Alkyl Amines & Chemicals Ltd Overview
Alkyl Amines Chemicals is one of the two dominant Indian producers of aliphatic amines (methylamines, ethylamines and higher amines) and their derivatives. The Indian market functions as a near-duopoly with Balaji Amines. AACL has more than four decades of ammonia-based amine chemistry. It runs three integrated manufacturing sites at Patalganga, Kurkumbh and Dahej, plus an R&D centre in Pune, and offers more than 100 products. It describes itself as a global leader in synthetic acetonitrile, dimethylamine hydrochloride (DMAHCL), triethylamine (TEA) and diethylhydroxylamine (DEHA), and as the sole global producer of several specialty amines. About 80% of sales are domestic, serving pharmaceutical, agrochemical, rubber-chemical, water-treatment and specialty-chemical customers; exports were about 20% in FY2023 per CRISIL. The balance sheet carries effectively no debt and ~₹250 cr of net cash. After two cyclically depressed years (FY2024–FY2026) driven by Chinese oversupply and destocking, a record Q1 FY2027 (EBITDA margin 25.3%) suggests an earnings inflection.
What the company does
AACL makes aliphatic amines. These are organic nitrogen compounds formed when alkyl radicals (methyl, ethyl, propyl, butyl and others) replace hydrogen atoms in ammonia (NH3). The core reaction chemistry combines ammonia with an alcohol (methanol, ethanol, higher alcohols) over catalysts. The result is a mixture of mono-, di- and tri-substituted amines, which are separated by distillation.
The company sells these amines directly as base amines. It also converts them into downstream derivatives: hydrochlorides, hydroxylamines, amides, esters and other specialty molecules. Acetonitrile is a notable non-amine nitrile product, which AACL makes synthetically rather than as a by-product of acrylonitrile production.
Company descriptions in filings and data providers summarise the business as manufacturing aliphatic amines, amine derivatives and specialty chemicals for the pharmaceutical, agrochemical, rubber-chemical, water-treatment and surfactant industries. The company's own description (screener and company profile, drawn from the Annual Report) emphasises over 100 products, global leadership in synthetic acetonitrile, DMAHCL, triethylamine and diethylhydroxylamine, and sole-global-producer status in several specialty amines.
Business model and revenue model
Revenue model: Essentially 100% product sales of manufactured chemicals. Customers buy under spot contracts, quarterly or annual price-indexed contracts, and long-term supply relationships. There are no meaningful service, subscription or licensing streams.
Revenue as reported vs. revenue from operations: "Total revenue" includes other income (treasury and FX), which has become material since FY2025 because of the cash build-up. FY2026 total revenue was ₹1,567.51 cr. Revenue from operations was ₹1,535.85 cr.
Pricing mechanics: Base amines are priced off feedstocks (methanol, ethanol, ammonia, acetic acid) with pass-through lags. The May 2026 earnings call confirmed that a doubling of ammonia prices (from ~₹50/kg to more than ₹100/kg) was passed on to customers. Specialty amines and derivatives earn higher, stickier margins. Many are developed at customer request with defined volumes and timelines; management said customers often approach AACL for specific molecules and quantities two to three years out.
Capital intensity: Moderate to high. Gross block was ~₹1,330 cr of buildings and machinery at FY2026. Asset turnover fell from 1.23x (FY2022) to 0.83x (FY2026) as a large FY2022–FY2024 capex wave was absorbed at low utilisation.
Value-chain position
AACL sits in the intermediate layer of the chemical value chain:
-
Upstream (purchased): ammonia (largely imported or from domestic fertiliser producers), methanol, ethanol, higher alcohols, acetic acid and hydrogen. Hydrogen is made captively at Kurkumbh; a second hydrogen plant was commissioned in 2022.
-
AACL: base amines, then derivatives and specialty amines.
-
Downstream customers:
-
pharmaceutical API and intermediate makers (e.g. DMAHCL for metformin; TEA and specialty amines as reagents and bases; acetonitrile as solvent, including for peptide synthesis and purification);
-
agrochemical formulators and technical manufacturers (herbicide and insecticide intermediates);
-
rubber-chemical makers (accelerators);
-
water-treatment chemical companies;
-
surfactant, coatings, dye, foundry and laboratory-reagent users.
-
Customer types and end-markets
The company does not publish a current end-market revenue split in the sources reviewed. The latest disclosed split found (FY2016, via a company presentation summarised by Capitalmind) was Pharma 56%, Agro 9%, and Others 35% (dyes, specialty chemicals, foundry, laboratory reagents and more). Pharmaceuticals almost certainly remain the largest end-market today. Management commentary in Q1 FY2027 (via Motilal Oswal) points to pharma, especially peptides, as the main incremental demand driver, with healthy agrochemical and rubber-chemical demand alongside.
Product-group mix (BRSR disclosures)
| Product group (% of turnover) | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
| Aliphatic amines | 46.85 | 46.52 | Not extracted |
| Specialty chemicals / amines | 19.05 | 21.27 | 24.78 |
| Amine derivatives (analyst-derived residual) | 34.10 | 32.21 | Not derivable |
Source: Business Responsibility & Sustainability Reports in Annual Reports FY2023-24, FY2024-25 and FY2025-26. The derivatives row is the residual and is analyst-derived.
Independent characterisation
AACL is best described as a technology-led, low-cost Indian producer of commodity-plus amines. It is migrating up the value curve: specialty amines rose from ~19% to ~25% of turnover between FY2024 and FY2026. Its moats are process know-how in a hazardous, ammonia-handling chemistry; scale and integration across three sites; long qualification cycles with pharma customers; and a duopolistic domestic structure.
