• Q2 FY25 revenue: INR 167.35 crores (+17% YoY), driven by a 16% increase in sales volumes.
• EBITDA margin for Q2: 18.8%, with expectations to remain between 17%-19% in the coming quarters.
• Export contribution: 66% of total sales.
• Industrial business: Contributed 82% of revenue.
• New US subsidiary to become operational in January 2025 to expand market reach.
• Gross margin improved significantly to 45% in Q2 (from 35% YoY) due to favorable product mix (Industrial segment) and contributions from the Pakhajan facility.
• Volume growth for Q2: 16% YoY; price reductions impacted overall revenue growth.
• The chemical sector remains under price pressure, but the bottom level of pricing is expected to stabilize.
• Pakhajan facility utilization: 15% in Q2; expected to reach 35%-40% in Q3 and 60% by Q4 FY25.
• Long-term guidance: Pakhajan facility to achieve 90% utilization by FY26.
• Industrial chemicals remain the primary revenue driver, with expected volume growth of 30%-40%.
  *Continues to gain market share, leveraging a strong product portfolio and approvals pipeline.
• The lubricant additives market estimated at $10-$12 billion, growing at 3%-4% annually.
• Export markets, particularly the US and Europe, account for over 70% of industrial segment revenue.
• Inventory levels increased due to customer trials and future production planning.
• Working capital cycle currently at 200 days, expected to normalize to 110-115 days by March 2025.
• Long-term debt repayment starts from FY26, with plans to reduce debt-to-EBITDA to 3x by FY26.
• Gross margin improvement attributed to product mix optimization within the industrial segment.
• Pricing pressures impacted revenue despite volume growth, with chemical prices expected to stabilize.
• New customer approvals for Pakhajan products are progressing, with significant ramp-up expected by Q4 FY25.
• Cautious due to global chemical sector volatility but confident in maintaining EBITDA margins.
• Operationalization of the US subsidiary in January 2025 to cater to smaller customers with shorter lead times.
• Focus on long-term contracts to mitigate pricing volatility.
• Infrastructure investments (e.g., Pakhajan facility) provide room for future capacity expansions at lower incremental costs. Double the capacity with 200cr investment.
• Long-term focus on sustainability and competitive positioning in mature markets.
• Stabilizing raw material and freight costs.
• Increased demand in industrial chemicals.
• Global pricing pressures in the chemical sector.
• Delays in customer approvals impacting capacity ramp-up.
• Pakhajan facility expansion allows for incremental capacity additions with minimal infrastructure costs (~INR 200-250 crores).
• Long-term plan to expand capacity post-70% utilization.
• Export to the US and Europe remains a significant contributor to revenue.
• Tariff changes in the US may present opportunities, though uncertainty remains.
• Growth focus on Central and Latin America for diversification.
• FY25 revenue target unlikely to reach INR 900 crores due to pricing pressures, but volume growth remains strong.
• FY26 revenue target of INR 1250 crores maintained, with expectations of better price stability and margin improvement.
• Long-term debt repayment begins in FY26 (~INR 25-30 crores per annum).
• Future capex will leverage existing infrastructure at Pakhajan to minimize costs and enhance ROCE.

management is continuously investing in new companies of battery, Semiconductors , start up to increase the usage of Bromine products, they are trying to expand the market with tie up and investments, this approach is appreciable

Forget the title which simply sweep off the fact that the Bank’s shares has not given any meaningful return after the initial sharp run post covid.

But could this be the end of a long consolidation phase.

I am impressed for your valuable information of the company.Actually i am new to fundamental analysis,can you say that where you got the Future Revenue Growth Projections: of the krn.