Rossari Biotech Ltd

- Revenue growth in Q2 FY26 was strong at 18% YoY, driven largely by volume increases across all verticals (HPPC, TSC, AHN). - Exports grew robustly by 36% YoY in Q2 and 27% in H1, now comprising nearly 28% of total revenue, with growth driven by new geographies like Far East, Southeast Asia, and MENA. - Capacity expansions (total planned Rs. 192 crore capex) including 20,000 MT at Dahej and 15,000 MT ethoxylation at Unitop will support future revenue growth. - Capex projects expected to deliver 3-4x asset turns at full utilization, with peak utilization by FY28. - Non-EO and new product portfolios (approx. 50 new products in pipeline) expected to ramp up gradually. - Institutional and B2C verticals currently soft but losses are reducing; expected to scale meaningfully over time. - Guidance: Core B2B EBITDA margins stable at 14%-16%, with volume-driven growth continuing. - Phased capacity additions scheduled during FY27 and beyond will support incremental sales growth.

- Rossari expects steady volume-driven revenue growth with exports rising robustly (36% YoY in Q2), supported by product portfolio expansion and new capacities. - EBITDA margins are expected to remain stable, with core B2B margins in the 14%-16% range excluding consumer and institutional businesses. - Profitability is anticipated to strengthen progressively as new business initiatives and capacity expansions ramp up, particularly from FY27 onwards. - Significant capex completed and underway (Rs. 192 crore total), expected to deliver 3-4x asset turns at full utilization by FY28. - New ethoxylation capacity and non-EO product pipelines should contribute to margin improvement and higher earning potential. - Institutional and consumer verticals are improving operational efficiency, with reduced losses indicating future profit growth potential. - Overall, stable margins with increasing absolute profits aimed from FY27, aligned with capacity utilization and improved product mix.

- The transcript does not provide specific details or figures about the current or expected order book or pending orders. - However, there is mention of growing export momentum and revenue ramp-up expected every quarter, especially from non-EO business, depending on market conditions. - The company is focusing on emerging geographies such as Far East, Southeast Asia, and MENA regions to sustain or increase export sales momentum. - There is also ongoing capacity expansion and commissioning aimed to support future growth. - Uncertainty in global markets, especially tariffs affecting exports (notably to the US), is impacting order visibility and customer behavior. - Management remains hopeful for order growth as new products and capacities come online despite challenges. No specific numeric order book data or pending orders were disclosed in the call transcript.

- Rossari Biotech's current capex is mostly funded through a mix of internal accruals and debt. - The company is not averse to raising further debt if needed to fund expansions. - Large capex projects are spread over time, allowing manageable funding. - There are no specific mentions of planned equity fundraising in the near term. - The company retains strong liquidity and conservative leverage with headroom to support growth. - Future strategic opportunities, including large projects in India and internationally, may trigger funding decisions. - Overall, the approach is phased, prudent debt usage with internal cash flow backing, and no immediate plans for equity fundraising disclosed.

- Rs. 97 crore and Rs. 95 crore capex announced last quarter, expected to come on stream in FY27 via 5-6 projects in a phased manner. - Capacity to reach approximately 385,000 tons by FY26 end. - New ethoxylation capacity commissioned at Unitop (15,000 tons) and Dahej (20,000 tons) confirmed; part of ongoing expansions. - Total planned capital outlay of Rs. 192 crore nearing completion; remaining projects to be commissioned in coming months. - Board approved up to USD 8 million investment in wholly owned subsidiary in Saudi Arabia (Rossari International Limited Company) for feasibility and expansion studies. - Small capex underway in Southeast Asia (Thailand) for a blending unit. - Additional planned capacity expansions are staggered to manage balance sheet and leverage prudently. - Asset turn from new capex expected around 4x at peak utilization, with revenue potential of approx. Rs. 3,500 crore from new capacities.