Its weaknesses are concentration in a single chemistry, heavy dependence on imported ammonia and other petrochemical feedstocks, exposure to Chinese export pricing (especially for acetonitrile and base amines), and a modest export footprint relative to global peers.
Strategy
Stated strategy (themes from the FY2025 and FY2026 Annual Reports and earnings calls)
-
Sustainable growth through market-share gains in existing products plus new product introductions. This was the FY2025-26 focus statement reported by Business Standard from the FY2025 Annual Report.
-
Moving up the value chain into higher-margin specialty products. Specialty share of turnover rose from 19% (FY2024) to ~25% (FY2026).
-
Import substitution. Acetonitrile (via the anti-dumping petition) and the Dahej new-product plant, which management positions as import-substituting with strong profitability.
-
Capital discipline. Utilisation is 60–85% with capacity for existing products for the next 4–5 years without major capex (Q4 FY2026 call). New capex is triggered only when R&D products reach commercial viability.
-
Customer co-development. Customers request molecules with defined quantities and timelines; the company announces products only once they are commercial.
-
Environmental impact reduction and value-added innovation. Three new products developed per the FY2025 Annual Report.
Strategic initiatives (last 24 months)
| Initiative | Date | Description | Status |
|---|---|---|---|
| Acetonitrile anti-dumping petition | Mar 2024 – Jun 2025 | AACL-led petition; five-year ADD up to US$481/t on China, Russia, Taiwan | Duty in force since Jun 2025 |
| Dahej specialty / new-product plant | Approved Nov 2024 (₹115–150 cr); ~₹110–120 cr spend | New product(s) for import substitution | Mechanical completion slipped from Dec 2025–Jan 2026; commissioning targeted Jul 2026 per May 2026 call; current status awaits Q2 FY2027 disclosure |
| FY2026 capex programme | FY2026 | ₹150 cr target (₹100 cr at Dahej) | ₹128 cr spent in FY2026 |
| FY2027–FY2028 capex | Guided May 2026 | ₹80–90 cr covering Dahej completion and engineering projects | Ongoing |
| Feedstock security response | Mar–Apr 2026 | Alternate ammonia sourcing after force majeure; price pass-through | Production restored from 24 Apr 2026 |
| Leadership succession | Aug–Oct 2026 | Executive Chairman plus two Joint MDs | Effective 1 Oct 2026, subject to approval |
| ESG | Ongoing | BRSR reporting; captive solar; Responsible Care branding on letterhead; CRISIL and MSCI ESG ratings referenced | See Section 20 |
| Cost programmes | — | No formal cost-reduction programme with numeric targets disclosed | — |
Management guidance and medium-term targets
| Guidance item | Latest statement | Source |
|---|---|---|
| FY2027 volume growth | 5–10%, aligned with overall country growth | Q4 FY2026 call (6 May 2026) |
| FY2027 margins | Better than FY2026 | Q4 FY2026 call |
| Capex | ₹80–90 cr over FY2027–FY2028; no large new projects planned | Q4 FY2026 call |
| Historical normal volume growth | 10–15% per annum (FY2026 fell short) | Q2 FY2026 call |
| Formal revenue, EBITDA or ROCE targets | — | — |
Products & Services
The company lists more than 100 products. The catalogue below covers the principal families and flagship molecules that can be verified from public sources. Product-level revenue, list prices and launch years are generally not publicly disclosed. Commodity-chemical pricing is negotiated and feedstock-indexed. "Launch year" refers to plant commissioning where known.
Aliphatic amines (base amines): ~46–47% of turnover (FY2024–FY2025)
| Product | Description / key characteristics | Primary end-uses / target customers | Production site | Capacity / launch notes |
|---|---|---|---|---|
| Monomethylamine (MMA) | Primary methylamine; supplied as aqueous solution and anhydrous | Agrochemicals (e.g. carbamate and organophosphate intermediates), pharma intermediates, explosives, surfactants | Patalganga, Dahej | Methylamines expanded at Dahej FY2021 |
| Dimethylamine (DMA) | Largest-volume methylamine; precursor to DMAHCL, DMF-type solvents, rubber accelerators, water-treatment polymers | Pharma (metformin via DMAHCL), rubber chemicals, water treatment, agro | Patalganga, Dahej | Captive feed to DMAHCL |
| Trimethylamine (TMA) | Tertiary methylamine | Choline chloride (animal feed), quaternary ammonium compounds, ion-exchange resins | Patalganga, Dahej | — |
| Monoethylamine (MEA) | Primary ethylamine | Agro (triazine herbicides), pharma, rubber chemicals | Kurkumbh | New ethylamines plant, Oct 2023 |
| Diethylamine (DEA) | Secondary ethylamine | Pharma APIs, rubber accelerators, corrosion inhibitors, agro | Kurkumbh | Same expansion |
| Triethylamine (TEA) | Tertiary ethylamine; widely used acid scavenger and catalyst | Pharma (antibiotics such as penicillin/cephalosporin intermediates, peptide chemistry), agro, polymers | Kurkumbh | Company claims global leadership |
| Higher aliphatic amines (propyl-, butyl-type) | Mono/di/tri higher amines | Agro, pharma, rubber chemicals, specialty applications | Patalganga | Individual molecules not itemised in reviewed sources |
Amine derivatives: ~32–34% of turnover (analyst-derived)
