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Aarti Industries Ltd.
NSE: AARTIINDBasic MaterialsSpecialty Chemicals
- Last close
- ₹427.55
- Day change
- −₹13.75 (−3.12%)vs
- Market cap
- ₹18,246 crIndian rupees
- Research updated
- 1 report
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About Aarti Industries
Aarti Industries Ltd. is a leading Indian chemical manufacturer specializing in the production of specialty chemicals and pharmaceuticals. The company's primary focus lies in creating a diverse portfolio of high-performance chemicals that serve various industries including agrochemicals, polymers, pigments, and pharmaceuticals. Notable for its robust capabilities in chemistry, Aarti Industries Ltd. provides crucial intermediates that support global industrial applications ranging from manufacture of dyes and pigments, additives, to those required in healthcare and agrichemicals. The company is strategically significant in the chemical supply chain, enabling sectors to enhance product performance and efficiency. Headquartered in Mumbai, India, Aarti Industries Ltd. leverages cutting-edge technology and infrastructure, ensuring compliance with rigorous safety and environmental standards. Its expansive production and R&D facilities allow for continuous innovation and adaptability, reinforcing its market position both domestically and internationally. As such, Aarti Industries Ltd. plays a pivotal role in bridging raw chemical production and end-user product transformations across multiple industry sectors.
- Sector
- Basic Materials
- Industry
- Specialty Chemicals
- Listing
- NSE: AARTIIND
- Next results
- Chief executive
- Mr. Suyog Kalyanji Kotecha
- Employees
- 5,868
- Headquarters
- Mumbai, India
- ISIN
- INE769A01020
- Website
- aarti-industries.com
Public research · Report of
Business model & financial foundation
Aarti Industries (NSE: AARTIIND), Speciality chemicals and aromatic intermediates: revenue of ₹8,286 crore in FY26 (+14.0% on FY25), an EBITDA margin of 14.1%, net profit of ₹419.1 crore and net debt of ₹4,310 crore.
- Revenue, FY26 (₹ crore)
- 8,286
- consolidated
- Revenue growth, FY26
- +14.0%
- on FY25
- EBITDA margin, FY26
- 14.1%
- EBITDA (Operating EBITDA excluding other income) / revenue
- Net profit, FY26 (₹ crore)
- 419.1
- to owners
- Return on equity, FY26
- 7.2%
- on average equity
- Net debt, FY26 (₹ crore)
- 4,310
- Company net debt less cash and marketable securities
- Market capitalisation (₹ crore)
- 17,815
- at the close of 16 Oct 2026
Company profile
Indian integrated manufacturer of speciality chemicals and intermediates across benzene, toluene and sulphuric-acid value chains, serving agrochemicals, polymers, pigments, pharmaceuticals and other industrial applications. Process expertise includes chlorination, nitration, hydrogenation and advanced custom synthesis. Overseas trading subsidiaries and chemical/circularity JVs complement Indian manufacturing. The pharmaceutical undertaking was demerged and is not consolidated as Aarti Pharmalabs.
| Item | Value |
|---|---|
| Legal name | Aarti Industries Limited (formerly Aarti Organic Private Limited) |
| Exchange and ticker | NSE: AARTIIND; BSE: 524208 |
| ISIN | INE769A01020 |
| CIN | L24110GJ1984PLC007301 |
| Sector | Materials |
| Industry | Speciality chemicals and aromatic intermediates |
| Headquarters | Mumbai, India |
| Fiscal year end | March |
| Reporting basis and unit | consolidated, in ₹ crore |
| Auditor | Gokhale & Sathe |
| Market capitalisation | ₹17,815 crore (16 Oct 2026) |
| Shares outstanding | 36.26 crore shares (FY26) |
| Price | ₹505.0 (close, 16 Oct 2026) |
| 52-week range | ₹338.0 - ₹551.8 (to 16 Oct 2026) |
| Website | https://www.aarti-industries.com |
Corporate structure and shareholding
| Entity | Holding | Business |
|---|---|---|
| Aarti Corporate Services Limited | 100% | Corporate services/investment holding; holds indirect subsidiary interests. |
| Innovative Envirocare Jhagadia Limited | 100% | Environmental services; no FY26 turnover reported. |
| Aarti Polychem Private Limited | 100% | Chemical subsidiary; no FY26 turnover reported. |
| Aarti Bharuch Limited | 100% | Chemical/project subsidiary. |
| Aarti Circularity Limited | 100% | Former Aarti Spechem; circularity ventures including 49% Re-Aarti JV. |
| Alchemie (Europe) Limited | 88.89% | European chemical trading subsidiary. |
| Aarti Chemical Trading - FZCO | 100% | UAE chemical trading; designated material subsidiary from 1 April 2026. |
| Aarti Chem Trading USA Inc. | 100% | US chemical trading; indirect through FZCO, incorporated 1 July 2024. |
As of cutoff excludes Shanti Intermediates: subsidiary at FY26 year end, ceased 23 June 2026. JVs (not subsidiaries): Augene 50%, Re-Aarti 49% through Circularity; equity method. No associates. Nascent ceased before FY26; disposal detail not retrieved.
