Shivam Chemicals H1 Profit Surges 390% to ₹9.8 Cr as Operating Margins More Than Double

Key numbers

P/E TTM	39.25Sector PE 26.8
Market Cap	₹242.91 CrFood & Beverages
1-Year Return	120.37%Price Performance
Promoter Holding	73%No Pledge reported

Key highlights

• Net profit reached ₹9.8 crore in H1-27, a 390% increase from ₹2.0 crore in the same period last year
• Revenue from operations surged to ₹246 crore, marking an 86.4% growth over H1-26 figures
• Operating margins expanded significantly to 5.3%, up from 1.9% in the year-ago period
• Profit before tax stood at ₹13.1 crore for H1-27, compared to ₹2.5 crore in H1-26
• Phase I commercial production of Feed-Grade Dicalcium Phosphate commenced at the Dahej facility in October 2026

Operational Scaling and Margin Expansion

Shivam Chemicals demonstrated sharp operational scaling in the first half of FY27, with revenue climbing to ₹246 crore from ₹132 crore in the prior year's corresponding period. This 86.4% topline growth was accompanied by a substantial improvement in profitability, as net profit more than doubled on a sequential basis, rising 133.3% from the ₹4.2 crore reported in H2-26. The efficiency gains are reflected in the operating margins, which improved from 3.5% in the preceding half-year to 5.3%.

This expansion aligns with management's earlier guidance regarding the positive impact of renewable energy feedstock exports to the US market.

Strategic Capacity Milestones

• Commencement of Phase I commercial production of Feed-Grade Dicalcium Phosphate (DCP) at Dahej, Gujarat on October 2, 2026
• Rajasthan-based leased Quick Lime manufacturing unit at Khimsar operating at full capacity since March 2026
• Resumption of US renewable energy feedstock export orders as of September 7, 2026, contributing to turnover
• Promoter holding remains stable at 73% with zero shares pledged as of the latest reporting period
• Institutional holding stands at 4.69%, including a 1.48% stake held by Foreign Institutional Investors

Market Performance and Valuation Context

The company's stock has seen a significant appreciation of 120.37% over the past year, reflecting investor interest in its capacity expansion and export strategy. At a current price of ₹143, the company commands a market capitalization of ₹242.91 crore. While the trailing P/E ratio of 39.25 is higher than the industry average of 17.97, the half-yearly results suggest a narrowing gap through accelerated earnings growth.

Technical indicators show the stock trading above its 200-day Simple Moving Average of 101.26, though it remains slightly below its 52-week high of 159.45.

What to watch next

• Financial impact of the fully operational Dahej DCP facility on H2-27 results
• Sustenance of export order momentum in the US renewable energy feedstock segment
• Updates regarding potential Phase II expansion at the Gujarat subsidiary facility

Shivam Chemicals · financial snapshot

Share price	₹143
Market capitalisation	₹242.91 Cr
Revenue (annual)	₹284.23 Cr
Net profit (annual)	₹6.19 Cr
P/E (TTM)	39.25×Sector 26.8×
Promoter holding	73%0.00% QoQ
FII holding	1.48%Current quarter

Reference market data from a third-party provider, as of the story. Not a valuation or a recommendation.