Camlin Fine Sciences LimitedChemicalsCAMLINFINE
Q1 FY27 concall · earnings callCamlin Fine Sciences Limited
Revenue growth was strong, but margins were severely impacted by geopolitical raw material costs, which the company expects to partially recover over the next two quarters.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Revenue | ₹519.9 Cr | 28% | |
| EBITDA Margin | 4% | — | |
| Specialty Ingredients Revenue | >₹400 Cr | — | |
| Specialty Ingredients EBITDA Margin | 6.35% | — | |
| Vanillin Sales Volume (Q1) | 560 tons | — | |
| Performance Chemicals EBITDA Margin | 2.5% | — | |
| Gross Debt (as of Q1) | ₹640 Cr | — |
Financials
From filed quarterly results. YoY and QoQ compare each metric on the same accounting basis.
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹433.49 Cr+12.3% YoY+2.5% QoQ | ₹-7.47 CrLoss narrowed YoYLoss narrowed QoQ | ₹-0.24Loss/share narrowed YoYLoss/share narrowed QoQ |
| Q2 FY25 | ₹422.97 Cr+4.2% YoY+6.9% QoQ | ₹-116.11 CrLoss widened YoYLoss widened QoQ | ₹-5.98Loss/share widened YoYLoss/share widened QoQ |
| Q1 FY25 | ₹395.85 Cr-5.7% YoY-1.5% QoQ | ₹-34.65 CrTurned loss-making YoYLoss narrowed QoQ | ₹-2.03Turned negative YoYLoss/share narrowed QoQ |
| Q4 FY24 | ₹401.69 Cr-5.9% YoY+4.1% QoQ | ₹-81.79 CrTurned loss-making YoYLoss widened QoQ | ₹-4.64Turned negative YoYLoss/share widened QoQ |
| Q3 FY24 | ₹385.89 Cr-0.5% YoY-4.9% QoQ | ₹-14.28 CrTurned loss-making YoYLoss narrowed QoQ | ₹-0.71Turned negative YoYLoss/share narrowed QoQ |
TL;DR
- Revenue rose 28% YoY to INR5,199 million, but EBITDA margin collapsed to 4% from 45% last quarter due to high raw material prices and logistical costs.
- The Aroma (vanillin) segment operated at low capacity utilization, generating a negative EBITDA; management expects it to turn positive in Q2.
- Performance Chemicals EBITDA was 2.5%, weighed down by the shutdown of the diphenol plant for economic reasons.
- Specialty Ingredients (blends) grew but saw margin pressure due to a one-quarter lag in passing cost increases to customers.
- Full-year guidance revised: revenue target of INR2,200-2,300 crores maintained, but EBITDA margin expectation lowered to 10-12%.
- Working capital is a concern due to elongated cycles; the company may need to raise INR100-200 crores in credit lines.
Said on the call
“We are happy to announce that we have almost -- 95% of our customers have approved our ethyl vanillin.”
From the Q&A
| Topic | What management said |
|---|---|
| EBITDA Guidance Feasibility | Analysts questioned the jump from INR9 crores EBITDA in Q1 to a full-year target of ~INR220-230 crores. Management stated the 10-11% margin target is within reach, with Q3 expected to return to double-digit margins. |
| Vanillin Segment Losses | Analysts asked why the Aroma segment was loss-making given previously stated cost structures. Management explained low capacity utilization (25% in Q1) led to high fixed cost absorption, and margins will improve as utilization reaches 70-80%. |
| Blends Margin Pressure | Analysts noted blends EBITDA margin fell from 14-15% six quarters ago. Management cited a 4-5% gross margin hit from raw material costs and a 1-2% impact from using expensive dealer financing for working capital. |
| Debt and Capital | Analysts asked about debt reduction plans beyond internal cash flow. Management said debt is flat at ~INR640 crores, but rising revenues will require INR100-200 crores in additional credit lines, and they are evaluating capital-raising options. |
| Vanillin Volume Guidance Reduction | Analysts noted full-year vanillin production guidance was lowered from 3,600-4,000 tons to ~3,000 tons. Management attributed this to a slower, quality-focused ramp-up of ethyl vanillin and production time lost during campaign switches. |
| Raw Material Cost Pass-through | When asked if all cost increases can be passed to customers, management said only about half can be passed on in the blends business in Q2. |
| Normalized EBITDA Potential | Analysts asked what EBITDA would have been in a normal quarter. Management said it would have been 6% higher (implying INR37-40 crores vs. the reported ~INR9 crores), citing the 4-5% gross margin loss. |
Guidance
- Revenue for the full year expected to be INR2,200-2,300 crores.
- Full-year EBITDA margin expected to be in the range of 10-12%.
- Aroma (vanillin) segment expected to be EBITDA positive in Q2 FY27.
- All three business verticals expected to show significant improvement in Q2 over Q1.
- Company-level EBITDA margins expected to return to double digits by Q3 FY27.
- Full-year vanillin production estimated at around 3,000 tons.
- May require additional credit lines of INR100-200 crores for working capital.
Source
Summary written from the transcript filed by Camlin Fine Sciences Limited for the call held on 11 Aug 2026; published 22 Aug 2026, 15:19 IST.
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