| Shareholding (% of shares) | Q3FY26 | Q4FY26 | Q1FY27 | Q2FY27 |
|---|---|---|---|---|
| Promoter | 42.14% | 42.09% | 41.82% | |
| Foreign institutions | 6.70% | 7.38% | 7.00% | |
| Domestic institutions | 18.22% | 20.12% | 21.11% | |
| of which mutual funds | 10.20% | 11.51% | 12.12% |
The promoter holding pledged is a share of the promoter's own holding.
Business model
Aarti Industries is an integrated aromatic and sulphur-chain intermediates manufacturer. End uses are energy/fuel additives, agrochemicals, pharmaceuticals, dyes and polymers. MMA means monomethyl aniline, not methyl methacrylate. Product tonnes overlap through captive downstream conversion and cannot be added as external sales. One statutory segment, Specialty Chemicals; end-use revenue shares are not profit segments. Subsidiaries are consolidated; Augene and ReAarti are joint ventures accounted through share of PAT, not consolidated EBITDA.
| Peer | Why the dossier compares them |
|---|---|
| Atul Limited (ATUL) | Integrated aromatic intermediates, dyes and crop-protection chemistry; similar multi-end-use chemical manufacturing, though more diversified. |
| Deepak Nitrite Limited (DEEPAKNTR) | Nitro-toluidines, xylidines and cumidines; aromatic intermediates comparator. Phenolics mix limits margins; specific reaction overlap not confirmed in retrieved passage. |
| Anupam Rasayan India Limited (ANURAS) | Specialty intermediates for crop protection, pharma and performance materials; end-use/process-scale-up comparator. Specific reactions/CDMO not established in retrieved passage. |
| Navin Fluorine International Limited (NAVINFLUOR) | Complex multistep fluorinated/nonfluorinated CDMO and specialty intermediates; scale-up/custom synthesis comparator. Refrigerant/fluorine feedstock mix differs. |
| SRF Limited (SRF) | Industrial and specialty intermediates: chemicals-division comparator. Films/foil and textiles distort group margins; specific reaction overlap not confirmed. |
| Vinati Organics Limited (VINATIORGA) | Integrated aromatic derivatives and niche organic intermediates; comparable chemistry-led scale-up, but concentrated portfolio differs. |
Financial databook
| Profit and loss (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Net revenue from operations excluding GST | 5,191 | 6,492 | 6,372 | 7,269 | 8,286 |
| Cost of revenue (vendor classification) * | 3,602 | 4,695 | 4,655 | 4,655 | 6,128 |
| Other operating costs (vendor classification) * | 2,327 | 1,734 | 1,421 | 1,602 | 1,915 |
| EBITDA (vendor classification) * | 1,687 | 1,028 | 962.4 | 1,014 | 1,141 |
| Operating EBIT excluding other income | 1,441 | 717.4 | 598.5 | 562.8 | 693.4 |
| Finance costs including borrowing forex | 68.6 | 106.3 | 211.5 | 275.4 | 339.9 |
| Profit before tax after exceptional items | 1,372 | 611.1 | 395.4 | 307.3 | 364.8 |
| Total tax expense negative for credit | 186.3 | 65.9 | -21.1 | -23.6 | -54.3 |
| PAT before NCI and equity-accounted share | 1,186 | 545.2 | 416.5 | 330.9 | 419.2 |
| Diluted EPS (₹) | 32.71 | 15.04 | 11.49 | 9.12 | 11.55 |
| Materials, purchases and inventory change | 3,880 | 4,655 | 5,349 | ||
