Ganesh Benzoplast Ltd (NSE: GANESHBE) Q3 2026 Earnings Call dated Feb. 19, 2026
Corporate Participants:
Rishi R Pilani — Chairman and Managing Director
Amar Kabra — General Manager, Finance and Taxation
Analysts:
Unidentified Participant
Bhavesh Patel — Analyst
Anukul — Analyst
Rekha Multani — Analyst
Vishal Prasad — Analyst
Presentation:
Rishi R Pilani — Chairman and Managing Director
Ladies and gentlemen, good day and welcome to Ganesh Benzoplast Limited Q3 and FY26 earning conference call. As a reminder, all participant line will be in the listen only mode and there will be an opportunity for you to ask question after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star then zero on your touchstone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Rishi Pilani, Chairman and Managing Director at Ganesh Benzer Plus Ltd. Thank you. And over to you sir.
Rishi R Pilani — Chairman and Managing Director
Good afternoon everybody. Thank you so much for joining us for the Q3FY26 conference call. We will initiate the call by taking you through the business highlights for the period under review after which we will open the forum for question and answers. I hand over the call to Mr. Amar Kamra, the GM Finance and Taxation to share the quarter numbers with you.
Amar Kabra — General Manager, Finance and Taxation
Yeah, hi, Good afternoon everyone. So I will share the brief about the numbers of this quarter on console basis. During the quarter Q3 of financial year 26 the company achieved a total revenue of 1053 million as compared to 892 million for the corresponding quarter in the previous year with an increase of 18% y and y the company earned a profit after tax of 162 million as against 184 million for the corresponding quarter in the previous year in spite of substantial increase in lease rental provision for JNPT terminal. For nine month ended financial year 2026 the company achieved a turnover of 2/9 million as compared to 2744 million in the corresponding period in the previous year with an increase of 9% YNY and the profit after tax increased to 580 million as compared to 513 million in the corresponding period in the previous year with an increase of 13% y and during nine months of this current year the turnover of chemical business of the company increased to 1399 million as against 1254 million in the corresponding period in the previous year with an increase of 11% YNY and the profit before tax increased to 187 million as compared to 137 million in the corresponding period in the previous year with an increase of 36% YNY and the EPS for nine months of current year increased to 8.06 as compared to 7.12 in previous year on standalone basis.
During the Q3 of financial 26 the company achieved a total revenue of 688 million as compared to 550 million for the corresponding quarter in the previous year with an increase of 25% buy and y the company earned a profit after tax of 141 million as against 161 million for the corresponding quarter in the previous year. In spite of substantial increase in lease rental provision for JNPT terminal For current year 9 months the company achieved a turnover of 1874 million as compared to 1578 million in the corresponding period in the previous year with an increase of 19% y and y and the profit after tax increased to 490 million as compared to 4,666 million in the corresponding period in the previous year with an increase of 5% YNY.
This is in spite of substantial increase in the lease rental APS for 9 months of current year is increased to 6.82 as compared to 6.47 of last year. So this was the highlight for Q3 of financial 26. Now I would like to open the forum for question answer.
Questions and Answers:
operator
Thank you so much sir. Ladies and gentlemen, we will begin with the question and answer session. Now anyone who wishes to ask a question may press Star and one on their touchstone telephone. If you wish to remove yourself from the question queue, you may press Star and two participants are request to use handsets while asking a question. Ladies and gentlemen, we’ll wait for a moment while the question queue assembles. Our first question comes from the line of Bhavesh Patel from Patel Investment. Please go ahead.
Rishi R Pilani
Hi.
Bhavesh Patel
Thank you for the opportunity and congratulations on good set of numbers. The question first question that I have is now that the LPG joint venture with BWLPG has been terminated and Ganesh Bengu has reclaimed that 4.5 hectares of land at JNPT. Can you please provide me a definitive timeline for the planned whatever 150200 crore capex plan that we have and are we specifically prioritizing high margin products like ammonia or cryogenic storage?
Rishi R Pilani
So thank you Bhavish. So the work has already started on the construction. We are expecting that the first phase will be ready in the first quarter of FY27 2627 and the entire construction will be completed with commissioning by the end by the beginning of FY 2728.
