The Epigral Ltd, a leading chemical manufacturer, is on an upward trajectory with ambitious growth plans. Revenue surged to ₹649 crore in the December quarter from ₹474 crore in the previous year, reflecting a significant uptick in performance. With eyes set on a 20% annual growth rate, the company aims to double its revenue by FY28, as announced by Maulik Patel, the Chairman and Managing Director of Epigral.
Driving Forces Behind Revenue Growth
The surge in revenue is attributed to sustained demand for derivative and specialty products, coupled with the expansion of production capacity. The company’s consolidated revenue for the fiscal year 2023-24 stood at a notable ₹1,936 crore, showcasing a robust financial performance. Epigral witnessed a remarkable 37% increase in consolidated revenue to ₹1,934.31 crore in the first nine months of 2024-25 compared to the same period in the previous year.
Derivatives and specialty business segments played a pivotal role in driving revenue growth, contributing 54% to the overall topline. Research reports by Sunidhi and Emkay project an even brighter future for Epigral, with revenue estimates exceeding ₹3,500 crore by FY27. The company’s strategic move to double its production capacity of Chlorinated Polyvinyl Chloride (CPVC) and Epichlorohydrin is a significant step towards achieving this ambitious revenue target.
Roadmap to Success: Strategic Investments and Focus Areas
Epigral is investing close to ₹780 crore to enhance its production capacity, particularly in CPVC and Epichlorohydrin segments. With this new capital expenditure, the company expects improved chlorine consumption and a higher contribution from derivatives and specialty products. CPVC, a critical component in plumbing systems, holds immense market potential, driving the company’s focus on expanding this segment.
Maulik Patel emphasized the importance of diversified projects in driving future volumes, thus creating substantial value for stakeholders. Epigral’s commitment to low-cost operations, achieved through full integration and the continuous addition of value-added products, sets a strong foundation for sustained growth. The upcoming research and development center will further bolster the company’s presence in specialty chemicals, enhancing its competitiveness in the market.
In the third quarter of FY25, Epigral reported a remarkable two-fold increase in net profit, reaching ₹103.63 crore compared to ₹49 crore in the same period the previous year. The impressive financial performance is a testament to the company’s strategic initiatives and unwavering commitment to excellence.
As Epigral continues its journey towards exponential growth, the company remains focused on innovation, operational efficiency, and market expansion. With a clear vision and robust execution strategies in place, Epigral is poised to redefine standards in the chemical manufacturing industry, setting new benchmarks for sustainable growth and profitability.