Himadri Specialty Chemical: ₹120 Cr Expansion for High-Value Products to Fuel Atmanirbhar Bharat Vision
Himadri Specialty Chemical Ltd: Overview
Himadri Specialty Chemical Ltd is a leading integrated specialty carbon company in India with a diversified product portfolio. Established in 1987, the company specializes in the manufacture of coal tar pitch, carbon black, and advanced carbon materials. Himadri caters to a variety of industries, including aluminium, graphite, tires, lithium-ion batteries, and paints. It is recognized for its focus on innovation and sustainability, offering high-quality products that meet stringent global standards. The company’s state-of-the-art facilities and strong R&D capabilities enable it to consistently deliver value-added solutions to its clients, both domestically and internationally. Himadri’s core offerings include coal tar pitch used in the aluminium and graphite industries, carbon black for tire manufacturing, and advanced carbon materials for lithium-ion battery applications. With an emphasis on sustainable operations, the company is investing in cutting-edge technologies and expanding its footprint in high-growth sectors like energy storage and electric vehicles. The specialty carbon and chemical industry is poised for significant growth, driven by increasing demand from end-user industries such as aluminium, tire manufacturing, and energy storage. The global shift towards electric vehicles and renewable energy has created robust opportunities for advanced carbon materials, particularly in the lithium-ion battery segment. This industry is also benefitting from infrastructure development and industrial expansion in emerging economies like India and China.
Latest Stock News (16 Jan 2025)
Himadri Speciality Chemical Ltd has recently been awarded with Eco Vadis Platinum medal, this recognition is awarded to the top 1% of company by Eco Vadis in the world amongst more than 130,000 assessed companies globally. Aligned with our vision to expand into high-value products, we have planned a new capex for production of speciality products at an investment of Rs. 120 crore, funded through internal accruals. This facility will enable us to extract high-value specialty products, including Anthraquinone, Carbazole, and Fluorene from existing coal tar distillates at our existing facility and is expected to commence operations within the next 18 months. These products have application in dyes, pigments, pharma and various other industries. This strategic move marks a significant step towards reducing import dependency and aligns with Himadri’s commitment towards the Government of India’s vision of an Atmanirbhar Bharat.
Business Segments
- The product portfolio of Himadri Speciality Chemical Ltd includes battery materials, Carbon Black, Specialty carbon black, Coal tar pitch, refined naphthalene, SNF & PCE, Specialty oils, clean energy and Anticorrosion products. The company is working in all this industries and acquiring the companies in that industry to diversify its product portfolio.
Subsidiary Information
- Combe Projects Pvt Ltd: It is a wholly-owned is engaged in project-specific developments and investments, supporting the expansion and diversification of Himadri’s business operations. While specific details about its core activities are limited, subsidiaries like this typically assist in executing large-scale projects, infrastructure development, or specialized chemical production.
- Himadri Clean Energy Ltd: It focuses on the development and production of clean energy solutions. It plays a pivotal role in Himadri’s strategy to capitalize on the growing demand for sustainable energy products. The company is involved in the manufacturing of advanced carbon materials used in lithium-ion batteries, a key component of electric vehicles and renewable energy storage systems. This aligns with global trends favouring green and clean energy solutions.
- Himadri Future Material Technology Ltd: It is at the forefront of the company’s innovation and R&D initiatives. It specializes in advanced material development, particularly for high-growth sectors like electric vehicles, renewable energy, and energy storage. This subsidiary likely focuses on creating cutting-edge solutions to cater to the evolving demands of emerging industries, enabling Himadri to maintain its competitive edge in the global specialty chemical market.
- AAT Global Ltd: It is designed to enhance the company’s global presence. This subsidiary likely handles international operations, partnerships, and market expansion initiatives. It supports Himadri’s aim to strengthen its position in international markets and explore new opportunities in the specialty carbon and advanced materials sectors.
Q3 FY25 & Business Highlights
- Revenue of ₹1141 crore in Q3 FY25 up by 8.4% YoY from ₹1053 crore in Q3 FY24.
- EBITDA of ₹221 crore in this quarter at a margin of 19% compared to 17% in Q3 FY24.
- Profit of ₹141 crore in this quarter compared to a ₹109 crore profit in Q3 FY24.
- The company is net debt free as on December 2024, with positive cash balance of ₹109 crore on its balance sheet.
- The estimated capex for setting up facilities for extracting Anthraquinone, Cabazole & Fluorine from existing coal tar distillates. This capex is estimated to be of ₹120 crores and will be sourced from Internal accruals and is to be completed in 18 months from the time of commencement.
- The Cathode Active material capex is on schedule and is going to be live by Q3 FY27, and specialty carbon black line project to be live by Q3 FY26.
- It acquired 12.79% stake in Sicona an Australian startup specializing in lithium-ion batteries, and it is 50%-100% better in delivering higher capacity than conventional graphite anodes.
Financial Summary
| INR Cr. | Q3 FY24 | Q3 FY25 | FY23 | FY24 |
| Revenue | 1053 | 1141 | 4172 | 4185 |
| Expenses | 879 | 920 | 3773 | 3540 |
| EBITDA | 174 | 221 | 399 | 645 |
| OPM | 17% | 19% | 10% | 15% |
| Net Profit | 109 | 206 | 216 | 411 |
| NPM | 10.4% | 18.1% | 5.2% | 9.8% |
| EPS | 2.47 | 141 | 4.99 | 8.34 |