Bhavesh Patel
Okay, that’s great. And the next question is around that new and again very happy and pleased that we have received 51.33 crore order from Reliance Industries for that carbon fiber project that we have now. Do we want to pivot our infra engineering subsidiary into a larger EPC firm? Especially with because you know newer ports and Closer to Mumbai we have Wadhwan port with almost 75,000 crore outlay. So would that both from a storage as well as EPC for storage for at such ports can be considered for our substantial increase in the revenue for subsidiary of GBL infra.
Rishi R Pilani
See the subsidiary like I have always explained in my earlier calls. We do a lot of and we prefer to do lot of customer and strategic EPC works rather than going in the market to do work. So you are right. If there are opportunities to work on port port related infrastructure tank farms then yes this EPC will be will get involved in it.
Bhavesh Patel
Okay. Okay. And again a question which is at our mind which is Q3 auditors report was very clean regarding the unauthorized transactions. Can you now consider this legacy issue is closed while the court case continues. Or is there any other pending contingency that the balance sheet needs to have and we as investor needs to be aware of.
Amar Kabra
See the event happened in financial year 2324. So for that particular financial year auditor has already given their comment and it’s shown as a contingent liability in the balance sheet. So obviously that is a one time activity and it cannot be continued as an ongoing next year’s audit para and all these things. And obviously Rishi will give the brief over the what’s going on.
Rishi R Pilani
So see the thing is that we have always maintained that there is absolutely no liability that can come on the company based on this. Since the company has not authorized any transactions in their official capacity ever. And I agree with you that as far as we as management can see there is absolutely no chance of any liability coming on the company because of this. Yes, the court cases will continue and we continue to address them legally.
Bhavesh Patel
Great. Thank you Rishi. And probably the last question. Any specific action we are taking for increasing Goa utilization while both Kochi and JMP is doing great.
Rishi R Pilani
Yes. We are taking certain approvals to handle a different type of petroleum product there. The approvals are in process right now. So if we get the approvals and we subsequently get the contracts based on those approvals then yes GOA utilization will also start looking up.
Bhavesh Patel
Fantastic. Thank you very much and best wishes.
Rishi R Pilani
Thank you very much.
Bhavesh Patel
Thank you.
operator
Thank you. Our next question come from the line of Anukul from Invit. Please go ahead.
Anukul
Yeah. Hi sir. Thanks for the opportunity. Sir, I had first question on our margins front. Sir, why have a margin stepped on the gross level? If you can just clarify that.
Amar Kabra
Margin on
Anukul
margins on the gross level. Our gross margins are declining.
Amar Kabra
So see on standalone basis you can clearly see there is no decline in the rental income of the company. There is increase in the rental income of the company. The margin has been declined due to the increase in the lease rental. Yeah. So if you will compare so on standard of console basis I will give the example. Like the December 2025 console basis the revenue is 1053 million as against there was a revenue of 892 million in corresponding quarter of last year. So there is increase in the revenue at the same time there is increase in the profit after tax.
If we exclude the substantial increase in the lease rental then the profit of the tax would be around 19 crore instead of 15.17 crore. So we have maintained that numbers. It’s not a declining one because this lease was due and this year we have taken the provision of that lease rental. Substantial lease rental increases there. So there is a means if you exclude that thing then obviously there is a increase in the profit only. So there is no decline. Actually chemical engine also good because you. Can see the segment wise chemical has performed well from 14 crore it went to 18 crore in the nine month period. And this LSD division also it is able to maintain the profit even though there is a substantial increase in the lease rental.
Anukul
So if you can just quantify how much of the provision have we taken in.
Amar Kabra
Yeah, so previously we were taking a lease rental provision of 2 crore for the full year for 1 of the plot, old plot and now that has been reset to some 24 crores. So there is an increase of almost 22 crore for the full year. And this is the first year where such a substantial increase has happened. So that is the quantum I think.
Anukul
Last call you mentioned that 8 crore hit we had taken for, for the increase in lease expense. And so how much have we taken in for this quarter particularly so for.
Amar Kabra
Total year it’s a 24 crore. So proportionately for nine months we have taken that amount like 1718 crore which was previously 2 crore for full year. So this is the difference between the lease rental of previous year and the current year.
Anukul
Understood sir. So sir, EBITDA margins of 21, 22 odd percent. Will this be the new normal going forward or will it inch up further?
