GACL Q2 FY26 Investor Update: Return to Profitability and Strategic Expansion in Renewable Energy

Gujarat Alkalies and Chemicals Ltd. (GACL) has released its financial results for the second quarter 📈 Q2 FY26 Financial Highlights GACL reported a strong recovery, swinging from a loss to a profit in the second quarter, driven by solid top-line growth and improved market dynamics. Net Profit: The company posted a consolidated net profit of ₹16.3 crore. This marks a significant turnaround from the consolidated net loss of ₹18.2 crore reported in the same quarter of the previous fiscal year (Q2 FY25). Revenue Growth: Revenue from operations registered a robust 9.3% year-on-year increase, growing to ₹1,083 crore from ₹990.7 crore in the corresponding period last year. Performance Drivers: The company attributes this improved performance to a combination of higher sales, better price realisations for its key chemical products, and an easing of input costs. 🌳 Strategic Board Directives (Meeting Dated Nov 7, 2025) The board has sanctioned two key initiatives focused on long-term strategy and corporate governance. Major Renewable Energy Expansion The board granted in-principle approval to establish an additional 42.9-MW renewable hybrid power facility. This initiative is a major expansion of GACL's green energy strategy and is in addition to its ongoing renewable projects of 62.7 MW and 72 MW. Execution Model: The expansion will be managed under a long-term, captive Special Purpose Vehicle (SPV) arrangement with power developers. Oversight: An Investment Committee has been constituted to evaluate and oversee participation in these SPVs, ensuring a dedicated supply of power for captive consumption. Corporate Governance Following the Audit Committee's recommendation, the board approved the appointment of M/s Talati & Talati LLP, Vadodara, as Internal Auditors for a two-year term, effective from July 1, 2026, to June 30, 2028.