By: ICN Bureau
Last updated : October 30, 2026 8:18 pm
Revenue from operations grew to Rs. 1,877.04 crore
Atul Ltd has delivered a mixed financial performance for the second quarter of financial year 2026–27 (Q2 FY27), characterized by robust top-line momentum juxtaposed against severe pressure on profitability metrics.
Revenue from operations grew to Rs. 1,877.04 crore, representing a strong 21% year-on-year (YoY) expansion compared to Rs. 1,551.85 crore in Q2 FY26. Sequentially, the top-line managed a minor uptick of 1.57% over Q1 FY27, indicating steady demand volumes across key target industries like textiles, agriculture, and polymers.
However, this solid demand environment did not translate effectively to the bottom line due to intense cost pressures. Net Profit (PAT) for the quarter fell to Rs. 158.71 crore, marking a contraction of roughly 13% YoY from the Rs. 182.37 crore recorded in the corresponding period of the previous fiscal year. The earnings stress was primarily triggered by elevated operational expenses and inflationary input costs.
The EBITDA margin contracted significantly by 399 basis points YoY to settle at 13.14%, down from approximately 17.1% in Q2 FY26. This sharp drop highlights the ongoing friction from volatile raw material pricing, higher energy expenses, and rising freight costs, which the specialty chemical manufacturer has been unable to pass on fully to downstream customers.
Moving forward, the company's ability to optimize its product mix, stabilize input linkages, and leverage its high-volume performance chemicals division will remain essential to recovering its lost margin trajectory.