| Employee benefits expense | 403.7 | 447.1 | 422.1 | ||
| Other expenses including operating forex | 1,112 | 1,170 | 1,347 | ||
| Operating EBITDA excluding other income | 976.6 | 997.1 | 1,168 | ||
| Other income excluding exceptional income | 8.41 | 17.5 | 4.87 | ||
| Depreciation and amortisation expensed | 378.1 | 434.3 | 474.1 | ||
| Exceptional net gain positive | 0.00 | 2.37 | 6.47 | ||
| PAT attributable to non-controlling interests | 0.00 | 0.00 | 0.00 | ||
| Share of associate/JV profit or loss | 0.00 | -0.06 | -0.12 | ||
| PAT attributable to owners | 416.5 | 330.9 | 419.1 |
| Balance sheet (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Total equity including NCI | 4,517 | 4,921 | 5,290 | 5,605 | 5,955 |
| Gross loans and borrowings excluding leases | 2,587 | 2,907 | 3,184 | 3,790 | 4,921 |
| Cash and cash equivalents | 93.6 | 167.5 | 41.8 | 199.4 | 582.7 |
| Trade receivables | 1,092 | 940.5 | 826.4 | 786.1 | 1,403 |
| Inventories | 934.1 | 1,031 | 1,160 | 1,454 | 1,732 |
| Trade payables | 344.9 | 215.6 | 521.3 | 1,237 | 1,841 |
| Net tangible PPE | 147.4 | 159.4 | 5,588 | 6,277 | 6,265 |
| Capital work in progress | 1,409 | 1,041 | 1,052 | 1,274 | 2,030 |
| Total assets | 7,851 | 8,581 | 9,616 | 11,114 | 13,300 |
| Other bank balances including earmarked balances | 88.0 | 95.6 | 25.7 | ||
| Noncurrent investments not all liquid | 22.9 | 47.6 | 132.3 | ||
| Company net debt less cash and marketable securities | 3,050 | 3,492 | 4,310 | ||
| Cash and marketable securities net debt deduction | 133.5 | 297.6 | 610.6 | ||
| Current and noncurrent lease liabilities | 58.4 | 58.2 | 45.3 | ||
| Paid up equity share capital | 181.3 | 181.3 | 181.3 |
| Cash flow (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Cash from operations | 531.0 | 1,050 | 1,204 | 1,238 | 780.8 |
| Free cash flow (vendor definition) * | -646.8 | -7.56 | -124.2 | 1,242 | -343.5 |
| Dividends paid (the provider's sign: an outflow is negative) | -126.9 | -90.6 | -54.4 | -36.3 | -36.3 |
| Gross cash additions to PPE and capital WIP outflow | -1,165 | -1,326 | -1,328 | -1,382 | -1,124 |
| CFO less gross cash capex | -124.2 | -144.3 | -343.5 |
| Other reported lines (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Actual year end shares crore | 36.25 | 36.25 | 36.25 | 36.25 | 36.26 |
| Weighted average diluted shares crore | 36.25 | 36.28 | 36.27 | ||
| Company gross revenue including GST | 7,012 | 8,044 | 9,018 |
| Quarterly profit and loss (₹ crore) | Q2FY25 | Q3FY25 | Q4FY25 | Q1FY26 | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|---|---|---|---|
| Revenue from operations (net of GST) | 1,628 | 1,843 | 1,949 | 1,676 | 2,100 | 2,319 | 2,206 | 2,387 |
| Cost of revenue (vendor classification) * | 1,017 | 1,229 | 1,251 | 1,122 | 1,531 | 1,321 | 1,532 | |
| Other operating costs (vendor classification) * | 310.0 | 273.0 | 324.0 | 249.0 | 355.0 | 446.0 | 399.0 | |
| EBITDA (vendor classification) * | 202.0 | 236.0 | 265.0 | 216.0 | 323.0 | 342.0 | 385.0 | |
| EBIT excluding other income | 89.0 | 120.0 | 150.0 | 98.0 | 171.0 | 200.0 | 224.0 | 258.0 |
