Aether Industries Ltd(AETHER)

NSE: AETHERBSE: 543534

₹ 1,412-2.67%refreshed 23 Oct, 03:30 pm ISTMarket cap: ₹ 18,741 crNext results: 30 Oct 2026Website: www.aether.co.inUpdated: 24 Oct 2026

About

Aether Industries Ltd is a Surat-based Indian specialty chemicals manufacturer producing complex, high-value molecules across pharmaceutical, agrochemical, oil & gas, and materials science end-markets via three business models: Large-Scale Manufacturing (LSM), Contract and Exclusive Manufacturing (CEM), and Contract Research and Manufacturing Services (CRAMS). The company reported consolidated revenue of ₹11,601M in FY26, a 38% increase year-on-year. CEM and CRAMS together accounted for 55% of FY26 revenues and 60% of Q1 FY27 revenues, reflecting a deliberate pivot toward contracted, higher-margin business.^[1][2]

Business segments

CEM (Contract and Exclusive Manufacturing): 60% of Q1 FY27 consolidated revenue (up from 28% in Q1 FY25), with ₹1,656M revenue in Q1 FY27, growing ~75% YoY. Dedicated production blocks for named global customers.^[3]
LSM (Large-Scale Manufacturing): share deliberately reduced as lines are reallocated to CEM. LSM volume down 22% YoY in Q1 FY27 but pricing up 22.5% YoY; volume recovering +11.7% QoQ.^[3]
CRAMS (Contract Research and Manufacturing Services): ₹301M revenue in Q1 FY27, up ~20% YoY. Together with CEM, CRAMS+CEM constitutes 60% of Q1 FY27 revenue.^[3]
Oil & Gas segment crossed ₹1,000M quarterly revenue for the first time in Q1 FY27, contributing 31.4% of revenue, up from 19.2% in Q1 FY26 and 6.0% in FY25.^[3]

Products and technology

The company describes its core competency as continuous reaction and flow technology (FY26 annual report).^[4]
Sector mix in H1 FY26: pharma and agrochemicals 48% combined; oil & gas 19%; materials science 18%. Oil & gas share was 0.62% in H1 FY25.^[5]
Semiconductor specialty monomers and silane coupling agents for low-dielectric 5G/AI circuit boards: initial production at Site 3 (10 - 15 MT/month); 400-tonne/year capacity to go live at Site 5 by end-September 2026. Average product value ~$50/kg.^[3]
Baker Hughes (Site 4): supplying 8 products as of Q3 FY26 with 7 - 8 more in the pipeline; FY26 full-year revenue ₹220 crore, a 4x increase from ₹50 crore in FY25.^[6]

Operations and manufacturing sites

Site 2 (Genesis): 74% utilisation in Q1 FY27 (75% in Q4 FY26; 76% in Q3 FY26). Core LSM and CRAMS production, Surat.^[3]
Site 3: 70% utilisation in Q4 FY26 (70% in Q3 FY26). Hosts initial semiconductor specialty monomer production at 10 - 15 MT/month.^[1]
Site 4 (Baker Hughes / Aether Specialty Chemicals): 58% utilisation in Q1 FY27, generating ₹700M quarterly revenue. Utilisation was 55% in Q4 FY26 and 49% in Q3 FY26.^[3]
Site 3++ (Ascend, Milliken CEM): commissioned February 2026; running at 72% utilisation in Q1 FY27, including a European major CEM contract in material science alongside Milliken supply.^[3]
Site 5 (Magnum), Panoli: Phase 1 (two production blocks) commenced commercial operation in Q1 FY27. Total site investment ₹2,200 - 2,300 crore across up to 20 production blocks on 46 acres.^[3]

Key operating numbers

Gross margin: 49.83% in Q1 FY27, up 190 bps YoY from 47.93% in Q1 FY26, driven by raw material pass-through and CEM/CRAMS mix shift.^[3]
R&D spend: 6.16% of revenues in Q1 FY27; 7.3% (₹862.13M) for full-year FY26; 7.01% for 9M FY26.^[3]
Working capital cycle: 179 days at FY26 year-end (down 15 days YoY); had compressed to 149 days at Sep 2025 during the year.^[1]
R&D pipeline: 55+ active projects as of Q2 FY26, with ~70% in non-agro/non-pharma sectors such as oil & gas, materials science, and petrochemicals.^[5]