Amar Kabra
The beta margin almost we are, we are maintaining on the similar level like 50, 51% for rental income for chemical EBITDA margins around 15%. So obviously that trend will continue.
Rishi R Pilani
See we are obviously the increase in lease rental does not mean that there is a, there will be a small period where you will have to catch up your rentals which is your income rental to catch up with the increase in the lease rentals. So that process is going on this year. We are pushing our customers to increase the rentals even more than what they usually do so that you know, we can start covering up this increase in what has happened in the lease rentals.
Amar Kabra
That’s why, that’s what you are seeing that even after providing this 17 crore of extra liability, still there is no much difference between the patent some one or two crores lesser than the corresponding nine months period of last year. So that is covering up.
Rishi R Pilani
But still what you’re saying is correct that the catch up cannot be overnight. It will be over time. But I would not expect the EBITDA margins to remain where they are. I would expect that again they will slowly, slowly, slowly start climbing up to the previous levels. I hope that answers your question.
Anukul
Yes, yes, definitely, definitely. So one more question I had that we have recently taken a Reliance EPC work. So is Reliance offering lower margin business or how are the margins on Dash line?
Rishi R Pilani
So in any EPC business you expect a margin range of anywhere between 5 to 10%. Usually that’s the norm. And we expect that this contract will be in those lines also.
Anukul
Okay, so this being a low margin, so why have we taken this work? Like anything you can tell me about this.
Rishi R Pilani
If you go through my previous calls, what we do is we use these opportunities very selectively to create different type of requirements and things for the infra business to support. Reliance is storing a lot of products with us. They are looking to expand their storage business with us and as a support to them to understand, you know, build better customer relationships, you take these calls. I mean as long as you make some money, you don’t make every money, but every business cannot make the same money. But as long as you’re making money and you’re building better relationships with your clients, what’s the harm?
Anukul
Got it. So like are we expecting any sort of good more work order from Reliance going forward? Like will it get in a good synergy for us?
Rishi R Pilani
I mean that’s what we hope. Is there anything committed on paper? No, but you always have this thing that you know when you are working with a company on multiple levels, then obviously you become their first choice for storage and that is what we aim for.
Anukul
Got it sir. Got it sir. So when you had mentioned that, that the margins would inch up to the previous level. So any specific timeline as to when this will inch up? Preferably in one year’s time or two years time. If we can just highlight that.
Rishi R Pilani
Ideally I would like it to inch up tomorrow. If. But. But. But. Very difficult to say this. Hello.
Anukul
Yes.
Rishi R Pilani
Hello.
Anukul
Hello.
Rishi R Pilani
So. Very, very, very difficult to say whether it is one year or two years. But all we would imagine that it should be. Our hope would be that within two years we catch up to those margins.
Anukul
Got it, sir. Lastly sir, I have few questions on the Capex front. So what’s the progress of our Capex on A class tanks that we started with? And when will the numbers start reflecting for this?
Rishi R Pilani
I answered this same question on the first call. I said that we are expecting that we should get 50% of the capacity ready. We are approximately expanding by 1 lakh KL. So we are expecting that about 50% to 40 to 50% of the capacity should be ready by the first quarter of next year. And the balance should be ready by first quarter of the year after that.
Anukul
Understood. And sir, what is the incremental revenue we are expecting from this?
Rishi R Pilani
So our estimate is that we should be once the full capacity is commissioned we should have a range of approximately 45 to 50 crores of additional top line due to this.
Anukul
And what would be the margins for this incremental revenue?
Rishi R Pilani
I mean we are. Since we are expanding on the same site we would expect that the EBITDA margins for this one would be close to 65 to 70%.
Amar Kabra
In fact I can expect up to 75% also more than 75%.
Anukul
Okay. Okay. Understood sir. Understood. And this last question, like we also had Capex plans for ammonia or for bullets. Any updates on that? I think we had planned for around 405. Around 500 crores capex for this. Any any updates on that?
Rishi R Pilani
No. So we’ve kept a land aside in JNPT for looking at these opportunities. But as of now there is no. No plan for that.
Anukul
All right. Got it, sir. Yes, that’s answered my question, sir. Thank you so much.
Rishi R Pilani
Thank you. Thank you, Anupur.
operator
Thank you. Our next question come from the line of Rekha Multani from Sunil and Rekha Associates and company. Please go ahead.