| Finance costs including loan FX revaluation | 62.0 | 85.0 | 64.0 | 60.0 | 100.0 | 69.0 | 112.0 | 83.0 |
| Profit before tax | 34.0 | 40.0 | 88.0 | 42.0 | 93.0 | 118.0 | 111.0 | 180.0 |
| Total tax expense (credit negative) | -18.0 | -6.00 | -7.00 | -1.00 | -12.0 | -14.0 | -26.0 | 25.0 |
| Consolidated profit before NCI attribution | 52.0 | 46.0 | 96.0 | 43.0 | 106.0 | 133.0 | 137.0 | 155.0 |
| Diluted EPS (₹) | 1.44 | 1.27 | 2.64 | 1.19 | 2.91 | 3.66 | 3.78 | 4.26 |
| Materials + trade purchases + inventory change | 1,017 | 1,229 | 1,251 | 1,122 | 1,375 | 1,531 | 1,321 | 1,532 |
| Employee benefits expense | 105.0 | 105.0 | 105.0 | 109.0 | 105.0 | 106.0 | 103.0 | 120.0 |
| Other expenses (reported; separate trade FX excluded) | 310.0 | 273.0 | 324.0 | 249.0 | 314.0 | 355.0 | 446.0 | 399.0 |
| EBITDA excl. other income (operating, same basis as annual) | 197.0 | 231.0 | 262.0 | 212.0 | 291.0 | 321.0 | 343.0 | 382.0 |
| Other income | 5.00 | 5.00 | 3.00 | 4.00 | 0.00 | 2.00 | -1.00 | 3.00 |
| Depreciation and amortisation | 108.0 | 111.0 | 113.0 | 114.0 | 120.0 | 121.0 | 119.0 | 124.0 |
| Exceptional gain positive; expense negative | 2.00 | 0.00 | 0.00 | 0.00 | 22.0 | -15.0 | 0.00 | 2.00 |
| Profit attributable to non-controlling interests | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Share of associates and joint ventures profit/loss | n.d. | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit attributable to owners | 52.0 | 46.0 | 96.0 | 43.0 | 106.0 | 133.0 | 137.0 | 155.0 |
| Gross revenue from operations including GST | 1,786 | 2,038 | 2,214 | 1,867 | 2,250 | 2,492 | 2,422 | 2,627 |
| GST collected (deducted from gross revenue) | 158.0 | 195.0 | 265.0 | 192.0 | 150.0 | 174.0 | 217.0 | 240.0 |
| Cost of materials consumed | 1,059 | 1,159 | 1,104 | 1,060 | 1,317 | 1,385 | 1,495 | 1,647 |
| Purchases of stock in trade | 39.0 | 34.0 | 72.0 | 73.0 | 77.0 | 215.0 | 235.0 | 190.0 |
| Changes in FG, WIP and stock-in-trade inventories | -81.0 | 36.0 | 75.0 | -11.0 | -19.0 | -69.0 | -409.0 | -305.0 |
| Trade FX loss (gain negative), operating | 0.00 | 3.00 | 6.00 | -16.0 | 15.0 | 5.00 | -6.00 | -46.0 |
| Profit before exceptional items and tax | 32.0 | 40.0 | 88.0 | 42.0 | 72.0 | 134.0 | 111.0 | 178.0 |
| Total income, as reported | 1,632 | 1,847 | 1,952 | 1,679 | 2,100 | 2,321 | 2,205 | 2,390 |
| Total expenses, as reported | 1,601 | 1,807 | 1,863 | 1,637 | 2,028 | 2,187 | 2,094 | 2,211 |
| Current year tax | 8.00 | 7.00 | 15.0 | 8.00 | 15.0 | 20.0 | 22.0 | 24.0 |
| Earlier year tax (dash or rounded0 normalised zero) | -1.00 | 0.00 | -3.00 | 0.00 | -3.00 | 0.00 | 0.00 | 0.00 |
| MAT credit utilised/(entitlement); entitlement negative | -18.0 | -7.00 | -15.0 | -8.00 | -15.0 | -20.0 | -21.0 | 0.00 |
| Deferred tax (credit negative) | -7.00 | -6.00 | -4.00 | -2.00 | -10.0 | -15.0 | -27.0 | 1.00 |
Consolidated, as reported. Lines marked * are the market-data provider's figures; the rest are extracted from the company's filings or derived from them. n.d. not disclosed, n.r. not retrieved, n.a. not applicable.