| Product | Description | End-uses | Site | Notes |
|---|---|---|---|---|
| Dimethylamine hydrochloride (DMAHCL) | Salt of DMA; powder and solution | Key input for metformin (anti-diabetic API), other pharma | Kurkumbh | Company claims global leadership; powder plant expanded FY2021 |
| Diethylhydroxylamine (DEHA) | Hydroxylamine derivative | Oxygen scavenger in boiler water treatment; polymerisation short-stop agent; photographic and colour stabiliser | Kurkumbh | Company claims global leadership |
| Synthetic acetonitrile (ACN, methyl cyanide) | Nitrile solvent made via a synthetic (non-acrylonitrile) route | Pharma solvent (HPLC, API and peptide synthesis), agro, battery electrolytes, extraction | Dahej | Plant commissioned FY2022. Largest domestic producer. Indian demand >40 KTPA; imports ~19–20 KTPA in FY2025 (HDFC Securities, Jun 2025). Protected by anti-dumping duty since Jun 2025. |
| Other hydrochlorides, amides, esters | Derivatives of methyl and ethyl amines | Pharma, agro, specialty chemicals | Kurkumbh | Not individually itemised |
Specialty chemicals / specialty amines: ~19% (FY2024) rising to ~25% (FY2026) of turnover
| Product family | Description | End-uses | Notes |
|---|---|---|---|
| Specialty amines (several molecules where AACL is the sole global producer) | Low-volume, high-value amines developed in-house | Pharma (innovator and generic APIs), agro actives, performance chemicals | Company claims sole-global-producer status for "many" specialty amines; molecules not publicly itemised |
| Customer-specific new products (Dahej new-product plant) | Plant with ~₹110–120 cr capex. Mechanical completion targeted Dec 2025–Jan 2026, delayed; management expected commissioning by Jul 2026 (Q4 FY2026 call). | Import substitution; described as high-profitability | Q2 FY2026 call summaries refer to the product as "DMC". The company announces new products only once they are on the market, so the chemical identity is not formally disclosed. |
| R&D pipeline products | Three new products developed per the FY2025 Annual Report, with one slated for FY2026 launch | Pharma, agro | Further capex contingent on commercialisation (Q4 FY2026 call) |
Captive and utility assets (not sold externally)
-
Hydrogen plants at Kurkumbh, including the second unit commissioned in 2022.
-
Captive solar power plant (variously reported at Manwath and Bhoom, Maharashtra).
-
"DEK" plant at Kurkumbh (2022).
Financial Narrative
All figures are standalone, INR crore (₹ cr) unless stated. Source: S&P Global Market Intelligence via StockAnalysis.com (standardised from company annual reports FY2022–FY2026), cross-checked to company-reported revenue from operations and PAT. EBITDA is defined as operating income plus D&A, excluding other income. Company and broker PBDIT figures differ slightly (FY2026: ₹284.6 cr per MarketsMojo vs ₹286.9 cr per S&P).
Income statement
Supplementary FY2021 reference (needed for the 5-year CAGR): revenue from operations ~₹1,242.5 cr (derived from the 24.11% FY2022 growth); PAT ~₹295 cr; EPS basic ₹57.87 (TipRanks / S&P).
Balance sheet
Source: S&P via StockAnalysis. The company disclosed nil outstanding borrowings at 31 Mar 2026 in its "not a large corporate" filing of 27 Apr 2026. The ₹1.2 cr residual above represents lease liabilities.
Returns, liquidity, leverage and efficiency
Screener.in reports CCC of 36 / 53 / 56 / 48 days for FY2022–FY2025, consistent with the computed figures above.
Recent quarterly trajectory
Sources: Business Standard / Capital Market (FY2025 quarters); Quartr, Capital Market / HDFC Sec, 5paisa and Investywise (FY2026); company results 4 Aug 2026 (Q1 FY2027).
Q2 FY2026 revenue is derived as FY2026 revenue minus the other three quarters, and it reconciles with CRISIL's H1 FY2026 revenue of ₹794.9 cr.
Data conflicts flagged:
-
One aggregator (Quartr) labels ₹405.53 cr / ₹49.44 cr as Q2 FY2026 and reverses the Q1 FY2027 versus Q1 FY2026 figures. Exchange-based reporting (Capital Market, 5paisa, Motilal Oswal) assigns ₹405.53 cr / ₹49.44 cr to Q1 FY2026 and reports Q2 FY2026 PAT of ₹42.94 cr. The latter is adopted because it reconciles to FY2026 PAT of ₹180.0 cr.
-
Q1 FY2027 EBITDA is reported as ₹133–134 cr (25.3% margin). Gross margin was ~49%, up ~340 bps YoY.
Commentary on trends, inflections and drivers
Revenue. FY2022 (+24%) and FY2023 (+9%) were the peak of a post-COVID pharma and agro restocking super-cycle. Indian amine and acetonitrile prices were elevated, and AACL's Dahej acetonitrile plant ramped up.
FY2024 (-14%) marked the downturn. Chinese overcapacity in base amines and acetonitrile collapsed realisations, and downstream pharma and agro customers destocked. This happened just as AACL commissioned ~30% more aliphatic amines capacity at Kurkumbh in October 2023.
FY2025 (+9%) was volume-led: management cited ~13% volume growth in its Q2 FY2026 call, with persistent pricing pressure. FY2026 (-2%) was hit by flat volumes (±1% per management), lower prices, geopolitical and trade disruption (including US sanctions affecting some export customers, per call summaries), and a March 2026 force majeure as Middle East supply shocks cut ammonia supply.