Rekha Multani
Hi. As one of the minority shareholders who have 50% in the company I wanted to circle back on the dividend question. You mentioned on your last call that you confirm on this call on the dividend payout. Just checking back on that.
Rishi R Pilani
Yeah. So we are looking at starting dividend payouts from the first quarter of next year. So that means in the quarter of April to June from that we are going to start dividend.
Amar Kabra
We are thinking on that because there are practical difficulties also like physical shareholding and all these things. So we are sorting out all those things. And then obviously in the coming upcoming AGM we will take that agenda. And definitely we are thinking on that.
Rishi R Pilani
But you should expect that from that quarter we should start giving some dividend.
Rekha Multani
So it will be a quarterly dividend payout. Is that or is it like.
Amar Kabra
Obviously it will be yearly only. But we’re going to start from that quarter.
Rishi R Pilani
Yeah. Okay.
Rekha Multani
So for the 2520 financial year that’s the dividend payout that you are talking about.
Rishi R Pilani
Correct.
Amar Kabra
So obviously you know that.
Rishi R Pilani
No, no, no. Not for 25. So what we are saying is that the dividend will kick in from 26:27. So. But you will expect that from that quarter the dividend scheme will start.
Amar Kabra
Actually, actually, you know what is the procedure in the audited accounts? You need to provide the dividend thing. Correct. Then there should be AGM approval of shareholder for the approval. And that AGM happened generally in September 2026. So ideally if we are planning for the dividend of the of current year then it’s to be approved in the aging of 2026. September. So that, that is the logic actually.
Rekha Multani
So that’s what you’re saying, right? 25, 26 dividend which is approved in September.
Rishi R Pilani
No, no. So Rekhaji, I just would like to clarify. What we are saying is that the dividend will start from next year. And it will be for the next year. But it will start from next year onwards.
operator
Thank you. Our next question come from the line of Gautam Gupta, an individual investor. Please go ahead.
Unidentified Participant
Yeah.
Rishi R Pilani
Hi.
Unidentified Participant
Thank you for allowing me to speak. Firstly, I’d like to thank Ramesh Polani ji for his services over the years to the company. I wish him strength and wellness to the company. I want to ask a few questions about the strategy of the company. I have been attending the call for the past three quarters and there hasn’t been much improvement. Because we have been seeing that we’ll do something for the land that we.
Anukul
Had was allotted to us.
Unidentified Participant
So as a firstly I like to know on the strategy of the company. Our honorable PM addressed the nation and he himself said that they want to shift the country’s energy needs and reach a target of 15% from LNG. And he quote unquote mentioned that there will be a big opportunity for shipping vessels and terminal operators. So what are we doing on that? Secondly, I’d like to say that two quarters back I mentioned that Lions Industries annual report is filled with green hydrogen. And. And now Karnla Port has Been selected and there has been. Production and export for green hydrogen will be starting next year. And this week only the prices for green hydrogen came at around $3 per kg. So are we looking to tap that opportunity?
Rishi R Pilani
Gautam ji, first we have to understand that your company is not an LNG business. So while there may be a shift to lng, I’m sure. And there may be opportunities in that sector. I’m not denying that. But we are not a LNG focused company. That’s a totally different set of investors and a set of companies who run that. Secondly, regarding green hydrogen. See, we are not into production or distribution of green hydrogen. Also, the best we can do is we can store liquid products or gaseous products. And yes, if there is any opportunity where something opens up for hydrogen storage somewhere and we see an opportunity in that.
Yes, we can always look at that. But the price of green hydrogen coming in at $3 per kg is not material to us. Because we don’t trade or manufacture green hydrogen. That’s not our business.
Unidentified Participant
No, I mean that if the prices go down then there must be shift in the market. Also that we’ll be using. The industry will be using green hydrogen or shifting to green hydrogen or green ammonia. So there will be a need for terminals for that also. That what I mean.
Rishi R Pilani
Yeah, yeah, definitely. If you mean that then there is a. That’s why if you. If you know, I’ve already said that we’ve kept a land aside for that. But all these are long gestation periods and we are always looking out for opportunity. That if there is a way to get ammonia tank or cryogenic tank for lpgn. We have not lost that vision, if that’s what your question is.
