Tatva Chintan Pharma Chem Limited Earnings Summary — Q4 FY2026
Tatva Chintan Reports Robust Revenue Growth in Q4 FY2026 as Operating Margins Reach 21%
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 8 consecutive quarters.
- Revenue of ₹167 Cr is 43.0% higher year-on-year.
- Revenue has compounded at 26.6% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit has reached its highest level in 10 quarters.
- Net profit of ₹16 Cr is 140.3% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at 29.0% annualised across the period.
- Operating margin stands at 19.3% in Q1 FY2027.
- Operating margin expanded by 451 bps year-on-year.
- Over the last two years operating margin has expanded by 737 bps.
- PBT margin is 12.6%.
- Expense growth of 35.4% remained below revenue growth of 43.0%.
- Operating profit of ₹32 Cr is 86.5% higher year-on-year.
- Operating leverage continues to improve.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 82/100 (Strong) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Improving | 167 | 134 | 131 | 124 | 117 | 108 | 86 | 83 | 105 | 98 |
| Expenses | Improving | 135 | 106 | 106 | 101 | 100 | 99 | 79 | 78 | 93 | 83 |
| Operating Profit | Strong Uptrend | 32 | 28 | 25 | 22 | 17 | 9 | 7 | 6 | 13 | 16 |
| Operating Margin | Improving | 19.3% | 21.0% | 19.4% | 18.0% | 14.8% | 8.3% | 8.2% | 6.7% | 12.0% | 15.9% |
| Other Income | Volatile | 1 | -0 | 2 | 1 | 1 | 1 | 0 | 0 | 1 | 5 |
| Interest | Accelerating | 2 | 1 | 0 | 1 | 0 | 0 | 0 | 0 | 0 | 0 |
| Depreciation | Improving | 11 | 10 | 9 | 9 | 9 | 7 | 7 | 7 | 7 | 6 |
| Profit Before Tax | Volatile | 21 | 17 | 18 | 14 | 9 | 2 | -0 | -1 | 7 | 14 |
| Tax | Volatile | 5 | 6 | 2 | 4 | 2 | 1 | -0 | -0 | 2 | 4 |
| Net Profit | Improving | 16 | 10 | 15 | 10 | 7 | 1 | 0 | -1 | 5 | 10 |
| Net Margin | Improving | 9.6% | 7.7% | 11.6% | 8.0% | 5.7% | 0.9% | 0.2% | -0.8% | 4.9% | 9.8% |
Key Takeaways
- Revenue reached a multi-quarter high of 134 Cr in Q4 FY2026, marking four consecutive quarters of sequential growth.
- Operating Profit Margin (OPM) improved to 21%, a significant recovery from the 8% margin recorded in the same period last year.
- The company reported a Net Profit of 10 Cr, representing a 10x increase on a year-on-year basis despite a sequential dip due to higher tax expense.
- A sharp spike in tax percentage (38% in Q4 vs 14% in Q3) pressured the quarterly net bottom line despite steady operational performance.
- Total borrowings increased significantly to 120 Cr by year-end FY2026, compared to 36 Cr in the previous year.
- Inventory levels remain a point of concern, closing the fiscal at 442 Cr against annual sales of 506 Cr.
- Depreciation costs have risen to 10 Cr per quarter, reflecting the impact of monumental CAPEX projects coming onto the balance sheet.
Management Guidance
Management is focused on expanding the electrolyte salts portfolio for supercapacitors and green chemistry to offset volatility in the SDA segment.
Sentiment Shift
Improving
After a challenging FY25 where margins bottomed out at 8-9%, the company has demonstrated sequential operational recovery throughout FY26, ending with 21% margins.
Outlook
The outlook is cautious but improving as the company migrates into electrolyte salts. While revenue and operating margins are trending upward, the high inventory and rising debt levels require close monitoring for financial stability.
From the Annual Report (Key Quotes)
“The business is currently in a transition phase, moving into Electrolyte Salts for supercapacitors and green chemistry.”
“Recent years saw a sharp compression due to inventory destocking in the global chemical sector and high energy costs.”
“Maintains a unique position as India's largest Glyme producer and the world's 2nd largest SDA manufacturer for zeolites.”
Official Quarterly Documents
This summary is AI-generated from Tatva Chintan Pharma Chem Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.