Q1 FY2027 broke out: revenue rose 30% YoY to ₹528 cr, 24% ahead of Motilal Oswal's estimate. This reflected the pass-through of sharply higher feedstock prices, restocking after the March–April shutdown, peptide-driven pharma demand, and a full quarter of acetonitrile anti-dumping protection.
Margins. Gross margin held in a narrow 45–48% band, which shows pricing discipline and a rising specialty mix. EBIT margin compression from ~19% to 14% was therefore an operating-leverage story. D&A doubled from ₹34 cr to ₹71 cr as the FY2022–FY2024 capex wave (₹670 cr over three years) was capitalised into a demand trough. Fixed costs also rose. The Q1 FY2027 EBITDA margin of 25.3% shows what higher utilisation does to this cost base.
Balance sheet. AACL moved from modest net debt (₹71 cr at FY2023, peak capex) to ₹250 cr net cash at FY2026. FCF over FY2024–FY2026 totalled ~₹478 cr while capex was held at maintenance-plus levels. Working capital is efficient (CCC 42 days in FY2026); inventory days fell to 53 as stock ran down during the ammonia disruption. Some of that will reverse.
Returns. ROE halved from 25% to ~12%. This reflects the margin trough plus a cash-rich balance sheet (net cash is ~16% of equity) with a stable dividend (payout 22–34%) and no buybacks. Returns on the core business are higher than headline ROE suggests. Q1 FY2027 annualises to an ROE in the low-to-mid 20s if sustained.
Unlock Company Financials
Unlock this company profile to view its financial data.
View Subscription PlansFinancial Detail
Results by Segment and Segment Margins & Growth (%)
| Metric | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
Segment revenue from operations (INR Cr) | 1,440.6 | 1,571.8 | 1,535.9 |
Segment YoY growth (%) | -14.41 | 9.11 | -2.29 |
Segment operating income / EBIT (INR Cr) | 196.5 | 226.5 | 216.3 |
Segment EBIT margin (%) | 13.64 | 14.41 | 14.08 |
Segment pre-tax income (INR Cr) | 202.5 | 248.6 | 243.5 |
Contribution to total revenue (%) | 100 | 100 | 100 |
Product group revenue (INR Cr, analyst-derived)
| Product group revenue (INR Cr, analyst-derived) | FY2024 | FY2025 |
|---|---|---|
Aliphatic amines | 674.9 | 731.2 |
Amine derivatives | 491.3 | 506.3 |
Specialty chemicals / amines | 274.4 | 334.3 |
Revenue by Segment and Segment Margins & Growth (%)
| Specialty chemicals / amines (INR Cr, analyst-derived) | FY2024 | FY2025 |
|---|---|---|
Specialty revenue | 274.4 | 334.3 |
Specialty YoY growth (%) | 0 | 21.8 |
Income Statement and Margin Analysis (%)
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
Revenue from operations (INR Cr) | 1,542.0 | 1,683.1 | 1,440.6 | 1,571.8 | 1,535.9 |
Revenue growth YoY (%) | 24.11 | 9.15 | -14.41 | 9.11 | -2.29 |
Total revenue incl. other income (INR Cr) | 1,557.0 | 1,696.2 | 1,455.7 | 1,601.6 | 1,567.5 |
Cost of revenue (INR Cr) | 850.0 | 879.1 | 786.2 | 857.8 | 840.9 |
Gross profit (INR Cr) | 692.0 | 804.0 | 654.4 | 714.0 | 695.0 |
SG&A (INR Cr) | 88.3 | 97.7 | 95.4 | 103.9 | 110.5 |
Other operating expenses (INR Cr) | 276.8 | 357.5 | 303.6 | 312.4 | 296.5 |
EBITDA (INR Cr) | 326.5 | 348.0 | 254.5 | 296.7 | 286.9 |
Depreciation & amortisation (INR Cr) | 34.4 | 44.4 | 58.0 | 70.2 | 70.7 |
Operating income / EBIT (INR Cr) | 292.1 | 303.6 | 196.5 | 226.5 | 216.3 |
Interest expense (INR Cr) | 2.5 | 2.7 | 3.8 | 0.6 | 0.7 |
Pre-tax income (INR Cr) | 302.1 | 308.6 | 202.5 | 248.6 | 243.5 |
Income tax (INR Cr) | 77.2 | 79.9 | 53.6 | 62.5 | 63.5 |
Net income / PAT (INR Cr) | 224.9 | 228.7 | 148.9 | 186.1 | 180.0 |
Net income growth YoY (%) | -23.85 | 1.67 | -34.89 | 25.01 | -3.29 |
EPS basic (INR) | 44.04 | 44.75 | 29.13 | 36.40 | 35.20 |
EPS diluted (INR) | 43.95 | 44.68 | 29.09 | 36.35 | 35.15 |
Dividend per share (INR) | 10 | 10 | 10 | 10 | 10 |
Effective tax rate (%) | 25.56 | 25.90 | 26.47 | 25.15 | 26.07 |
Unlock Company Financials
Unlock this company profile to view its financial data.
