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Himadri to Invest INR 120 Cr in New Facility to Develop High-Value Specialty Products

For the nine months of FY25, Himadri achieved a 24 percent growth in sales volumes, rising from 335,265 metric tons in FY24 to 415,679 metric tons in FY25.

January 14, 2025. By Aishwarya

Himadri Speciality Chemical Ltd. has published its results for the quarter and nine months ending December 31, 2024, demonstrating strong performance across financial and operational metrics.

The company reported its highest-ever quarterly EBITDA of approximately USD 26.6 million in the third quarter of FY25.

For the nine months of FY25, Himadri achieved a 24 percent growth in sales volumes, rising from 335,265 metric tons in FY24 to 415,679 metric tons in FY25. This surge in volume corresponded to a 34 percent increase in EBITDA, which reached USD 73.2 million compared to USD 54.7 million in the same period last year. Additionally, PAT rose by 35 percent, climbing from USD 35.3 million to USD 47.7 million.

The company recently earned the prestigious EcoVadis Platinum medal, placing it in the top 1 percent of the 130,000 companies assessed globally for their sustainability practices. This accolade underscores Himadri’s leadership in corporate governance and its dedication to transparency throughout its operations.

Commenting on the results and performance, Anurag Choudhary, CMD & CEO of Himadri Speciality Chemical Ltd said, “We are excited to share our Q3 and 9M FY25 results, which showcase a strong and sustainable performance across all key financial and operational metrics. We achieved our highest-ever quarterly EBITDA of INR 222 Crs in December quarter. For the 9M period, our sales volumes grew by 24 percent, reaching 415,679 MT, up from 335,265 MT in the same period last year. This growth was reflected in a 34 percent increase in EBITDA to INR 611 Crs, and a 35 percent rise in PAT to INR 400 Crs, further solidifying our upward trajectory. Our balance sheet continues to reflect our financial discipline and resilience, with a net positive cash balance of INR 109 Crs. This positions us well to capitalize on strategic opportunities and drive long-term value creation.”

“Himadri has reported robust performance across its portfolio of products. Our export portfolio is strengthening, particularly bolstered by the commencement of our high-temperature Liquid Coal Tar Pitch export terminal at Haldia Port in October 2024. Aligned with our vision to expand into high-value products, we have planned a new capex for production of speciality products at an investment of INR 120 Crs, funded through internal accruals. This facility will enable us to extract high-value specialty products, including Anthraquinone, Carbazole, Fluorene from existing coal tar distillates at our existing facility and is expected to commence operations within the next 18 months. These products have application in dyes, pigments, pharma and various other industries. This strategic move marks a significant step towards reducing import dependency and aligns with Himadri's commitment towards the Government of India's vision of an Atmanirbhar Bharat,” commented Choudhary.

The EV sector in India is poised to attract USD 40 billion in investments, with 70 percent of this allocated to Lithium-ion Battery (LiB) manufacturing. Additionally, in late 2024, the Government of India approved a USD 1.3 billion incentive scheme for EVs, with one-third of the funds dedicated to the PM E-Drive scheme.

For LiBs, in the cathode active material space, LFP continues to be the leading technology, with graphite anodes dominating the anode technology. Silicon-carbon based Anodes are well poised to bring about significant improvement in charging times, increase in Energy Density and significant increase in range coverage for EVs, thus helping to popularize EVs from an end-user's perspective. Himadri's progress on development of these technologies and its LFP cathode project is moving forward as planned.

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Himadri Speciality Chemical Limited

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Lithium-ion battery technology

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Lithium-ion battery manufacturing