Neogen Chemicals Limited announced its Q4 & FY25 earnings, with a conference call held on May 19, 2025.
FY25 revenue stood at ₹778 crore, a 13% increase, driven by strong volumes in the core business, including BuLi Chem.
EBITDA grew by 24% to ₹136 crore, with EBITDA margin improving to 17.5%.
PAT for FY25 was ₹35 crore, impacted by an exceptional charge of ₹14 crore due to a fire incident at the Dahej facility on March 5, 2025, which affected MPP-3, warehouse, and tank farms. Production was suspended, but shifted to other sites; replacement plant expected by Q4 FY26.
FY26 revenue guidance revised from ₹775 crore-₹850 crore due to the fire.
Neogen Ionics reported revenue of ₹12 crore for FY25.
Brownfield expansion at Patancheru, Hyderabad, more than doubled BuLi Chemical Facilities capacity from 120 MT to 300 MT.
A wholly-owned subsidiary, Neogen Morita New Materials Limited, is being incorporated to address opportunities in lithium-ion battery materials.
Neogen Ionics is in advanced discussions for a joint venture with Morita Chemical Industries Company Limited of Japan.
New capacity of 400 MTPA of lithium electrolyte salts and additives, and 2,000 MT of electrolyte for Dahej:
200 MTPA salts commissioned, first approved material shipped.
Trial production ongoing for another 200 MTPA.
Further expansion of salts includes 1,100 MT to be commissioned by September 2025, and another 1,000 MT by March 2026.
2,000 MT electrolyte fully commissioned. Commercial production expected to begin by Q1 or Q2 FY26.
Greenfield Battery Materials facility using MUIS technology: Construction progressing swiftly, commissioning on track for March 2026 or earlier.
Total CAPEX of ₹470 crore incurred in Neogen Ionics in FY25, out of a total planned ₹1,500 crore.
Total debt stood at ₹566 crore, while net worth remained strong at ₹789 crore.
Management Commentary: Dr. Harin Kanani mentioned that the company concluded the year on a positive note, achieving 13% revenue growth and 24% improvement in EBITDA despite a difficult global industry backdrop and the fire incident. The company swiftly navigated the crisis by pivoting towards product applications with favorable demands. The company is confident in its ability to continue to deliver value to its shareholders through strategic execution, innovation and unwavering commitment to operational excellence.