Epigral: 70% Revenue from Derivatives by FY28

New Delhi, Aug 11 (PTI) Chemicals maker Epigral expects its derivatives and speciality product vertical to contribute over 70 per cent of the revenue by 2027-28 and play a major role in achieving the targeted 20 per cent annual growth, a top company official said.

The new chemistry and focus on derivatives & specialty products will bring a lot of consistency in the revenue as well as profits, Epigral Chairman and Managing Director Maulik Patel said in a statement.

Patel said that the company's capex projects of doubling capacity of CPVC resin and Epichlorohydrin plant are moving as per the schedule and are expected to be commissioned within the time line and budget announced.

"We expect this to strengthen our diversification and reach to a 70 per cent revenue contribution from the derivatives and specialty business. This expansion, along with Chlorotoluene value chain, which got commissioned in March 2025, are expected to drive growth in FY '27 and FY '28," he said.

The company expects demand from the domestic market to drive its growth momentum in the long term. It is already investing in research and development capabilities to identify new chemistries with good growth potential in India, Patel said.

Derivatives & speciality products accounted for 54 per cent of the total revenue in FY2024-25.

Epigral is also the country's largest and only manufacturer of Epichlorohydrin and it is set to expand its Chlorinated Polyvinyl Chloride (CPVC) capacity from 75,000 MTPA to 1,50,000 MTPA, Patel said.

The company expects that despite strong growth in revenue numbers, its EBITDA margin to remain at around 25 per cent on account ofa higher efficiency level and better product mix, he added.

Epigral has reported revenue of Rs 615 crore for the quarter ended June 30, 2025, against Rs 654 crore in the same quarter of FY25. Its profit after tax stood at Rs 160 crore compared to Rs 86 crore in the June quarter of FY25.