About J.G. Chemicals Limited
J.G.Chemicals Limited (NSE: JGCHEM) is one of India’s leading manufacturers of zinc oxide and related zinc-based chemicals. Founded in 1975, the company supplies a wide range of zinc oxide products used across industries such as tyres and rubber goods, ceramics, paints and coatings, cosmetics, pharmaceuticals, and animal feed.
The company operates multiple manufacturing facilities across India and has a strong distribution network that caters to both domestic and international markets. J.G. Chemicals produces various grades of zinc oxide tailored to industry-specific applications, emphasizing product quality, consistency, and innovation.
J.G. Chemicals has established itself as a major supplier to tyre manufacturers and other industrial clients, benefiting from growing demand in automotive and industrial sectors. With a focus on expanding production capacity, improving operational efficiency, and enhancing product development, the company continues to strengthen its position in the specialty chemicals segment.
Q3 FY26 Financial Highlights
J.G. Chemicals Limited reported revenue from operations of INR 2,485 million in Q3 FY26, reflecting healthy growth driven by improved realizations and higher capacity utilization. EBITDA stood at INR 259 million with a margin of 10.42%, while profit after tax was INR 184 million with a PAT margin of 7.40%. Earnings per share for the quarter were INR 4.50.
9M FY26 Financial Highlights
For the nine-month period ended FY26, the company recorded revenue from operations of INR 6,868 million. EBITDA was INR 710 million with a margin of 10.34%, and PAT came in at INR 497 million with a margin of 7.24%. Diluted EPS for the period was INR 12.20 per share.
Quarterly Performance Comparison
Compared with Q3 FY25, revenue increased by about 18.8%, supported by better demand and operational efficiencies, while EBITDA and PAT also grew modestly year-on-year. Sequentially, both revenue and profitability improved over Q2 FY26, indicating stronger operating leverage.
Operational Highlights
The company achieved its highest-ever quarterly sales in Q3 due to higher realizations, better capacity utilization, and a greater share of specialty orders. Demand from tyre manufacturers improved after GST cuts in September 2025, and planned capex by major tyre companies is expected to support long-term growth.
Equity Position
J.G. Chemicals Limited reported steady growth in equity, increasing from INR 4,055 million in FY24 to INR 4,746 million in FY25 and INR 5,043 million in H1 FY26, driven mainly by growth in other equity while share capital remained stable at INR 392 million.
Liabilities Trend
The company maintained a relatively low-debt balance sheet with modest non-current borrowings and provisions, while current liabilities such as trade payables and other financial liabilities increased in line with higher business activity, taking total liabilities and equity to INR 5,326 million by H1 FY26.
Asset Base Expansion
Total assets grew from INR 4,490 million in FY24 to INR 4,979 million in FY25 and INR 5,326 million in H1 FY26, reflecting investments in property, plant and equipment, capital work-in-progress, and higher working capital to support expanding operations.
Working Capital and Investments
Current assets, including inventories and trade receivables, increased with rising sales volumes, while financial investments and cash balances were maintained to ensure liquidity and operational flexibility.
Strategic and Expansion Initiatives
J.G. Chemicals is undertaking product customization for key customers to strengthen long-term partnerships and is progressing with pilot trials for a recycled rubber project. The company is also expanding capacity through a brownfield project at the Naidupeta plant and a new Dahej facility expected to be commissioned in H1 FY27, while continuing to grow its non-rubber and specialty segments and investing in solar power at its plant.