Did Jubilant Ingrevia's Q2 Net Profit Experience a 7.5% Decline?
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Synopsis
Jubilant Ingrevia Limited reveals a mixed performance for Q2 FY26, with a notable decline in net profit yet impressive revenue growth. Key segments showcase resilience, promising ongoing expansion. Will the company maintain its upward trajectory amidst market challenges? Discover the insights behind the numbers and future expectations.
Key Takeaways
- Net profit declined by 7.49% in Q2 FY26.
- Revenue from operations increased by 8% quarter-on-quarter.
- Total income rose to Rs 1,131.54 crore.
- EBITDA margin dropped to 13%.
- Strong performance in Specialty Chemicals drives growth.
Mumbai, Oct 27 (NationPress) Jubilant Ingrevia Limited announced a 7.49% sequential drop in its consolidated net profit for the second quarter (Q2) of FY26, totaling Rs 69.47 crore, compared to Rs 75.1 crore in the previous quarter (Q1 FY26).
However, the company’s revenue from operations saw an 8% increase quarter-on-quarter (QoQ), rising to Rs 1,120.73 crore from Rs 1,037.95 crore in the June quarter, propelled by robust growth in its Specialty Chemicals sector.
Total income for the quarter was Rs 1,131.54 crore, up from Rs 1,049.17 crore in the previous quarter, as per its stock exchange filing.
Meanwhile, total expenses grew to Rs 1,038.60 crore from Rs 949.34 crore in Q1, mainly due to increased material costs, which surged to Rs 547.95 crore compared to Rs 448.91 crore in the last quarter.
On a year-on-year (YoY) basis, the company’s total revenue increased by 7%, while EBITDA rose by 8%.
Nonetheless, the EBITDA margin decreased to 13% in Q2 FY26 from 15% in Q1 FY26. The Profit After Tax margin remained steady at 6%.
For the first half of FY26, Jubilant Ingrevia reported total revenue of Rs 2,159 crore, marking a 4% increase from the same timeframe last fiscal.
EBITDA climbed 18% to Rs 300 crore, while net profit soared 34% to Rs 145 crore.
Commenting on the results, Shyam S. Bhartia, Chairman, and Hari S. Bhartia, Co-Chairman of Jubilant Ingrevia Limited, stated that the company’s Specialty Chemicals segment continues to drive growth with double-digit revenue increases.
“The Nutrition business has shown consistent volume growth, while the Chemical Intermediates segment achieved its highest sales in the past six quarters,” they noted.
“Despite facing challenging market conditions, we have managed to grow revenues and sustain profitability,” they added.
Looking toward the second half of FY26, Jubilant Ingrevia anticipates ongoing growth momentum, bolstered by its Specialty Chemicals and Nutrition sectors, alongside a gradual recovery in its Acetyls portfolio.
The company is also gearing up to commence supplies for a significant CDMO order in early 2026, which is expected to greatly enhance growth, according to its filing.
Point of View
I find Jubilant Ingrevia's latest financial results noteworthy. Despite a decline in net profit, the increase in revenue and strong performance in key sectors like Specialty Chemicals highlight the company's resilience. It remains crucial for companies to adapt to market conditions while maintaining profitability, a challenge that Jubilant seems to be navigating well.
NationPress
28/10/2025
Frequently Asked Questions
What caused the decline in Jubilant Ingrevia's net profit?
The decline in net profit can be attributed to increased total expenses, primarily due to rising material costs.
How did the company's revenue perform in Q2 FY26?
Jubilant Ingrevia's revenue rose by 8% quarter-on-quarter, reaching Rs 1,120.73 crore, driven by strong growth in the Specialty Chemicals business.
What is the outlook for the second half of FY26?
The company anticipates continued growth momentum, supported by its Specialty Chemicals and Nutrition segments, along with a recovery in its Acetyls portfolio.
What is the EBITDA margin for Q2 FY26?
The EBITDA margin for Q2 FY26 slipped to 13%, down from 15% in Q1 FY26.
How has the Nutrition business performed?
The Nutrition business maintained steady volume growth, contributing positively to the overall revenue.