Unidentified Participant
Okay. Another question is I don’t want to name the company. Okay. But the industry leader is going really fast. They are following the policy of pearls of terminals along the vast coastline of India. But we are not looking at that. We are just focusing on gnp. That is good also. But do we need. At the board level. Have you discussed that we need to bring a strategic partner to strengthen the balance sheet so that we can also do some acquisitions of already constructed terminals or. Or ask for new land at different ports so that we can expand at a rapid pace.
Rishi R Pilani
No, as of now there’s no not been any such discussion on board levels.
Unidentified Participant
Okay. Thank you. That’s it for myself.
Rishi R Pilani
Thank you.
operator
Thank you. Next question come from the line of. Our next question comes from the line of Vishal Prasad from VP Capital. Please go ahead.
Rishi R Pilani
Hi. Good.
Vishal Prasad
Good. Afternoon. So Rishi, so I have seen that EPC we are. We have got two projects recently. So are we trying to focus on is EPC or it’s just one off?
Rishi R Pilani
See Vishalji, I just answered this question that we look at. EPC is a very, very strong component to support our LST division. So if you see that the projects that we do are with our customers and related to our or they are related to our liquid space. So as of now, that’s the only focus this company has.
Vishal Prasad
Right. And what kind of margin we are looking at in these projects.
Rishi R Pilani
So usually it’s between 5 to 10% margins.
Vishal Prasad
Okay. And second question is. So I was trying to figure out the area of the two lines that we have in the npt. Somehow I could not find it for. The. Old land that we have. So can you help me with the total area of the old land?
Rishi R Pilani
What do you mean old land?
Vishal Prasad
I mean there are two lands that we have. One was we bought recently and one we have been.
Rishi R Pilani
So the approximate area of the parcels that we have before is 19 acres.
Vishal Prasad
Okay.
Rishi R Pilani
And the new one is approximately 11 acres.
Vishal Prasad
Okay, thank you. That’s all.
Rishi R Pilani
Thank you.
operator
Thank you. Next question comes from the line of Bhavish Patil from Patil Investment. Please go ahead.
Bhavesh Patel
Thank you for the opportunity. Again, Rishiji, my question is about currently. Yeah, currently we are almost debt free. So basically our funding of the capex should not be problem. But in case you have any ideas on that. And then are we looking at any other further increasing the debt so as to do large strategic projects or anything that you’re thinking at the board level for the next two, three years.
Rishi R Pilani
So yes, see we always increasing the debt is not. Is something that we can do depending or if we see the opportunity to do that and get an acquisition that gives a good roi, then yes, definitely we can look at increasing debt in the company.
Bhavesh Patel
Sure. But at this point in time you don’t see significant expense coming up for the next foreseeable future.
Rishi R Pilani
Yeah, as of now we have this new expansion coming and as of now we are. We are. As of now the target is to try and compete it with our internal resources. But if yeah something the board and the management feels that no, it’s better to keep some debt also against it. So we may do that. But as of now the plan is not there.
Bhavesh Patel
All right. No, I appreciate it. And again, I think it’s great that we are in this strong balance sheet situation, but that also gives us opportunity in case something comes up. So that was that was the reason. Thank you.
Rishi R Pilani
Thank you.
Amar Kabra
Thank you.
operator
Thank you. Next question come from the line of Ketan Chad of an individual investor Please squared.
Unidentified Participant
Hi, thank you for the opportunity Rishi. First I’d like to just reconfirm what you mentioned previous couple of participants that the expansion that you’re planning is for 1 lakh kilo litres of which the phase one which is approximately 50% would be completed by Q1 of 25%.
Anukul
Yeah, yeah.
Unidentified Participant
And this, the entire 1 lakh KL capacity will give us an additional revenue of approximately 45 to 50 crores.
Rishi R Pilani
Yes.
Unidentified Participant
Okay. What is the capex? If you could just confirm for the entire capacity that again it’s.
Rishi R Pilani
It’s approximately 1. 160 to 170 crores.
Unidentified Participant
160 to 170 crores. And this we would do entirely for our internal.
Rishi R Pilani
As of now the plan is that. Yes.
Unidentified Participant
Okay. Okay. And any update on the other. That. We were looking at be it LPG or ammonia or hydrogen or something else.