Customers and distribution

19 new marquee customers onboarded in FY26 following 50+ customer and certification audits; multiple customers completed pre-audits for Site 5.^[1]
Named anchor customers include Baker Hughes (Site 4 dedicated), Milliken (Site 3++ dedicated), and a European major under a material science CEM contract at Site 3++.^[3]
Semiconductor validation batches dispatched to customers in Japan, South Korea, and Taiwan as of Q3 FY26.^[6]
Export share guided to recover to 50 - 60% of topline as trade uncertainties resolve.^[1]

Expansion and capex

FY26 actual capex: ₹3,838M. FY27 capex guidance: ₹3,000 - 3,500M, primarily for Site 5 and a new R&D centre.^[1]
Site 5 (Magnum), Panoli: two further production blocks targeted for Q3 FY27 - one for semiconductors (45 MT/month across three 15-MT streams) and one for a CEM contract with a European major.^[3]
Site 5 semiconductor capacity planned to grow from 400 tonnes/year to 1,200 tonnes/year (3x) by 2030.^[3]
New R&D centre (Site 1+/Catalyst): ~120 fume hoods, 8 technical labs; total capex ~₹1,000M; targeted commissioning Q2 FY28.^[3]
Converge Polyol (Saudi Aramco JV): guided to achieve sales of ₹650 - 750M in FY27.^[3]
Remaining capex across Site 5 phases and R&D expansion totals ~₹1,500 - 1,600 crore over the next four years through FY30.^[1]

Recent developments

30 July 2026: Aether and Dow Chemical announced an exclusive multi-year collaborative research programme to develop new silicone manufacturing technologies, with R&D and pilot-scale work at Aether's Surat facilities.^[3]
Q1 FY27: Site 5 (Magnum) Phase 1 commenced commercial operation; revenue contribution expected from Q2 FY27.^[3]
FY26 AGM notice proposes re-appointing all four promoter executive directors for 5 years, from 01.10.2026 to 30.09.2031.^[4]
Aether is pursuing the ISM 2.0 scheme application for its semiconductor electronic materials segment; structure still being assessed as of Q1 FY27.^[3]
Interim R&D expansion completed at existing facility: 2 new labs, 18 fume hoods (including 5 engineering fume hoods), and a 400 MHz NMR machine installed; commercialisation expected from Q2 FY27.^[1]

Market Cap

₹18,741 Cr

High / Low

₹1,813 / 723

Stock P/E

79.6

Price / Book

7.6

Book Value

₹185

EPS

₹17.3

No. of Shares

13.27 Cr

ROCE

11.9%

ROE

9.8%

OPM

26.9%

Debt / Equity

0.18

Sales

₹1,160 Cr

Net Profit

₹230 Cr

Promoter holding

74.9%

Loading chart…

Signal history

AI Deep Dive

The analysis Screener can't give you

Our models read the latest earnings call, annual report, and financials end-to-end - then grade management, value the business, and flag the risks. Unlock all of it for this company:

Verdict
The headline call - descriptive label, conviction, and the synthesis behind it.
Valuation
Guidance-anchored P&L bridge - worst / average / best multiple cases.
Walk the talk
Did management deliver on past guidance? A commitment-by-commitment scorecard.
Red flags
Forensic and governance risk pointers, severity-ranked.
Balance sheet
Solvency and earnings-quality score.
Concall briefs
Quarter-by-quarter earnings-call briefs - what changed and why.

₹49 unlocks this company for 90 days, ₹299 for a full year - bundles bring it lower. Built on public disclosures - educational, not investment advice.

AI Deep Dive

Verdict

Locked

The headline call - descriptive label, conviction, and the synthesis behind it.

Company data

Financials