GHCL reports Q2 FY26 profit decline, announces share buyback

GHCL Limited, a prominent Indian chemical company, announced its unaudited standalone financial results for the second quarter and first half of the fiscal year 2026. For Q2 FY26, net revenue declined by 9% to INR 739 crores compared to INR 810 crores in Q2 FY25. EBIDTA saw a 23% drop to INR 175 crores from INR 228 crores, while net profit decreased by 31% to INR 107 crores from INR 155 crores in the same period last year. H1 FY26 also reflected a decline.

Despite the declines, GHCL emphasized its resilience amid global geopolitical headwinds and trade uncertainties, benefiting from healthy domestic demand. The company is actively managing cost optimization and building for the future through diversification into bromine and vacuum salt, with emerging applications in solar glass expected to accelerate next year. The proposed anti-dumping duty (ADD) on soda ash, if approved, is anticipated to restore a level playing field and provide relief from predatory import pricing.

In a move to enhance shareholder value, GHCL announced its third share buyback program. The company will buy back equity shares worth INR 300 crores through a "tender offer" route. This program aims to distribute surplus cash to shareholders and improve the company's earnings per share (EPS) and return ratios.