Archean Chemical Industries' Q2 FY 2025-26 Quarterly Results

Result Summary

• Archean Chemical Industries Ltd reported a 20.3% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Sep (Q2 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a decline of 4.7%.
• Its expenses for the quarter were down by 17.7% QoQ and up 6.0% YoY.
• The net profit decreased 27.7% QoQ and increased 84.6% YoY.
• The earnings per share (EPS) of Archean Chemical Industries Ltd stood at 2.36 during Q2 FY 2025-26.

Financial Statments for Q2 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Archean Chemical Industries Ltd operates within the chemical manufacturing industry. The company is known for producing specialty chemicals, which are essential components in various industrial applications. While specific recent developments regarding Archean Chemical Industries Ltd are not available, companies in this sector often engage in continuous innovation to maintain competitiveness and adapt to regulatory changes. The market for specialty chemicals can be influenced by factors such as raw material availability, technological advancements, and global economic conditions. Given the nature of the industry, the company may also engage in strategic partnerships or expansions to bolster its market position.

Revenue

In the second quarter of fiscal year 2026 (Q2FY26), Archean Chemical Industries Ltd reported a total income of ₹239.56 crores. This represents a decrease of 20.3% compared to the previous quarter (Q1FY26), where total income was ₹300.59 crores. Comparing to the same quarter of the previous year (Q2FY25), which recorded a total income of ₹251.38 crores, there is a year-over-year decrease of 4.7%. The fluctuations in revenue could stem from various market dynamics within the chemical sector, including changes in demand, pricing strategies, or external economic factors.

Profitability

For Q2FY26, the company’s profit before tax stood at ₹39.91 crores, which marks a decline of 31.2% from ₹58.01 crores in Q1FY26. However, when compared to Q2FY25, where profit before tax was ₹22.78 crores, there is a significant year-over-year increase of 75.2%. The profit after tax for Q2FY26 was ₹29.04 crores, down 27.7% from the previous quarter's ₹40.14 crores, but up 84.6% from the ₹15.73 crores achieved in Q2FY25. These figures reflect the company's capacity to manage costs and taxation effectively, despite fluctuations in income. The earnings per share for Q2FY26 are ₹2.36, showing a quarter-over-quarter decline of 27.4% from ₹3.25 in Q1FY26, yet an increase of 85.8% from ₹1.27 in Q2FY25.

Operating Metrics

The total expenses for Q2FY26 were ₹199.65 crores, showing a 17.7% decrease from Q1FY26, where expenses were ₹242.59 crores. Year-over-year, total expenses increased by 6.0% from Q2FY25’s ₹188.41 crores. This change in expenses could reflect adjustments in operational efficiencies or variations in cost structures typical within the chemical industry, such as raw material costs and manufacturing processes. Additionally, the tax for Q2FY26 was ₹10.87 crores, which decreased by 39.1% from ₹17.86 crores in Q1FY26, while increasing by 54.2% compared to ₹7.05 crores in Q2FY25. These tax variations might be influenced by changes in taxable income or shifts in tax policy.