NACL Industries Q2 FY26 Profit Slumps 83% YoY to ₹2.55 Crore Despite 3.8% Rise in Revenue; Stock Falls 3.5%

Hyderabad, October 24 – Agrochemical maker NACL Industries Ltd (BSE: 542649, NSE: NACLIND) posted a steep decline in consolidated profit for the quarter ended September 30, 2025, as an exceptional loss offset the benefit of higher sales and improved operational performance.

The company’s net profit plunged 83% year-on-year to ₹2.55 crore in Q2 FY26, compared with ₹14.90 crore in the same quarter last year. Sequentially, the profit fell sharply from ₹13.04 crore reported in the June 2025 quarter. Despite the profit slump, revenue from operations rose 3.8% YoY to ₹456.94 crore, supported by stable domestic demand and marginal recovery in exports. Total income stood at ₹456.90 crore against ₹443.69 crore in Q2 FY25.

Key Consolidated Financials (₹ in lakh)

NACL Industries Ltd reported a muted performance in the July–September 2025 quarter, with profits taking a sharp hit due to exceptional items despite moderate revenue growth. The company’s revenue from operations rose 3.8% year-on-year to ₹45,694 lakh from ₹44,031 lakh in the same quarter last year. Sequentially, revenue was up 1.9% from ₹44,836 lakh in Q1 FY26.

However, profit before tax (PBT) dropped sharply by 68.2% year-on-year to ₹645 lakh, compared to ₹2,030 lakh in Q2 FY25, primarily due to an exceptional expense of ₹1,745 lakh booked during the quarter.

After accounting for taxes of ₹390 lakh, net profit after tax (PAT) stood at ₹255 lakh, a steep 82.9% decline from ₹1,490 lakh in the same period last year. On a quarter-on-quarter basis, PAT was down 80.4% from ₹1,304 lakh in Q1 FY26.

Earnings per share (EPS) also fell to ₹0.13, compared to ₹0.75 in Q2 FY25, reflecting the impact of exceptional costs on overall profitability. Despite the earnings pressure, total income rose slightly to ₹45,690 lakh, supported by steady operating performance and disciplined cost management.

Expense & Margin Overview

NACL’s overall cost base rose modestly, with higher employee and finance expenses partially offset by a reduction in inventory buildup.

• Raw materials & packing material cost: ₹345.55 crore (up 50% YoY)
• Employee benefits expense: ₹39.84 crore (up 20% YoY)
• Depreciation & amortisation: ₹7.71 crore (up 13% YoY)
• Finance costs: ₹13.08 crore (vs ₹17.24 crore last year)

The company reported an exceptional loss of ₹17.45 crore during the quarter, which impacted profitability despite higher operating income.

Market Performance

NACL Industries Ltd shares closed at ₹209 on October 24, 2025, a 3.51% dip. NACL Industries Ltd shares have gained 297% in the last year, 10.70% in the last six months, and 6.33% in the last 5 days.

Shares of NACL Industries Ltd traded lower on Friday, slipping from the previous close of ₹216.60 to ₹212.00 at market open. During the session, the stock moved within a narrow range of ₹206.20 to ₹217.00, recording a volume of 2.02 lakh shares valued at ₹4.21 crore.

The volume-weighted average price (VWAP) stood at ₹211.34, while the company’s market capitalisation was around ₹4,194 crore. Over the past year, NACL Industries’ shares have fluctuated between a 52-week low of ₹49.00 and a high of ₹339.45.

REF: https://nsearchives.nseindia.com/corporate/NACLIND_24102025145256_SEOUTCOMESEP302025.pdf

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