Rossari Biotech Ltd

Rossari Biotech Limited reported Q2 FY27 revenue of Rs. 698 crore, a 19% year-on-year increase, with EBITDA rising 21% to Rs. 87 crore, its highest-ever quarterly EBITDA. All three business divisions—HPPC, Textile Specialty Chemicals, and Animal Health and Nutrition—contributed to growth, driven by higher-value products and expanded market share. Despite challenges like raw material volatility, geopolitical tensions, and cautious customer demand, the company achieved a gross margin of 31.6% and EBITDA margin of 12.5%. Strategic initiatives include expanding the Rossari Global Research and Innovation Centre, launching new products, and setting up a Greenfield facility in Saudi Arabia to enhance access to raw materials and regional demand centers. The company emphasized improving operational efficiency, optimizing costs, and focusing on core B2B businesses. Export revenue reached 31% of total revenue in Q2, with growth in Southeast Asia, Africa, and Latin America. The balance sheet showed reduced net debt to Rs. 221 crore, improved working capital days to 86, and strong liquidity. Management highlighted ongoing efforts to rationalize the portfolio, improve product mix, and achieve sustainable growth, with plans to further reduce debt and allocate capital to new projects.

The document highlights strong revenue and EBITDA growth, strategic expansions, and improved financial metrics, reflecting a positive outlook.