04-Nov-2026 12:45:57
BALAJI AMINES Q2 FY27: TARGETS 22–23% EBITDA MARGIN IN FY27; ₹1,000 CR+ EXPANSION NEARING COMPLETION, 57,000 TPA SPECIALTY CHEMICAL CAPACITY ADDITION
• FY27 Margin Guidance: Management targets EBITDA margin of 22–23% in FY27 versus approximately 20% in FY26, implying 200–300 bps improvement • Major Capex Programme: ₹1,000 Cr+ consolidated expansion cycle nearing completion, with earnings acceleration expected as new capacities begin contributing • BSCL Capacity Expansion: Plans to add 57,000 TPA specialty chemical capacity, increasing total capacity from 45,330 TPA to 1,02,330 TPA • N-Methyl Morpholine Expansion: New 5,000 TPA NMM facility under execution, with commissioning targeted during FY27 • BSCL Unit-I Expansion: EDA derivatives project covering DETA, TETA, Piperazine, AEEA and AEP progressing as planned, with commissioning targeted during FY27 • BSCL Unit-II Expansion: New HCN, Sodium Cyanide, EDTA and EDTA-2Na manufacturing project under execution, targeting commissioning by the end of FY27 • Sodium Cyanide Capacity: Plans to establish 12,000 TPA capacity, targeting import substitution and demand from mining and chemical industries • Hydrogen Cyanide Capacity: Developing 10,000 TPA capacity to serve pharmaceutical, agrochemical and mining-related applications • DME Business Expansion: Newly commissioned 1,00,000 TPA Dimethyl Ether plant operational; PESO approval received for road tanker valves, enabling development of a customer network for LPG blending, clean fuels and aerosols • Acetonitrile Expansion: Commercial production commenced at upgraded Unit-III facility, with improved manufacturing processes aimed at strengthening cost competitiveness • Future Capacity: Balaji Amines' core licensed capacity is proposed to increase from 4,02,600 TPA to 4,15,100 TPA through 12,500 TPA additional capacity • Next Expansion Phase: Tri Ethyl Ortho Formate (TEOF) identified as a planned future product at Balaji Speciality Chemicals • Margin Improvement Strategy: Higher capacity utilisation, backward integration, indigenous technology and import substitution expected to support profitability • Funding Strategy: Management plans to fund expansion through internal accruals, maintaining its debt-free standalone balance sheet • Key Challenges: Raw material availability and delayed supply chains remain operational risks, although management expects improved performance as capacity utilisation increases
BALAJI AMINES LIMITED