As of , Valiant Organics Ltd (Chemicals - Organic) has a deep value score of 53/100 (rated Average). Earnings are accelerating. 1Y return vs Nifty 500: -32%.
Based on Q3 FY26 earnings • Updated Apr 18, 2026
What: Gross Margin: 43%
Impact: 500 Bps expansion
“Gross profit margin expanded by over 500 Bps year-on-year to 43%, compared to 38% in 9M FY25, indicating stronger pricing discipline and improved cost efficiencies.”
What: ZLD Plants: 5
“6 Manufacturing units across 5 Locations 5 Zero Liquid Discharge plants”
What: Gross profit margin expansion of 500 Bps
“Gross profit margin expanded by over 500 Bps year-on-year to 43%, compared to 38% in 9M FY25, indicating stronger pricing discipline.”
Earnings deceleration risks from management commentary
Trigger: Market conditions and pricing dynamics in the specialty chemicals sector.
Management view: Focus on cost efficiencies and raw-material management.
Monitor: commodity
Trigger: General market slowdown or specific end-user industry cycles.
Management view: Not explained on call
Monitor: regulatory
Key quotes from recent conference calls
“Q2-FY26 CONSOLIDATED FINANCIAL HIGHLIGHTS INR 1,573 Mn Operational Revenue [Previous Operational Revenue guidance]”
“6 Manufacturing units across 5 Locations 5 Zero Liquid Discharge plants [Initiative: Zero Liquid Discharge plants]”
“revenue remained largely stable year-on-year, reflecting steady overall performance despite near-term pricing pressures. [Risk (commodity): HIGH]”
“While the third quarter witnessed pricing pressure and demand softness, the cumulative nine-month performance highlights a significant improvement. [Risk (regulatory): MEDIUM]”
Headline numbers from the latest earnings call
Revenue
INR 1,593 Mn
Why: Revenue remained largely stable year-on-year for the nine-month period despite near-term pricing pressures and demand softness in the third quarter.
Revenue was impacted by pricing pressure and demand softness during the third quarter.
EBITDA
INR 156 Mn
Why: EBITDA increased meaningfully year-on-year due to effective cost control and operating discipline despite a softer third quarter.
Margins improved on a 9M basis due to cost efficiencies and pricing discipline.
PAT
INR 36 Mn
Why: Profitability was supported by an exceptional insurance claim refund of INR 57 million, boosting Profit Before Tax for the period.
PAT recorded a turnaround compared to a loss in the corresponding period last year on a 9M basis.
Other Highlights
• Gross profit margin expanded to 43% in 9M FY26 from 38% in 9M FY25.
• Exceptional income of INR 57 million from insurance claim refund.
• Net Debt to Equity ratio improved to 0.31x as of H1-FY26.
Sub-sector-specific signals from the latest concall — each with management's stated reason for the change
Total Production Capacity
70,000 TPA
Chlorination Revenue Share (9M)
23%
Hydrogenation Revenue Share (9M)
43%
Ammonolysis Revenue Share (9M)
28%
Dyes & Pigments End User Share
52%
Agro Chemicals End User Share
25%
Pharmaceuticals End User Share
13%
Net Debt to Equity (x)
0.31x
Forward-looking targets from management
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | +7% | -11% | Stable |
| PAT (Net Profit) | +300% | -32% | Stable |
| OPM | 12.0% | +200 bps | Volatile |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Apr 18, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
Valiant Organics Ltd has a deep value score of 53/100 (rated Average). This score is calculated from three components
Valiant Organics Ltd's quarterly profit (PAT) growth trajectory
Valiant Organics Ltd is underperforming the market despite improving earnings — this is the core deep value thesis
Valiant Organics Ltd's earnings momentum is Accelerating — profit growth is speeding up.
Valiant Organics Ltd's valuation metrics
Valiant Organics Ltd's revenue and margin trends
Valiant Organics Ltd's trailing twelve month (TTM) performance
Valiant Organics Ltd key facts
Valiant Organics Ltd shows limited deep value signals currently — score is 53/100 (Average). Monitor for improvement.
Other deep value stocks in Chemicals - Organic
Chemicals - Organic deep value sector overview
Deep value investing studies stocks that are underperforming the market despite showing improving fundamentals. The thesis is that the market has not yet recognized the earnings recovery, creating a potential valuation gap. It requires patience — recovery can take several quarters.
The deep value score (0-100) combines three factors:
- Earnings (0-40 pts): PAT growth across last 3 quarters, acceleration, and consecutive growth - Underperformance (0-35 pts): How much the stock trails Nifty 500 over 1Y, 6M, 3M (deeper underperformance = higher score) - Quality (0-25 pts): Revenue growth, margin trends, and valuation metrics (PEG, P/B)
Higher score indicates a stronger contrarian research signal.
Valiant Organics Ltd has 3 key growth catalysts identified from recent earnings analysis
Valiant Organics Ltd has 2 key risks worth monitoring
In Q3 FY26, Valiant Organics Ltd's management highlighted
The above FAQs are generated from publicly available earnings data. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
