Ducol Organics & Colours Ltd announces strong H2 & FY26 results

Mumbai, May 21 :  Mumbai,  Ducol Organics & Colours Ltd  Involved in  development, manufacturing, marketing and distribution of wide range of dispersions & master  batches primarily to industries such as paints, ink, textile, rubber, plastic, paper and FMCG. The  Company has announced its audited financial results for the second half and full year ended on 31st March 2026 in the Board meeting held on 19th May, 2026.  

Key Financial Highlight: – 

Key Highlights : 

∙ FY26 marked a transformational year for the Company, with consolidated performance  benefiting from the strategic acquisition of Bitumag Industries, a subsidiary of Ducol. The  acquisition, completed during FY26, significantly contributed to scale and profitability,  particularly in H2 FY26. Standalone operations also showed stable organic performance. 

For the half year ended March 31st, 2026: 

∙ Revenue from Operations stood at Rs. 71.55 crore in H2 FY26. Standalone Revenue stood at  Rs. 42.78 crore in H2 FY26 as against Rs. 38.77 crore in H2 FY25, Y-o-Y increase of 10.34% on  standalone basis and 84.55% on consolidated basis. The consolidated revenue includes  revenue from Bitumag operations 

∙ EBITDA (excluding other income) for H2 FY26 was Rs. 8.79 crore. Y-o-Y increase of EBITDA on  consolidated basis was 206.21% and standalone basis was 111.86%. This is mainly due to  operational efficiencies and economies of scale 

∙ EBITDA Margin for H2 FY26 was 12.29% 

∙ H2 FY26 PAT stood at Rs. 4.43 crore, including contribution from Bitumag operations ∙ H2 FY26 PAT Margin was 6.19% 

∙ Incurred additional finance costs of Rs. 1.17 crore in the second half of FY26 on account of  acquisition of Bitumag Industries Pvt Ltd related borrowings; margins are expected to improve  as the debt is repaid.

For the full year ended March 31st, 2026: 

∙ Revenue from Operations stood at Rs. 136.07 crore in FY26. Standalone Revenue stood at Rs.  83.96 crore in FY26 as against Rs. 77.35 crore in FY25, Y-o-Y increase of 8.54% on standalone  basis and 75.91% on consolidated basis. Consolidated revenue includes revenue from Bitumag  operations as well. 

∙ EBITDA (excluding other income) for the full year FY26 was Rs. 14.59 crore 

∙ EBITDA Margin for FY26 was 10.72% 

∙ FY26 PAT stood at Rs. 7.25 crore. Standalone PAT stood at Rs. 4.06 crore in FY26 as against  Rs. 4.62 crore in FY25. While standalone PAT declined by 12.28% YoY, consolidated PAT  increased by 56.68% YoY. The decline in standalone PAT was primarily on account of additional  finance costs of ₹2.20 crore arising from acquisition-led borrowings and one-time due  diligence expenses of ₹0.38 crore 

∙ FY26 PAT Margin was 5.32% 

Recent Development : Acquisition of Xchem Polymer India Pvt Ltd: 

∙ Ducol Organics & Colours Ltd is nearing completion of acquisition of Xchem Polymer India Pvt  Ltd and is expected to further strengthen Ducol’s non-pigment dispersion portfolio. ∙ XCHEM Polymers India Private Limited is engaged in the business of manufacturing  construction chemicals, Waterproofing Chemcials and industrial adhesives. This acquisition is  expected to strengthen the Company’s presence in adjacent specialty chemicals segments,  diversify its product portfolio, and create operational as well as strategic synergies. ∙ Xchem brings a fast-growing portfolio across waterproofing systems, industrial adhesives,  protective coatings, repair products, and construction chemicals — providing Ducol  immediate access to high-margin and rapidly expanding infrastructure-linked segments.  ∙ The integration is expected to drive operational synergies, improve scale efficiencies, and  contribute to long-term profitability growth.  

∙ The acquisition materially strengthens Ducol’s product basket, customer reach, and  application capabilities while opening substantial cross-selling opportunities across paints,  coatings, infrastructure, industrial, and construction sectors. 

∙ The acquisition will be completed in phases. An initial consideration of ₹38 crore is currently  being processed for payment in cash towards the acquisition of a majority stake. The  remaining consideration of ₹30 crore will be settled through a share swap arrangement with  the exiting promoters of Xchem Polymer India Pvt Ltd , while an additional ₹7 crore will be  payable in cash within 24 months from the execution date of the Share Purchase Agreement  (SPA). 

∙ Key Financial Highlight of Xchem Polymer India Pvt Ltd :  

Xchem Polymer India Pvt. Ltd. is a debt-free company with a comfortable working capital  position to support its operations. This development further reinforces Ducol’s commitment  to building a diversified, future-ready portfolio and unlocking growth opportunities in high potential specialty chemical segments.

Commenting on the result, Mr. Aamer Ahmed Farid, Managing Director, Ducol Organics & Colours  Ltd. said, 

“We are pleased to report a strong performance in H2 FY26, with healthy growth witnessed across  both our standalone as well as consolidated businesses. The momentum during the period was driven  by robust volume growth across segments, improving demand conditions, deeper customer  engagement, and the benefits arising from our expanded product portfolio following the integration  of Bitumag Industries. 

Our consolidated as well as standalone revenues and volumes have shown encouraging growth,  reflecting the strength of our core business and the successful integration of the acquired operations.  We are particularly encouraged by the manner in which the Bitumag integration is progressing, with  the positive impact now becoming increasingly visible across both our financial and operational  performance. 

During the period, EBITDA margins remained healthy and well within our targeted range, supported by  operational efficiencies, improved capacity utilization, and disciplined cost management. Profitability  at the PAT level, however, was impacted by certain one-time acquisition-related expenses as well as  finance costs associated with the acquisition funding. These costs are transitional in nature and aligned  with our long-term growth and diversification strategy. 

The successful integration of Bitumag validates our strategic direction of expanding beyond pigment  dispersions and building a diversified specialty and construction chemicals platform. Our continued  focus remains on strengthening our presence across waterproofing, allied construction chemicals, and  adjacent specialty chemical segments, while leveraging synergies across our existing customer base to  enhance wallet share and deepen customer relationships. 

We are also pleased to share that the acquisition of Xchem Polymer India Pvt. Ltd. is nearing  completion, and we are excited about integrating the business into the Ducol platform going forward.  We believe Xchem will further strengthen our product portfolio, enhance our market reach, and create  additional cross-selling opportunities across existing and new customer segments. 

Going forward, while inorganic expansion will continue to remain an important strategic lever, we also  see strong opportunities through partnerships, distribution alliances, and collaborative market  expansion initiatives. We believe such partnerships will help accelerate market access, strengthen  international presence, broaden product offerings, and create scalable growth opportunities with  lower execution risk. 

As we move ahead, our focus will remain on driving scale, improving operational efficiencies, increasing  capacity utilization, expanding our international footprint, and enhancing profitability across  businesses. We remain confident that our diversified product portfolio, strong customer relationships,  strategic partnerships, and growth initiatives will enable us to create sustainable long-term value for  all stakeholders.