J.G.Chemicals delivered its strongest quarterly performance to date in Q1FY27, reporting a consolidated net profit after tax of ₹261 million, representing a 59.1% year-on-year increase from ₹164 million in Q1FY26. According to the company's unaudited financial results approved by the Board of Directors on August 8, 2026, this marks a new all-time high for quarterly revenue, EBITDA, and PAT for the zinc oxide manufacturer. Revenue from operations climbed 44.8% year-on-year to ₹3,157 million, while earnings per share (basic and diluted) rose to ₹6.40 per share from ₹4.03 in the corresponding quarter of the previous financial year.
The company demonstrated significant operational improvements with EBITDA margins expanding to 11.50% in Q1FY27, up from 10.64% in the previous year, reflecting strong operational leverage and improved cost management. EBITDA grew by 56.5% to ₹363 million, demonstrating disciplined cost management despite higher raw material consumption. Total comprehensive income attributable to owners increased to ₹285 million, while finance costs remained negligible at ₹1 million. The surge was driven by robust volume growth across end-user applications, particularly in the tyre sector, with the company serving 9 out of the top 10 global tyre manufacturers and holding a ~31% market share in India as of March 2025.
A key forward-looking development is the progress of the greenfield facility at Dahej, Gujarat, with civil works in advanced stages and equipment installation commenced. The ₹100 crore project, funded entirely through internal accruals, aims to add 40,000 MTPA of capacity and is targeted for commissioning in Q3FY27. This facility is strategic for diversifying into higher-margin non-rubber applications such as ceramics, pharmaceuticals, and agriculture, aiming to increase non-rubber revenue contribution from 15% to 30% over the next few years. The company maintains strong cash flows with net worth increasing to ₹5,510 million as of June 30, 2026, up from ₹5,235 million in FY26.
The company continues to strengthen its competitive position through technological differentiation and customer relationships. Recent product launches include "LabPure" Zinc Oxide for analytical reagent grade applications and "JG-ZRA," a curing package for non-tyre rubber sectors. The subsidiary BDJ Oxides' Naidupeta plant remains the only IATF-approved ZnO facility globally, reinforcing quality credentials for pharma and automotive clients. The inauguration of the R&D center at Naidupeta further supports innovation, enabling the production of over 90 specialized grades of zinc oxide.
