Epigral's Q1FY27 operating margin beats commodity peer median
The standalone margin was 14.06%, or 0.50 percentage points above the 12-peer median, as management cited product diversification amid cost and logistics volatility.
Filed 27 Jul 2026, 14:00 IST · Epigral Ltd (EPIGRAL)
Key takeaways
- Epigral's standalone operating margin of 14.06% was 0.50 percentage points above the median for 12 reported commodity peers.
- Standalone net profit was Rs 99.18 cr, while other income was Rs 4.10 cr and was not the main earnings contributor.
- Management said the Board approved two new plants while Indian epoxy-resin demand is expected to grow at a double-digit percentage rate.
Price around the results
Margin held above the commodity peer median
Standalone revenue of Rs 705.36 cr yielded operating profit of Rs 99.16 cr, translating to a 14.06% operating margin. That was 0.50 percentage points above the 13.56% median for the 12 commodity peers that had reported the quarter. The result places Epigral seventh from the bottom on this comparison, so its margin was above the sector midpoint but not among the highest in the group.
Other income was not central to reported profit
Standalone net profit was Rs 99.18 cr, with other income at Rs 4.10 cr, indicating that the reported earnings were not primarily supported by that line. Interest was Rs 7.22 cr, depreciation was Rs 42.90 cr and the tax rate was 25.53%, providing the main non-operating items to track alongside operating performance.
Management links expansion to integrated production
Management said the quarter faced raw-material and finished-goods price fluctuations, elevated freight costs and shipment delays, but that its diversified product mix helped it navigate the volatility. The presentation said the Board approved a new Epoxy Resin and Formulations plant and a Multi-Purpose Plant, both intended to use internal raw materials within the integrated complex. Management also said Indian epoxy-resin demand is expected to grow at a double-digit percentage rate, with the plants aimed at renewable energy, infrastructure, electronics, automotive, pharmaceutical, agrochemical and water-treatment markets.
Q1FY27 at a glance
Standalone figures as filed with NSE — filed ahead of third-party databases, not yet independently cross-checked.
| Line item | Q1FY27 |
|---|---|
| Revenue | ₹705 cr |
| Other income | ₹4 cr |
| Expenses | ₹606 cr |
| Operating profit | ₹99 cr |
| Operating margin (%) | 14.06% |
| Interest | ₹7 cr |
| Depreciation | ₹43 cr |
| Profit before tax | ₹133 cr |
| Tax | ₹34 cr |
| Net profit | ₹99 cr |
| EPS (₹) | ₹22.99 |
Operating margin of 14.06% compares with a Commodities sector median of 13.56% across 12 peers that have reported Q1FY27.
What management said
From the company’s own investor presentation. Each point is checked against the source document before it appears here.
This quarter
- Epigral says its diversified product mix helped it navigate the quarter’s operating headwinds.
Guidance & outlook
- Management maintains a positive outlook despite ongoing geopolitical challenges.
- Demand for epoxy resin in India is expected to grow at a double-digit percentage rate.
Expansion
- The Board approved investments in a new Epoxy Resin and Formulations plant and a Multi-Purpose Plant.
New initiatives
- The planned plants will use internal raw materials to improve efficiency within Epigral’s integrated manufacturing complex.
- The Epoxy Resin plant will serve renewable energy, infrastructure, electronics, automotive and industrial sectors.
- The MPP will serve pharmaceutical and agrochemical intermediates and water treatment chemicals.
Competition
- Epigral identifies itself as India’s fourth-largest Caustic Soda producer.
Problems & risks
- Geopolitical tensions in West Asia caused severe macroeconomic volatility during the quarter.
- The quarter saw fluctuations in raw material and finished goods prices, elevated freight costs and shipment delays.
- CPVC is described as a 100% imported product for which Epigral provides a domestic alternative.
What to watch
- Whether standalone operating margin holds above 14.06%.
- Whether other income remains limited relative to the Rs 99.18 cr standalone net profit.
- Progress on the Board-approved Epoxy Resin and Formulations plant and Multi-Purpose Plant.