View Subscription PlansMargin (%)
| Margin (%) | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
Gross margin | 44.88 | 47.77 | 45.43 | 45.43 | 45.25 |
EBITDA margin | 21.17 | 20.68 | 17.66 | 18.88 | 18.68 |
Operating (EBIT) margin | 18.94 | 18.04 | 13.64 | 14.41 | 14.08 |
Pre-tax margin | 19.59 | 18.34 | 14.06 | 15.82 | 15.85 |
Net margin | 14.59 | 13.59 | 10.33 | 11.84 | 11.72 |
Growth metric (%)
| Growth metric (%) | Value |
|---|---|
Revenue CAGR FY2021–FY2026 (5-year) | 4.3 |
Revenue CAGR FY2022–FY2026 (4-year) | -0.1 |
PAT CAGR FY2021–FY2026 (5-year) | -9.4 |
Revenue CAGR, 10 years to FY2026 (Craytheon) | 12.3 |
Balance Sheet and Per-Share Data
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
Total assets (INR Cr) | 1,371.3 | 1,591.9 | 1,583.6 | 1,788.9 | 1,895.4 |
Cash & equivalents (INR Cr) | 37.9 | 17.2 | 30.4 | 48.8 | 94.2 |
Short-term investments (INR Cr) | 23.7 | 0.0 | 0.0 | 154.1 | 156.7 |
Cash + short-term investments (INR Cr) | 61.5 | 17.2 | 30.4 | 202.8 | 250.9 |
Short-term debt incl. current portion and leases (INR Cr) | 22.8 | 85.9 | 1.2 | 4.3 | 0.8 |
Long-term debt incl. leases (INR Cr) | 0.5 | 1.8 | 1.9 | 1.2 | 0.4 |
Total debt (INR Cr) | 23.3 | 87.7 | 3.2 | 5.5 | 1.2 |
Net debt, negative = net cash (INR Cr) | -38.3 | 70.6 | -27.2 | -197.3 | -249.7 |
Shareholders' equity (INR Cr) | 989.8 | 1,168.9 | 1,267.1 | 1,402.5 | 1,533.4 |
Goodwill & intangibles (INR Cr) | 1.8 | 3.6 | 3.7 | 3.1 | 2.9 |
Net PP&E (INR Cr) | 769.8 | 1,067.6 | 1,121.1 | 1,093.3 | 1,142.7 |
Capital work-in-progress (INR Cr) | 142.4 | 352.0 | 35.6 | 51.9 | 130.5 |
Inventory (INR Cr) | 164.5 | 183.7 | 172.0 | 164.8 | 122.1 |
Trade receivables (INR Cr) | 276.7 | 258.4 | 221.7 | 230.6 | 230.5 |
Trade payables (INR Cr) | 228.5 | 189.7 | 171.9 | 177.2 | 151.2 |
Working capital (INR Cr) | 209.7 | 146.5 | 215.9 | 385.0 | 456.9 |
Book value per share (INR) | 193.80 | 228.75 | 247.87 | 274.26 | 299.81 |
Cash Flow and Margin Analysis (%)
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
Operating cash flow (INR Cr) | 204.7 | 248.4 | 274.8 | 263.1 | 238.6 |
Capital expenditure (INR Cr) | 247.0 | 303.4 | 122.3 | 47.7 | 128.4 |
Free cash flow (INR Cr) | -42.3 | -55.0 | 152.5 | 215.4 | 110.1 |
FCF margin (%) | -2.74 | -3.27 | 10.58 | 13.71 | 7.17 |
Dividends paid (INR Cr) | 30.6 | 51.1 | 51.1 | 51.1 | 51.1 |
Share buybacks (INR Cr) | 0 | 0 | 0 | 0 | 0 |
Net debt issued / repaid (INR Cr) | -22.9 | 60.9 | -85.6 | 2.2 | -4.5 |
Change in working capital (INR Cr) | -56.8 | -42.7 | 40.3 | 5.6 | -13.4 |
Capex as % of revenue | 16.0 | 18.0 | 8.5 | 3.0 | 8.4 |
Cash taxes paid (INR Cr) | 74.4 | 71.4 | 34.6 | 50.3 | 47.7 |
Returns & Leverage Ratios (%) and Financial Ratios (x)
| Ratio | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
Return on equity (%) | 25.24 | 21.18 | 12.22 | 13.94 | 12.26 |
Return on assets (%) | 14.51 | 12.81 | 7.73 | 8.39 | 7.34 |
ROIC (%) | 26.58 | 20.54 | 11.65 | 13.87 | 12.85 |
ROCE (%) | 28.0 | 24.5 | 14.5 | 14.7 | 12.9 |
Current ratio (x) | 1.64 | 1.41 | 1.95 | 2.57 | 3.12 |
Quick ratio (x) | 1.04 | 0.78 | 1.11 | 1.86 | 2.30 |
Debt / equity (x) | 0.02 | 0.08 | 0.00 | 0.00 | 0.00 |
Net debt / EBITDA (x) | -0.12 | 0.20 | -0.11 | -0.66 | -0.87 |
Interest coverage, EBIT / interest (x, analyst-computed) | 115.6 | 111.2 | 51.8 | 396.0 | 309.4 |
Asset turnover (x) | 1.23 | 1.14 | 0.91 | 0.93 | 0.83 |
Inventory turnover (x) | 5.94 | 5.05 | 4.42 | 5.10 | 5.86 |
Receivable days (analyst-computed) | 65.5 | 56.0 | 56.2 | 53.6 | 54.8 |
Inventory days (analyst-computed) | 70.6 | 76.3 | 79.9 | 70.1 | 53.0 |
Payable days (analyst-computed) | 98.1 | 78.8 | 79.8 | 75.4 | 65.6 |
Cash conversion cycle (days, analyst-computed) | 38 | 53 | 56 | 48 | 42 |
Dividend payout ratio (%) | 13.62 | 22.35 | 34.33 | 27.47 | 28.41 |
Income Statement
| Quarterly metric | Q1FY25 | Q2FY25 | Q3FY25 | Q4FY25 | Q1FY26 | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|---|---|---|---|---|