Rishi R Pilani
Yeah, like I said we have kept a land aside for that but as of now we don’t have a contract in place to start building those.
Unidentified Participant
Yeah. So my question is because for the past two to three quarters we’ve been discussing and we are telling that we are exploring multiple opportunities and looking at various options when we are doing the due diligence and all these things. So in that respect any options that seem viable to us at this point in time?
Rishi R Pilani
No. As of now, no. Because we have a very clear condition that whoever we tie up with has to give us a back to back guarantee for the next 15 years minimum to use the tank.
Amar Kabra
And we always do a work in phase manner like these. First the capacity will completed, then obviously we start the another one. It’s not feasible to start all the things at one place. After two, three months we start. No.
Unidentified Participant
Sorry, I didn’t catch.
Rishi R Pilani
No, no. So, so, so what? That’s what I said, that we have a very, very clear thing that we, whoever we tie up with for such a high value project they have to give us a like a 10 to 15 year commitment for tank utilization and there are not many companies out there who are willing to do that. So it’s taking its own time.
Unidentified Participant
Okay. Because then if it is taking such a long time then on the other hand you’re also going to end up paying rentals as well to the JNPT port. Right. So in a way it’s kind of not really winding while we have the land which is valuable but then we are not able to monetize that properly and incurring cost on that.
Rishi R Pilani
And I hope that as your management we don’t end up losing you too much money for this decision. But just to let you know that yes, that part is cognizant for us also. And that’s why if you see that a large part of that land is already under development for expansion. So we are taking a very very, I would say from our side, a very, very calculated call to make sure that you don’t use up the land and then reverse it somehow. And also you don’t make sure that the amount of money that goes into that is a very small amount as compared to the entire land.
Unidentified Participant
I think in the last call I appreciated, you know, that you are trying to take your own time to do the due diligence and take the right steps after considering all the pros and cons. But the only point I was trying to drive is right, you know, because now that while we want to be prudent enough but at the same time it’s an opportunity cost for the company. But I understand your position. So the next query I have is that you know, with approximately 400 crores in this financial year and you know, in another maybe a year or so, you add up another 10 to 12% from your expansion, where will the next growth lever will come for us now? Because as of now, if you see that, you know this, the expansion that we are doing is going to kind of give us an incremental growth of about 10 to 12%.
And then again we will have some growth which will be equivalent to the inflation. So you know, is there a lever where we can kind of increase the growth beyond the inflation beating as well?
Rishi R Pilani
See Ketanji, the thing is that we are very, very focused on the fact that whatever growth we do, we want to, we are little bit, we do a safe growth that we don’t just expand for the sake of expansion. We want to make sure that there is a viable business there, there is a long term business there. And it is something that in the end the money and the returns come back to shareholders. So yeah, while we may be expanding in the same pace as maybe some of the other businesses and industries, but we like to do this secured kind of expansion.
So do I have a lever right now that suddenly this 400 can go to 800? No, I don’t.
Unidentified Participant
Okay. And the dividend that you just answered another participant on the dividend, which means now like going forward we would start giving out dividends on a regular basis is that what your.
Rishi R Pilani
Yes. From next. So starting next year, right? That’s, that’s the plan. Yes.
Unidentified Participant
Okay. But we would be consistent, like, you know, once, once we start next year, whenever we start, then after that we would be consistent in paying the dividend. Is that what you’re intending at or next time kind of a thing? I just want to get a clarification on that.
Rishi R Pilani
No, no, I, I, I don’t think the intent is to make it a one off kind of a thing. No, no.
Unidentified Participant
Okay. Okay. Thank you so much. I wish you all the best. Thank you.
Rishi R Pilani
Thank you.
Amar Kabra
Thank you.
operator
Thank you. Ladies and gentlemen, due to the time constraint that was the last question for today. I would like to hand the conference over to Mr. Rishi Pilani for closing comments. Thank you. And over to you, sir.
Rishi R Pilani
Thank you everybody for joining us for our Q3FY26 call. And if there are any further questions, please feel free to reach out to us. Have a good evening. Thank you.
Amar Kabra
Thank you all.
operator
Thank you. Ladies and gentlemen, on behalf of Ganesh Benzoplast Limited, that concludes this conference. Thank you for joining us. And you may now disconnect your lines.