Leading agrochemical company Sumitomo Chemical India Ltd reported a 12.4% year-on-year decline in net profit to ₹156 crore for the second quarter, compared with ₹178 crore in the corresponding period last year. According to reports from CNBC TV18, revenue declined 2.5% YoY to ₹891 crore from ₹914 crore in the year-ago quarter. The company's earnings before interest, taxes, depreciation and amortisation (EBITDA) fell 15.7% to ₹183 crore from ₹217 crore, with the EBITDA margin contracting to 20.56% in the September quarter from 24% in the corresponding quarter last year.
In July this year, Japanese parent Sumitomo Chemical announced a strategic joint venture with Samsung Electro-Mechanics to develop next-generation glass core substrates for advanced semiconductor packaging. As reported by CNBC TV18, the new company is expected to be incorporated in 2026, subject to regulatory approvals. The joint venture will combine Dongwoo Fine-Chem's expertise in glass processing and manufacturing with Samsung Electro-Mechanics' capabilities in semiconductor substrate design and large-scale production. The partners aim to establish a commercial supply system by the second half of fiscal 2027, after which the venture plans to gradually expand manufacturing capacity for glass core substrates.
Shares of Sumitomo Chemical India Ltd ended at ₹354.65, down by ₹5.90, or 1.64%, on the BSE following the results announcement. According to CNBC TV18, the decline reflects investor concerns over the company's quarterly performance amid the contraction in core operating margins that dragged down quarterly earnings for the agrochemical producer.