Revenue from operations (INR Cr) | 399.7 | 414.9 | 371.2 | 386.1 | 405.5 | 389.4 | 354.0 | 386.9 | 528.0 |
PAT (INR Cr) | 48.9 | 47.5 | 43.8 | 46.0 | 49.4 | 42.9 | 42.3 | 45.4 | 94.6 |
Geography Overview
| Geography | FY2023 |
|---|---|
Export share of revenue from operations (%) | 20 |
Implied export revenue (INR Cr, analyst-derived) | 336.6 |
Implied domestic revenue (INR Cr, analyst-derived) | 1,346.5 |
Valuation Snapshot
| Metric | Value | Source / date |
|---|---|---|
Last close (BSE) | ₹1,843.45 | StockAnalysis, 16 Oct 2026 |
52-week high / low | ~₹2,127 / ₹1,212 | IIFL, 3 Sep 2026 (low on 17 Mar 2026) |
Change since FY2026 year-end (₹1,224.49 on 31 Mar 2026) | +50.5% | Analyst-computed |
1-year return | -4.2% to -4.6% | IIFL (3 Sep 2026); Anand Rathi (27 Sep 2026) |
3-year return (CAGR) | -7.7% | IIFL, 3 Sep 2026 |
5-year return (CAGR) | -13.7% | IIFL, 3 Sep 2026 |
YTD 2026 (to 4 Aug 2026) | ~+19% | Sahi |
Share Price and Market Valuation
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
Year-end share price (INR) | 2,796.82 | 2,117.53 | 1,786.10 | 1,600.77 | 1,224.49 |
Market capitalisation (INR Cr) | 14,605.7 | 11,025.0 | 9,269.1 | 8,270.3 | 6,297.9 |
Enterprise value (INR Cr) | 14,499.9 | 11,069.5 | 9,347.2 | 8,138.4 | 6,100.6 |
P/E (x) | 64.94 | 48.22 | 62.26 | 44.44 | 34.99 |
EV/EBITDA (x) | 44.41 | 31.81 | 36.73 | 27.43 | 21.26 |
EV/Sales (x) | 9.40 | 6.58 | 6.49 | 5.18 | 3.97 |
P/B (x) | 14.76 | 9.43 | 7.32 | 5.90 | 4.11 |
Dividend yield (%) | 0.35 | 0.46 | 0.55 | 0.62 | 0.81 |
Valuation Multiples
| Multiple | Current |
|---|---|
P/E, TTM (EPS ₹44.03) | 41.9x |
Forward P/E (consensus, S&P) | 33.6x |
EV/EBITDA, TTM | 26.6x |
EV/Sales, TTM | 5.5x |
P/B (FY2026 book ₹299.8) | 6.15x |
Dividend yield | 0.54% |
Analyst Ratings & Targets
| Broker | Date | Rating | Target price (INR) | Key thesis |
|---|---|---|---|---|
Motilal Oswal | 4 Aug 2026 | Neutral (Hold) | 1,950 | 40x FY2028E EPS (implies FY2028E EPS ~₹48.75); pharma (peptides), agro and rubber demand; remains net-cash |
Elara Capital | 2026 (post-Q4 FY2026) | Accumulate | — | Acetonitrile recovery as China imports ease; gradual, not full-cycle, earnings recovery |
HDFC Securities | 27 Jun 2025 | — | — | ADD spurs acetonitrile ramp-up |
Dividend metric
| Dividend metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
Dividend per share (INR) | 10 | 10 | 10 | 10 | 10 |
Dividend as % of face value | 500 | 500 | 500 | 500 | 500 |
Payout ratio (%) | 13.62 | 22.35 | 34.33 | 27.47 | 28.41 |
Cash dividends paid (INR Cr) | 30.6 | 51.1 | 51.1 | 51.1 | 51.1 |
Credit Ratings
| Agency | Rating | Outlook | Date |
|---|---|---|---|
CRISIL (long term) | AA- | Stable | Reaffirmed 29 Dec 2025 (upgraded from A+/Positive on 29 May 2023) |
CRISIL (short term) | A1+ | — | Reaffirmed 29 Dec 2025 |
Moody's / S&P / Fitch | Not rated | — | — |
Analyst Conclusions
Management guidance (May 2026, reiterated in tone in Aug 2026)
-
FY2027 volume growth of 5–10%, with margins better than FY2026.
-
Capex of ₹80–90 cr over FY2027–FY2028, centred on completing the Dahej new-product plant.
-
No major capacity additions needed for existing products for 4–5 years.
Consensus and implied expectations
| Scenario metric (analyst framing, not guidance) | TTM to Jun 2026 | Q1 FY2027 annualised |
|---|---|---|
| Revenue (₹ cr) | 1,658 | 2,112 |
| PAT (₹ cr) | 225 | 379 |
| EPS (₹) | 44.0 | 74.0 |
S&P forward P/E implies forward EPS of ~₹55 (+25% versus TTM ₹44.03). Motilal Oswal's TP math implies FY2028E EPS of ~₹48.75, a more conservative view than annualising Q1 FY2027 (EPS ₹18.50 × 4 = ₹74). The market is therefore pricing partial, not full, sustainability of Q1 FY2027 margins.
The annualised figures are illustrative only. Q1 FY2027 included post-disruption restocking and elevated pass-through pricing.