Metrics dashboard
| Metric | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Revenue growth | 20.6% | 25.1% | -1.8% | 14.1% | 14.0% |
| EBITDA margin | 15.3% | 13.7% | 14.1% | ||
| Net margin | 6.5% | 4.6% | 5.1% | ||
| Return on equity | 8.2% | 6.1% | 7.2% | ||
| Return on capital employed | 21.4% | 9.6% | 7.3% | 6.3% | 6.8% |
| Return on assets | 4.6% | 3.2% | 3.4% | ||
| Net debt (₹ crore) | 3,050 | 3,492 | 4,310 | ||
| Net debt / EBITDA | 3.12x | 3.50x | 3.69x | ||
| Interest cover | 21.0x | 6.75x | 2.83x | 2.04x | 2.04x |
| Asset turnover | 0.67x | 0.79x | 0.70x | 0.70x | 0.68x |
| Receivable days | 77 | 53 | 47 | 39 | 62 |
| Inventory days (on revenue) | 66 | 58 | 66 | 73 | 76 |
| Payable days (on revenue) | 24 | 12 | 30 | 62 | 81 |
| Cash conversion | 2.89x | 3.74x | 1.86x | ||
| Capex intensity | 22.4% | 20.4% | 20.8% | 19.0% | 13.6% |
| Free cash flow (₹ crore) | -634.0 | -276.7 | -124.2 | -144.3 | -343.5 |
| Dividend payout | 13.1% | 11.0% | 8.7% | ||
| EPS, diluted (₹) | 32.71 | 15.04 | 11.49 | 9.12 | 11.55 |
| Book value per share (₹) | 124.6 | 135.7 | 145.9 | 154.6 | 164.2 |
Computed from the statements above:
- Revenue growth: revenue over the previous year's, less one.
- EBITDA margin: EBITDA (Operating EBITDA excluding other income) / revenue.
- Net margin: net profit to owners / revenue.
- Return on equity: net profit to owners / average equity.
- Return on capital employed: EBIT / average equity plus borrowings.
- Return on assets: net profit to owners / average total assets.
- Net debt (₹ crore): Company net debt less cash and marketable securities; negative is net cash.
- Net debt / EBITDA: net debt / EBITDA (Operating EBITDA excluding other income).
- Interest cover: EBIT / finance cost.
- Asset turnover: revenue / average total assets.
- Receivable days: receivables / revenue x 365.
- Inventory days (on revenue): inventory / revenue x 365.
- Payable days (on revenue): payables / revenue x 365.
- Cash conversion: cash from operations / net profit to owners.
- Capex intensity: capital expenditure / revenue.
- Free cash flow (₹ crore): cash from operations less capital expenditure.
- Dividend payout: dividends paid / net profit to owners.
- EPS, diluted (₹): as reported (Diluted EPS).
- Book value per share (₹): equity / shares outstanding.
Source: the company's filings and disclosures as extracted into Mool's company dossier (version 1, information to 16 Oct 2026); market data at the close of 16 Oct 2026. Every figure is read from the dossier's files or computed from them; the account of the business model is the analyst's, from the dossier's workings.
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What the full research on Aarti Industries includes
Every piece of Mool’s research is built the same way: a researched evidence base, analyses that build on each other, a research model and a report with the call. This page shows the first analysis.
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- The 12-month rating and target
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- Business model & financial foundationOn this pageWhat the company does and how it makes money, its structure, five years of financials and the metrics that matter for it.
- Future earnings & financial modelForecasts built from the drivers that move the business, by scenario, beside the street's.
- Fundamental valuation & 12-month thesisWhat the business is worth on several methods, what the market already prices in and the 12-month thesis that follows.
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The model behind the report: the company’s history, the drivers that move it, its forecasts by scenario and the valuation the 12-month target comes from.
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Report history
Reports on Aarti Industries
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Prices are the last close on the NSE, 23 Oct 2026. Research from Mool’s report of 16 Oct 2026; page updated 25 Oct 2026.
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