The stock hit the upper circuit with a 20% gain at market open on Friday, soon after the interview on CNBC-TV18. With the latest spike, investors who have been holding on to the stock for a year are back in the green.
EBITDA stands for earnings before interest, tax, depreciation, and amortisation. It’s a measure of profitability for a company’s core business. For the Navi Mumbai-based maker of specialty chemicals, the EBITDA stood at ₹35,458 in the April-June quarter.
“I think what made a difference in this quarter significantly was that last year our tier-1 volumes in India were impacted because of reformulations. I think those came back in this quarter in our favour, and the tier-2, tier-3 business, as well as the direct-to-consumer brand business, also retained its momentum. So everything fell in place,” Managing Director K Natarajan told CNBC-TV18 on Friday (Aug 14).
You can watch the full interview here:
The company continues to target 6-8% volume growth for FY27, supported by healthy demand in India and a gradual recovery across international markets.
The upgraded guidance suggests Galaxy Surfactants expects the profitability momentum witnessed in the first quarter to continue through the remainder of the fiscal year, even as commodity costs remain elevated.
India Offsets Weakness in AMET Region
While the sales volumes in Africa, the Middle East, and Turkey declined during the quarter, the company managed to grow its sales in India, albeit in low single digits. Overall volumes recorded mid-single-digit growth during the quarter, compared to a year earlier.
The Rest of the World (RoW) business posted mid-single-digit growth, helping offset part of the regional pressure.
Rising Raw Material Costs Persist
Galaxy Surfactants said average fatty alcohol prices increased to $2,806 per tonne during the quarter, compared with $2,751 per tonne in Q4 FY26 and $2,723 per tonne in Q1 FY26.
Despite the higher raw material costs, the company delivered significant margin expansion, reflecting a favourable product mix, operating leverage and pricing actions.
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