Deepak Nitrite (DN IN) – Q4FY26 Result Update – Improved spreads drive margin expansion – REDUCE
Published on 18 May 2026
DN’s Q4FY26 revenue stood at Rs21.3bn, registering growth of 7.4% QoQ, though declining 2.7% YoY. The topline also included an incentive of Rs684mn for the phenolics segment from the Government of Gujarat, compared to Rs1,612mn in Q4FY25. The Advanced Intermediates segment reported sales growth of 8% YoY as well as QoQ, driven by steady volumes and favorable pricing, which also resulted in a 240bps sequential improvement in margins. The Phenolics segment witnessed 7% sequential growth, although revenue declined by 7% YoY. However, EBIT margins improved sharply due to a significant increase in spreads during the quarter. Projects such as MIBK/MIBC are expected to be commissioned by early Q2FY27, while the nitric acid plant commissioned in Dec’25 operated at 45% utilization during the quarter. Dismantling of the polycarbonate plant in Germany is underway, with the project timeline now revised to June’28 from the earlier guidance of Dec’27.
