned subsidiary) and Neogen Morita New Materials Limited for same period:

  • Unsecured loans/advances/ICDs/credit facilities: Up to ₹200 crore
  • Interest on above: Up to ₹24 crore
  • Corporate guarantees/securities/indemnities: Up to ₹500 crore
  • Sale of goods: Up to ₹500 crore
  • Purchase/supply of goods/materials: Up to ₹500 crore
  • Leasing/renting of properties/assets: Up to ₹50 crore
  • Availing/rendering services: Up to ₹50 crore
  • Infrastructure sharing arrangements: Up to ₹100 crore
  • Purchase/sale/transfer of assets: Up to ₹100 crore

6. NCD Redemption: Approved premature voluntary redemption of 20,000 fully paid, secured, listed, rated, redeemable, non-cumulative, non-convertible debentures with face value ₹100,000 each aggregating ₹200 crore (ISIN INE136S07013). These were issued on August 12, 2025 on private placement basis.

7. Postal Ballot: Approved notice for postal ballot to seek shareholder approval for:

  • Material RPTs between Company and Neogen Morita New Materials Limited (Ordinary Resolution)
  • Material RPTs between Neogen Ionics Limited and Neogen Morita New Materials Limited (Ordinary Resolution)

Postal Ballot Schedule:

  • Record date: November 5, 2026
  • Dispatch completion: November 6, 2026
  • E-voting start: November 7, 2026 at 9:00 AM IST
  • E-voting end: December 6, 2026 at 5:00 PM IST
  • Results declaration: On or before December 8, 2026
  • Scrutinizer: Devendra Deshpande of M/s. DVD & Associates

8. Capacity Expansion: Approved expansion of Organo-Lithium chemicals manufacturing facility from 300 MT/PA to 600 MT/PA at Patancheru, Telangana with estimated investment of ₹45 crore funded from internal accruals/debt. Expected additional revenue potential of ₹150-200 crore depending on lithium prices. Capacity to be added by end of FY28.

Subsidiary Approvals (Neogen Ionics Limited - Wholly Owned Subsidiary):

1. Increased threshold for loans/ICDs, corporate guarantees, and investments up to ₹700 crore under Section 186 of Companies Act, 2013.

2. Approved advancing loans/ICDs up to ₹200 crore under Section 185 of Companies Act, 2013.

3. Approved material RPTs with Neogen Morita New Materials Limited (same terms as above).

Step-Down Subsidiary Approvals (Neogen Morita New Materials Limited):

1. Approved material RPTs with Neogen Ionics Limited (same terms as above).

2. Approved material RPTs with Neogen Chemicals Limited for corporate guarantees/securities/indemnities up to ₹500 crore.

3. Approved alteration of Articles of Association.

Key Operational Highlights

QIP Issue:

  • Completed Qualified Institutions Placement on September 16, 2026
  • Allotted 26,60,753 equity shares of face value ₹10 each at issue price of ₹2,255 per share (premium ₹2,245)
  • Gross proceeds: ₹600 crore
  • Net proceeds after expenses: ₹580 crore
  • Utilization: Repayment/prepayment of borrowings; long-term working capital; general corporate purposes
  • Amount utilized as of September 30, 2026: ₹230.35 crore
  • Unutilized proceeds: ₹349.65 crore
  • Paid-up capital increased by ₹2.66 crore, securities premium increased by ₹597.34 crore

Preferential Issue:

  • Allotted 10,00,000 equity shares to Cadamba Solutions Private Limited (Promoter Group) on April 18, 2026
  • Issue price: ₹1,610 per share (premium ₹1,600)
  • Gross proceeds: ₹161 crore
  • No deviations in use of proceeds

Fire Incident at Dahej SEZ Plant:

  • Fire occurred on March 5, 2025 at Multi-Purpose Plant (MPP3) Facility, Tank Farms and warehouse
  • Recognized loss of ₹348.16 crore (standalone) / ₹362.90 crore (consolidated) for FY25
  • Insurance claim receivable recognized: ₹334.60 crore (standalone) / ₹348.82 crore (consolidated)
  • Net impact presented as exceptional item: ₹13.56 crore (standalone) / ₹14.08 crore (consolidated)
  • Received ₹164.49 crore as on account payment (₹155 crore from insurance + ₹9.49 crore scrap sale)
  • Incurred additional expenses of ₹1.41 crore claimed under policy
  • Balance claim receivable as of September 30, 2026: ₹171.52 crore (standalone) / ₹185.74 crore (consolidated)
  • Insurance company approved additional claim of ₹152 crore to be released subsequently

Subsidiary Investments:

  • Subscribed to Unsecured Compulsorily Convertible Debentures of Neogen Ionics Limited amounting to ₹45 crore and ₹159 crore during the quarter and half-year respectively

Credit Rating:

  • Crisil Ratings downgraded on July 17, 2026 to "Crisil A2+" from "Crisil A1" for short-term facilities
  • Downgraded to "Crisil A-/Negative" from "Crisil A/Negative" for long-term facilities including NCDs
  • NCD coupon rate increased from 10.50% to 11.00% p.a. effective July 17, 2026
  • Outlook revised from negative to stable on September 25, 2026 for long-term facilities

Security Coverage:

  • Security coverage ratio for ₹200 crore NCDs: 2.63 times as of September 30, 2026 (2.26 times as of March 31, 2026)
  • NCDs and term loan of ₹20 crore have subservient charge over immovable assets at Karakhadi and Dahej and all movable assets