Asahi Songwon Colors Reports Q1FY27 Results; Consolidated Revenue Reaches ₹189.70 Cr

Asahi Songwon Colors Reports Q1FY27 Results; Consolidated Revenue Reaches ₹189.70 Cr​

Ahmedabad: Asahi Songwon Colors Limited, a major manufacturer of pigments, colorants, and APIs in India, has announced its financial results for the first quarter ended June 30, 2026. The company reported strong performance across various segments, though some businesses faced challenges related to raw material costs.

The company recorded Consolidated Total Revenue of ₹189.70 Cr for Q1FY27. This represented a 28.57% increase Quarter-on-Quarter (Q-o-Q) and a 25.35% rise Year-on-Year (Y-o-Y). The Consolidated EBITDA stood at ₹32.60 Cr, marking a Q-o-Q jump of 41.62% and a Y-o-Y increase of 171.56%. Net Profit for the quarter was reported at ₹19.03 Cr, achieving a massive Q-o-Q increase of 75.80% and a Y-o-Y rise of 633.26%.

The EBITDA Margin for Q1FY27 stood at 17.18%, improving compared to the 15.60% margin in Q4FY26 and 7.93% in Q1FY26.

Segment Revenue Breakdown​

The total revenue was derived from three core segments, as detailed below:

Operational Commentary​

Gokul Jaykrishna, Managing Director, provided commentary on the Azo and API businesses. He noted that the Azo business encountered a steep uptick in raw material costs during the quarter, leading some customers to defer purchases and resulting in lower-than-anticipated volumes. However, he stated that this was primarily a timing issue, not an indicator of underlying demand, and expressed confidence in returning to earlier volume levels as input costs stabilize. In the API business, the company saw a sustained increase in realisations for the first time in a long period while continuing to grow volumes, with ongoing confidence in improving performance in subsequent quarters. Jaykrishna also highlighted that strong cash flows across all businesses have facilitated effective deleveraging, maintaining deleveraging as a key priority without immediate fresh capex lined up.

Arjun G. Jaykrishna, Chief Executive Officer & Executive Director, commented on the performance of the Blue business (Phthalocyanine). He described Q1FY27 as an exceptionally strong start for the phthalocyanine pigment segment, driven by growth in both volumes and realisations, which translated into a sharp improvement in profitability. Higher input costs supported stronger realisations, complementing healthy volume gains and internal operational efficiencies that contributed to better profitability. Jaykrishna also noted that while the operating environment remains positive, the current level of margins is slightly above what is considered sustainable over the long term. Despite this, he confirmed meaningful structural changes across customer and product profiles, along with steady volume growth, which are expected to maintain healthy profitability in the blue business going forward.

Asahi Songwon Colors Ltd., a leading player in the Indian Pigment industry, manufactures Beta Blue and Blue Crude, and operates through its subsidiaries that produce AZO pigments and APIs. The company services both global and domestic customers, with over 50% of its business derived from exports to multinational corporations globally. It operates four manufacturing facilities across Gujarat, supporting more than 80 international and domestic clients.

ASAHISONG Stock Price Movement​

Asahi Songwon Colors Limited shares today slipped by 1.58% to settle at ₹385.60 in post-market trading. The stock saw a traded volume of 19,390 shares during the session.