Bull case
-
Operating leverage on idle capacity. Utilisation of 60–85% and D&A of ~₹71 cr per year are already absorbed. Q1 FY2027 showed EBITDA up 74% on revenue up 30%. Sustained 5–10% volumes plus specialty mix could keep EBITDA margins above CRISIL's 22% upgrade threshold.
-
Structural protection plus import substitution. The acetonitrile ADD (up to US$481/t) runs to ~2030 against an import pool of ~19–20 KTPA. The Dahej new product adds another import-substitution leg. Possible US AD/CVD duties on Chinese amines create an export option.
-
Optionality from a net-cash balance sheet. About ₹250 cr of net cash, growing with FCF, funds specialty launches without dilution. It also leaves room to raise payout from ~28% or initiate buybacks, which would lift ROE from ~12% towards 20%+.
Bear case
-
Q1 FY2027 was flattered by one-offs. Restocking after the March–April shutdown and pass-through of a doubled ammonia price inflated revenue. As feedstock prices normalise, realisations and margins may revert toward the FY2024–FY2026 EBITDA band of 17.7–18.9%.
-
Competitive intensity is rising. Balaji Amines (FY2026 revenue ₹1,425 cr, expanding by ₹750 cr) and Chinese overcapacity cap pricing in base amines, which are still ~75% of turnover. Revenue is effectively flat over FY2022–FY2026.
-
Valuation already discounts recovery. At 41.9x TTM and 6.2x book (ROE 12.3% in FY2026), the stock trades near Motilal Oswal's ₹1,950 target. The 3- and 5-year returns are negative, showing de-rating risk when growth disappoints.
Catalysts and monitorables (next 12 months)
| Timing | Catalyst / monitorable |
|---|---|
| By 14 Nov 2026 | Q2 FY2027 results: sustainability of the ~25% EBITDA margin; volume versus price split; Dahej commissioning status |
| Oct 2026 – Mar 2027 | Postal-ballot outcome and effectiveness of the Executive Chairman / Joint-MD structure |
| Oct 2026 onward | US Commerce AD/CVD investigation on Chinese amines (initiation expected 19 Oct 2026; preliminary determinations later) |
| Ongoing | Ammonia, methanol and LNG pricing and Middle East shipping normalisation |
| Ongoing | Acetonitrile domestic pricing and import volumes under ADD |
| FY2027 | Launch and ramp-up of the Dahej new product(s); any announcement of further R&D-led capex |
| FY2027 | Balaji Amines capacity additions (DME, DMC, subsidiary expansion) and domestic pricing behaviour |
| Q4 FY2027 / May 2027 | Capital allocation: dividend level, possible buyback given rising net cash |
| Ongoing | Export recovery and any rating action by CRISIL |
Concluding analyst verdict
Alkyl Amines is a high-quality franchise emerging from a three-year cyclical trough. Its balance-sheet quality is exemplary: no borrowings, ~₹250 cr of net cash, CRISIL AA-, and positive free cash flow in each of the last three years. Its competitive position is entrenched as one half of India's aliphatic-amines duopoly, the country's largest acetonitrile producer, and a claimed global leader in four derivatives.
Between FY2022 and FY2026 the company carried a counter-cyclical capex wave of ~₹670 cr. That spending depressed returns, with ROE falling from 25% to 12%, but it left AACL with spare capacity at the moment demand and trade protection have turned in its favour.
Q1 FY2027 is the clearest evidence yet of the operating leverage embedded in that idle capacity. A 30% revenue increase produced a 74% EBITDA increase and a 25.3% margin, even as ammonia costs doubled. The structural story is credible: specialty products have risen from 19% to 25% of turnover in two years; the acetonitrile anti-dumping duty provides a protected runway to 2030; and the Dahej plant adds an import-substitution leg.
However, some caution is warranted. Q1 FY2027 contained restocking and cost pass-through effects that will not fully recur. Base amines remain exposed to Chinese pricing and to the expanding capacity of Balaji Amines. At ~42x trailing earnings and ~34x forward, the share price already discounts a substantial portion of the recovery, which aligns with Motilal Oswal's Neutral stance and ₹1,950 target, close to the current ₹1,843.
Verdict: a fundamentally strong, under-levered compounder with genuine near-term earnings momentum, but with valuation that leaves limited margin of safety. The investment case hinges on Q2 and Q3 FY2027 proving that margins can hold above ~20–22% as feedstock prices normalise and the Dahej new product ramps up. Rating stance: constructive on the business, neutral-to-positive on the stock. Upside is skewed to execution on specialty launches and capital-allocation upgrades such as higher payouts or buybacks from the growing cash pile.
Unlock Company Financials
Unlock this company profile to view its financial data.
