Balaji Amines slides as Q4 PAT slumps 44% YoY to Rs 40 cr

Business Standard

5 days ago

Balaji Amines declined 2.62% to Rs 1,452.10 after the company's consolidated net profit tanked 44.21% to Rs 40.43 crore, while revenue from operations fell 14.78% to Rs 352.72 crore in Q4 March 2025 over Q4 March 2024.
Profit before tax (PBT) stood at Rs 53.93 crore in Q4 FY25, down 41.94% year-on-year but up 31.89% quarter-on-quarter.
EBITDA stood at Rs 68 crore in Q4 FY25, down 35.84% year-on-year but up 25.92% quarter-on-quarter. EBITDA margin declined to 19% in Q4 FY25, compared to 25% in Q4 FY24 and 17% in Q3 FY25.
Total expenses fell 6.96% to Rs 306.82 crore in Q4 FY25 over Q4 FY24. During the quarter, the cost of materials consumed stood at Rs 180.64 crore (down 25.84% YoY), while employee benefits expense was at Rs 22.88 crore (down 6.72% YoY).
The companys revenue from the amines & specialty chemicals business stood at Rs 350.92 crore (down 15.25% YoY), while income from the hotel division was at Rs 9.29 crore (up 14.83% YoY) during the period under review.
During the quarter, amines volumes stood at 8,316 MT; amines derivatives volumes stood at 8,389 MT, and specialty chemicals volumes stood at 7,342 MT.
On a full year basis, the companys consolidated net profit tanked 31.73% to Rs 158.59 crore on 14.89% decline in revenue from operations to Rs 1,397.08 crore in FY25 over FY24.
On the performance, D. Ram Reddy, Managing Director, commented, During Q4 FY25, our business performance showed improvement compared to the rest of the financial year, supported by favorable global macroeconomic conditions. As volume uptake gradually increases, we expect EBITDA and PAT margins to improve in line with broader industry recovery trends. However, geopolitical tensions and tariff-related challenges across global markets may continue to impact growth across several sectors in which we operate.
These factors have weighed on domestic demand, but we anticipate that better utilization of expanded capacities will support margin recovery in the coming quarters. Pharmaceutical sector demand remained steady, contributing to base volumes, while the agrochemical segment exhibited volatility during the quarter. We continue to make progress on our strategic capex initiatives, including Electronic Grade DMC, Propylene Glycol Pharma Grade, and Dimethyl Ether projects, which are moving forward as planned.
On the sustainability front, we are pleased to announce that our 6 MW AC Solar Power Plant was commissioned on 2 nd April, 2025. The plant is being brought online in a phased manner under Grid Connectivity, and the power generated will be utilized for captive consumption. Looking ahead, we remain focused on enhancing operational efficiencies, managing input costs and expanding our product portfolio to deliver sustained value to all stakeholders.
Meanwhile, Balaji Amines, through its subsidiary Balaji Speciality Chemicals, is investing approximately Rs 750 crore in a new expansion project. The greenfield project will manufacture a range of products, including Hydrogen Cyanide (HCN), Sodium Cyanide (NaCN) 30% solution and 100% solid, EDTA/EDTA-2Na, Benzyl Cyanide (BnCN), Phenylacetic Acid (PAA), and Triethyl Orthoformate (TEOF)/Trimethyl Orthoformate (TMOF). This project is currently under execution and is expected to be commissioned by the end of FY 2025-26. Additionally, a brownfield project for manufacturing EDA-based products at Unit-I is progressing as planned and is expected to be commissioned in FY 2026-27.
Further, the company has recommended a final dividend of Rs 11 per equity share, which translates to 550% on a face value of Rs 2 per share. The dividend will be payable subject to approval by the shareholders at the 37th Annual General Meeting of the company.
The board has approved the re-appointment of A. Prathap Reddy as executive chairman of the company for a period of five years, effective from 1 April 2026, subject to shareholder approval.
Additionally, the board has approved the re-appointment of D. Ram Reddy as managing director for a further term of five years, also effective from 1 April 2026, pending shareholder approval.
Balaji Amines is a leading manufacturer of aliphatic amines in India. Broadly, the company is specialized in manufacturing methyl amines, ethyl amines, derivatives of specialty chemicals, and natural products, and its business is broadly classified into three segments: amines, specialty chemicals, and derivatives.