Sudarshan Chemical Industries Ltd(SUDARSCHEM)

NSE: SUDARSCHEMBSE: 506655

₹ 1,036.65-0.95%refreshed 23 Oct, 03:30 pm ISTMarket cap: ₹ 8,253 crWebsite: www.sudarshan.comUpdated: 24 Oct 2026

About

Sudarshan Chemical Industries Ltd is one of the world's largest pigment manufacturers, producing ~1,600 products across organic and inorganic pigments for coatings, plastics, printing inks, cosmetics and other applications. Following its acquisition of the Heubach/Clariant pigments business, it operates 19 manufacturing sites across 11 countries on five continents and serves over 4,000 customers in more than 120 countries. Reported revenue was 9787.2 crore in FY26.^[1][2]

Business segments

Pigments: 97.3% of segment revenue (₹9,524.5 Cr) in FY26, with EBIT margin of 6.1%; segment share has grown 16.6pp since FY18.^[3]
Others (primarily RIECO, an engineering business): 2.7% of segment revenue (₹265.2 Cr) in FY26, EBIT margin of 3.1%.^[3]
RIECO revenue was about ₹268 Cr in FY26, with EBITDA of ₹10 Cr vs a loss of ₹17 Cr.^[1]

Products and brands

Portfolio spans ~1,600 products and 63 brands across coatings, plastics, printing inks, digital inks, cosmetics, home and personal care, and agriculture.^[1]
Organic pigment brands include Hostaperm®, Sudaperm®, Novoperm®, and Hansa®; inorganic brands include Heucodur®, Colanyl® 100, Low-VOC Colanyl® 500, and Hostatint.^[1]
The company puts the global colour pigments market at nearly $8.6 billion, with an expected CAGR of 3% (FY26 annual report).^[1]

Manufacturing footprint

As of FY26: 19 manufacturing facilities in 11 countries, and 3,825 employees.^[1]
Sites include India (Dahej, Ankleshwar, Roha, Nagda, Mahad, Cuddalore), Germany (Frankfurt, Langelsheim), USA (Fairless Hills, PA), China (Tianjin, Hangzhou), Japan, Mexico, Thailand, Indonesia, Chile, South Africa and Brazil.^[1]
Indian standalone operations include 2 plants at Roha and Mahad (District Raigad, Maharashtra) and 1 R&D centre at Ambadwet (Sutarwadi).^[1]
12 Global Technical Centers staffed by 200+ technical experts across India, Brazil, North America, South Africa, Germany, Japan, and China.^[1]
Frankfurt plant rightsizing completed; its production transferred to the legacy Clariant plant in India. No further major manufacturing footprint changes planned.^[4]

Key operating numbers

Legacy Sudarshan pigment revenue grew 26.4% YoY to ₹730 Cr in Q1 FY27; business EBITDA margin expanded 230 bps to 17.4%.^[5]
Acquired group business EBITDA grew 97.6% YoY to ₹128 Cr in Q1 FY27; business EBITDA margin expanded 310 bps to 6.5%.^[5]
One Sudarshan (pigment global) combined business EBITDA margin was 9.8% in Q1 FY27, up 3.6pp YoY.^[5]
Net working capital as % of annualised sales improved to 23.6% in Q1 FY27 from 25.9% in FY26.^[5]
RIECO revenue fell 25% YoY to ₹38 Cr in Q1 FY27 with EBITDA of -₹10 Cr (-26.3% margin), due to subcontractor and site-readiness issues.^[5]
Exports contributed 45.3% of standalone total turnover in FY 2025-26.^[1]
In FY26 the acquired business saw customer destocking during parts of the year; the legacy business was stable but affected by go-to-market changes in Europe and LatAm.^[1]

Customers and distribution

Over 4,000 direct customers in more than 120 countries across every major industry as of FY26.^[1]

Deleveraging and balance sheet

Net debt reduced from a peak of ₹922 Cr to ₹531 Cr in Q1 FY27 (net debt-to-equity of 0.2x), down from ₹755 Cr at FY26 year-end (0.3x).^[5][1]
Annualised ROCE was 22.7% in Q1 FY27; adjusted ROCE was 10.8% for FY26.^[5]

Targets and guidance

One Sudarshan consolidated FY27 revenue guidance: ₹9,800 - 10,200 Cr; FY27 EBITDA guidance: ~₹800 Cr.^[5]
Acquired group FY27 revenue guidance: ~€700 Mn; FY27 business EBITDA guidance: ~€35 Mn.^[5]
FY29 consolidated revenue target: ₹12,000 - 14,000 Cr; FY29 EBITDA target: ₹1,400 - 1,500 Cr (vs FY23 EBITDA of ₹194 Cr).^[5]
Net debt targeted at ~₹500 Cr by FY27 and cash-positive by FY29; management expects legacy Sudarshan revenue growth of 12 - 13% per annum.^[5]
Substantially all EBITDA uplift to ~₹1,400 - 1,500 Cr is expected from cost reduction and value capture rather than revenue growth, with the major portion in FY27 - FY28.^[5]

Integration and infrastructure

One SAP (Project Integra) go-live targeted by FY27 year-end, consolidating four legacy SAP systems and 130 applications.^[5]
Global Capability Center in Pune inaugurated on 4 February 2026; gradual shift of applicable global-team roles to GCC over 6 - 8 months underway.^[4]

Recent developments

On 1 October 2026, Sudarshan Chemical acquired a 15.89% stake in Sudarshan Colorants India Limited for ₹150,75,62,796, making it a subsidiary.^[6]
Completed acquisition of Heubach Group's Global Pigment Business on 3 March 2025 via Sudarshan Europe B.V.; it contributed ₹52,500 lakh revenue and ₹600 lakh PBT post-acquisition in FY25.^[7]
Raised a QIP of ₹79,999.99 lakhs and a preferential issue of ₹19,499.84 lakhs; ₹286.87 lakhs remained unutilised as on 31 March 2025.^[7]
A.N. Rathi and P.R. Rathi groups reclassified from promoter to public in FY25; promoter holding fell from 23.89% to 16.40%, and R.B. Rathi became Chairman.^[7]

Market Cap

₹8,253 Cr

High / Low

₹1,346 / 727

Stock P/E

112.6

Price / Book

2.4

Book Value

₹439

EPS

₹2.8

No. of Shares

7.86 Cr

ROCE

5.6%

ROE

0.7%

OPM

3.3%

Debt / Equity

0.61

Sales

₹9,787 Cr

Net Profit

₹41 Cr

Promoter holding

9.3%

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Sudarshan Chemical Industries Ltd(SUDARSCHEM)

About

Business segments

Products and brands

Manufacturing footprint

Key operating numbers

Customers and distribution

Deleveraging and balance sheet

Targets and guidance

Integration and infrastructure

Recent developments

Signal history

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