Financial Performance Highlights

Quarterly Results (Q2 FY27):

  • Total Revenue: ₹234.3 crores (highest-ever quarterly revenue)
  • Gross Profit: ₹78.6 crores
  • Operating EBITDA: ₹31.1 crores
  • Operating EBITDA Margin: 13.3%
  • Profit Before Tax (PBT): ₹24.4 crores
  • Profit After Tax: ₹19.0 crores
  • Profit After Tax Margin: 8.3%

Half-Yearly Results (H1 FY27):

  • Total Revenue: ₹422.4 crores
  • Gross Profit: ₹148.5 crores
  • Operating EBITDA: ₹60.6 crores
  • Operating EBITDA Margin: 14.4%
  • Profit Before Tax (PBT): ₹48.1 crores
  • Profit After Tax: ₹35.9 crores
  • Profit After Tax Margin: 8.6%

Year-over-Year Growth:

  • Q2 Revenue growth: 36.6% (from ₹169.3 crores in Q2 FY26)
  • H1 Revenue growth: 21.2% (from ₹346.3 crores in H1 FY26)

Operational Highlights

  • Revenue growth driven by realization growth and new product introductions
  • Gross margins were subdued during the quarter but gross profit per tonne remained largely stable
  • Enhanced Solar Grade DHF manufacturing capacity from 20,000 MTPA to 25,000 MTPA through debottlenecking (25% capacity increase)
  • Capacity expansion achieved with nominal capital expenditure
  • HFC-32 refrigerant gas project progressing as per pre-determined timeline

Corporate Developments

  • Completed preferential issue of approximately ₹100 crores led by promoter Anupam Rasayan
  • The fundraising strengthens financial position to support expansion plans

Management Commentary

Mr. Afzal Malkani, Managing Director, stated:

  • Q2 FY27 was a landmark quarter with highest-ever quarterly revenue
  • Growth driven mainly by realization growth
  • Expanded product portfolio with new value-added specialty products within existing customer base
  • Higher input prices and logistics costs created challenging operating environment in H1
  • Gross margin moderation primarily attributable to higher product realizations increasing revenue base
  • Elevated sulphur prices impacted input costs, but seeing signs of price moderation
  • Newly introduced products in initial ramp-up phase with margins yet to reach optimal levels

Outlook

  • Expects H2 FY27 to deliver stronger performance than H1 FY27
  • Improvement driven by moderation in raw material prices and scale-up of newly introduced products
  • Strategic expansion initiatives progressing as planned
  • Continued focus on operational efficiency

Company Background

TANFAC Industries Limited is a joint sector company promoted by Anupam Rasayan India Limited and Tamil Nadu Industrial Development Corporation (TIDCO). The company is among leading producers of Hydrofluoric Acid and its derivatives with manufacturing facilities spread over 60 acres in SIPCOT Industrial Estate, Cuddalore. Products include Anhydrous Hydrofluoric Acid, Solar Grade DHF, Sulphuric Acid, Specialty Chemicals, Potassium Fluoride, Aluminium Fluoride and other value-added products. The company is ISO 9001-2015, 14001-2015 and ISO 45001-2018 certified.