Gujarat Alkalies & Chemicals' Q1 FY 2025-26 Quarterly Results

Result Summary

• Gujarat Alkalies & Chemicals Ltd reported a 10.9% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Jun (Q1 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 13.6%.
• Its expenses for the quarter were up by 2.1% QoQ and 9.2% YoY.
• The net profit decreased 70.2% QoQ and decreased 69.1% YoY.
• The earnings per share (EPS) of Gujarat Alkalies & Chemicals Ltd declined at 1.9 during Q1 FY 2025-26.

Financial Statments for Q1 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

Gujarat Alkalies & Chemicals Ltd (GACL) is a prominent player in the chemical industry, primarily engaged in the manufacture and sale of basic chemicals. The company's product portfolio includes caustic soda, chlorine, hydrogen peroxide, and other related chemical products. GACL operates in an industry characterized by cyclical demand and is influenced by factors such as raw material availability and energy costs. Recent developments within the company or industry are not specified in the available data, so any significant changes or strategic initiatives remain unreported.

Revenue

In the first quarter of the fiscal year 2026 (Q1FY26), Gujarat Alkalies & Chemicals Ltd reported a total income of ₹1113.59 crores, marking a significant increase from the previous quarter (Q4FY25) where the total income was ₹1004.16 crores. This represents a quarter-over-quarter (QoQ) growth of 10.9%. Furthermore, when compared to the same quarter in the previous year (Q1FY25), where the total income was ₹980.60 crores, the company experienced a year-over-year (YoY) increase of 13.6%. This upward trend in revenue highlights the company's ability to enhance its income over both short and long-term periods.

Profitability

For Q1FY26, Gujarat Alkalies & Chemicals Ltd recorded a profit before tax of ₹9.55 crores, a notable improvement from a loss of ₹77.41 crores in Q4FY25 and a loss of ₹30.44 crores in Q1FY25. Despite the improvement in pre-tax profitability, the company reported a net loss after tax of ₹13.78 crores for Q1FY26, which is a reduction from the net loss of ₹46.19 crores in Q4FY25 and ₹44.53 crores in Q1FY25. The tax expense for Q1FY26 was ₹1.76 crores, showing a reversal from prior periods where tax credits were recorded. The earnings per share also improved from a negative ₹6.30 in Q4FY25 and negative ₹6.10 in Q1FY25 to negative ₹1.90 in Q1FY26, reflecting a substantial reduction in losses on a per-share basis.

Operating Metrics

Total expenses for Gujarat Alkalies & Chemicals Ltd in Q1FY26 amounted to ₹1104.04 crores, which is an increase from ₹1081.57 crores in Q4FY25 and ₹1011.04 crores in Q1FY25. This represents a QoQ increase of 2.1% and a YoY increase of 9.2% in expenses. The company's operating environment exhibited a trend of rising costs, which is a critical area for financial scrutiny. Key financial metrics such as the profit before tax, tax expenses, and profit after tax indicate significant variations on a quarterly and annual basis, highlighting the company's efforts to manage its operational efficiency amidst fluctuating expense levels.