View Subscription PlansExecutive Leadership
Board of Directors
| Name | Title (current / from 1 Oct 2026) | Tenure / term | Prior roles, education, age | Notes |
|---|---|---|---|---|
Yogesh M. Kothari | Chairman & MD, re-designated Executive Chairman (whole-time director) from 1 Oct 2026 | Founder (1979); current term to 31 Mar 2030 | Chemical engineer (Institute of Chemical Technology, Mumbai, per board outcome); aged 75 in Aug 2024 (~77 now) | Largest shareholder (57.64% individually, Mar 2026); father of Suneet Kothari |
Kirat M. Patel | Executive Director, re-designated Joint Managing Director from 1 Oct 2026 | Term to 31 Dec 2029 | — | Key commercial and strategy voice on earnings calls |
Suneet Y. Kothari | Executive Director, re-designated Joint Managing Director from 1 Oct 2026 | Term to 31 Dec 2029 | Chemical engineer; aged 48 in Aug 2024 (~50 now) | Next-generation promoter; succession candidate |
Rakesh Goyal | Whole-time Director – Operations, re-designated Executive Director – Operations | New five-year term 1 Apr 2027 – 31 Mar 2032 | — | Commission revised to 0.30% of net profits (1 Jan 2026 – 31 May 2027), approved by postal ballot Dec 2025 |
Kanchan Shinde | Chief Financial Officer | Since May 2022 | Previously at Johnson Matthey Chemicals India | — |
Chintamani D. Thatte | GM (Legal), Company Secretary & Compliance Officer | Since ~2019 (MarketScreener) | — | Signatory on regulatory filings |
Governance Overview
| Attribute | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
Board size (number of directors) | 12 | 10 | 10 |
Women directors (number) | 1 | 2 | 2 |
Women directors (%) | 8.33 | 20.00 | 20.00 |
Board & Management Changes
| Date | Change | Context |
|---|---|---|
May 2022 | Kanchan Shinde appointed CFO | Board outcome |
1 Aug 2024 | Re-appointment of CMD and two EDs for five-year terms | Continuity |
5 Aug 2024 | Exit of long-serving independent directors (terms ended) | Board refresh; board shrank from 12 to 10 |
Dec 2025 | Postal ballot approves revised commission for WTD-Operations Rakesh Goyal | — |
4 Aug 2026 | Board approves re-designation: Executive Chairman (Y. M. Kothari); Joint MDs (K. M. Patel, S. Y. Kothari); ED-Operations (R. Goyal from Apr 2027) | Described by the company as supporting succession and business continuity |
18 Aug 2026 | Postal ballot notice issued for the above plus NED commission | — |
Shareholding Trend
| Holder category (%) | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|
Promoters & promoter group | 72.03 | 72.03 | 72.03 | 72.05 |
Foreign institutional investors | 3.25 | 3.43 | 3.46 | 3.45 |
Domestic institutions incl. mutual funds | 1.30 | 1.48 | 1.66 | 1.73 |
Mutual funds (subset of DII) | 1.31 | 1.41 | 1.35 | 1.28 |
Retail and others | 22.10 | 21.66 | 21.51 | 21.49 |
Major Shareholders
| Holder | Stake (%) Mar 2026 |
|---|---|
Yogesh Mathradas Kothari (promoter) | 57.64 |
Ikigai Emerging Equity Fund (largest public holder) | 1.61 |
91 FPIs combined | 3.45 |
11 mutual fund schemes combined | 1.28 |
Competitive Landscape
Key Competitors
| # | Competitor | Country | Overlap with AACL | Scale / notes |
|---|---|---|---|---|
| 1 | Balaji Amines Ltd | India | Methylamines, ethylamines, derivatives, specialty chemicals, acetonitrile, DMC | FY2026 consolidated revenue ₹1,425 cr (ops), PAT ₹167–169 cr; 88,000 TPA methylamines plant; ₹750 cr expansion at subsidiary Balaji Speciality Chemicals. The closest domestic rival in the duopoly. |
| 2 | Jindal Speciality Chemicals (India) | India | Acetonitrile | Supported the ADD petition; financials not public in reviewed sources |
| 3 | Chinese producers (multiple, e.g. large integrated methylamine/DMF complexes) | China | Base amines, acetonitrile, derivatives | Primary source of global oversupply and Indian import pressure; targeted by the acetonitrile ADD |
| 4 | BASF SE | Germany | Alkylamines (global methyl-, ethyl- and higher amines) | Global leader; diversified |
| 5 | Eastman Chemical | USA | Alkylamines (methyl-, ethyl-, higher amines) | Major US producer |
| 6 | Chemours | USA | Methylamines | US producer |
| 7 | Evonik Industries | Germany | Specialty amines | Petitioner in Sep 2026 US amines AD/CVD case |
| 8 | Huntsman | USA | Specialty and performance amines | Co-petitioner in US amines case |
| 9 | Koei Chemical | Japan | Amines and pyridine bases | Listed by IndustryARC among top alkyl amines players |
| 10 | Mitsubishi Gas Chemical | Japan | Methylamines and derivatives | Listed by IndustryARC |
| 11 | INEOS (and other acrylonitrile producers) | Global | By-product acetonitrile | Competes with AACL's synthetic acetonitrile |
Peer Comparison FY2026
| Metric | Alkyl Amines (FY2026) | Balaji Amines (FY2026, consolidated) | Vinati Organics (FY2025) | Himadri Speciality (FY2026) |
|---|---|---|---|---|
Revenue from operations (INR Cr) | 1,536 | 1,425 | 2,248 | 4,832 |
Revenue growth YoY (%) | -2.3 | 2.0 | 18.3 | 3.6 |
Operating (EBIT) margin (%) | 14.1 | 14.8 | — | — |
Net margin (%) | 11.7 | 11.7 | — | — |
Latest quarter revenue growth (%) | 30.2 (Q1 FY2027) | 25.6 (Q1 FY2027) | — | — |
Latest quarter PAT growth (%) | 91.4 (Q1 FY2027) | 97.2 (Q1 FY2027) | — | — |
P/E (snapshot, Craytheon) | 50.9 | — | 33.3 | 44.7 |
Balance sheet | Net cash ~₹250 cr | Standalone debt-free | — | — |
