Sumitomo Chemical India Limited (SUMICHEM)
Large CapChemicals stocks · Large cap · NSE
Sumitomo Chemical India Limited (SCIL) is an agrochemical company offering crop protection solutions, animal nutrition, and environmental health products. It operates 5 manufacturing facilities, boasts 200+ brands, and has a wide distribution network across India, supported by R&D and parent company expertise.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Weak fundamentals, management trust is supportive, price trend is neutral, and recent execution is mixed.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Good · 70/100Rev +1% YoY · PAT +21% YoY · margin expansion · +55% QoQ · operating leverage
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,063 Cr | +0.6% | +55.4% |
| EBITDA | ₹233 Cr | +6.4% | +73.9% |
| Operating margin | 22.0% | +100 bps | +200 bps |
| PAT | ₹215 Cr | +20.8% | +93.7% |
| PAT margin | 20.2% | +339 bps | +400 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
FY26 revenue grew 3% YoY to Rs. 3,238 crore, with PAT up 7% YoY to Rs. 543 crore, achieving highest-ever profitability despite industry headwinds. Q4FY26 revenue was broadly stable YoY, while PAT increased 12% YoY.
SCIL demonstrated remarkable stability and delivered its highest-ever profitability in FY26, driven by favorable product mix, disciplined pricing, and strong execution. This performance was achieved despite significant industry headwinds, indicating robust operational management and a resilient business model.
Revenue by Product (FY26)
Latest issuer-disclosed distribution across 6 reported categories.
New Product Launches
Newly launched products like Lentigo, Excalia Max, Powerpull, Advika, Envoy, and Oslava received encouraging market response.
Herbicides Portfolio
Registered strong growth of 87% YoY in Q4FY26 and 19% YoY in FY26, supported by healthy traction in rice herbicide portfolio including Lentigo.
Africa Exports
Continued strong momentum with 30% YoY growth in Q4FY26 and 26% YoY growth in FY26.
Strategic Manufacturing Hub
Dahej site is being developed as a strategic global manufacturing hub for the parent company’s high-potential patented molecules.
Herbicide Intermediate Plant at Dahej
Capex budget: ~Rs 150 crore. Estimated commercialization: Q2 FY2028-29. First strategic investment at Dahej site for parent company supply.
Fitment for Additional Products at Tarapur
Capex budget: ~Rs 10 crore. Estimated commercialization: Q4 FY2027-28. To manufacture two additional molecules (fungicide, herbicide) for parent company supply.
Second Plant for SCC Innovated Product at Bhavnagar
Investment: Approximately ₹55 crore. Target completion & commercialization: Q4FY27. To meet global requirements and build on first plant's success.
Production of Newly Launched SCC Innovated Molecule at Tarapur
Investment: Around ₹10 crore. Target completion & commercialization: Q4FY27. To demonstrate SCIL’s capability and meet domestic demand.
Favorable Product Mix
Contributed to margin expansion and highest-ever profitability in FY26.
Calibrated Pricing Actions
Supported margin improvement and business stability despite industry challenges.
Strong Execution Focus
Helped maintain business stability through disciplined channel management and operational agility.
Challenging Agrochemical Industry
Prolonged/excess rainfall, delayed rabi demand recovery, bio-stimulant regulatory challenges, and cautious channel sentiments.
Lower Contribution from Low-Margin Business
Lower contribution from the Animal Nutrition (AND) distribution business impacted overall revenue growth.
Softer Agri-input Demand
Contributed to industry-wide challenges and impacted revenue.
Softer Export Demand
Led to a decline in overall export revenues due to softer demand and shipment delays in select geographies.
Weather Conditions & El-Nino
Management remains cautiously optimistic while remaining watchful of weather conditions and El-Nino related uncertainties.
Raw Material Inflation
Management is watchful of raw material inflation as a potential challenge.
Geopolitical Developments
Management is cautiously optimistic but watchful of geopolitical developments.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
The company explicitly states annual monitoring is best due to seasonality. However, quarterly results are provided and useful for assessing recent momentum and the impact of specific market conditions.
Revenue from Operations
FY26: Rs. 3,238.3 Cr (+3% YoY); Q4FY26: Rs. 683.7 Cr (+1% YoY)
Gross Profit Margin
FY26: 42.0% (+107 bps YoY); Q4FY26: 42.3% (+223 bps YoY)
EBITDA Margin
FY26: 20.7% (+64 bps YoY); Q4FY26: 19.6% (+202 bps YoY)
PAT Margin
FY26: 16.8% (+68 bps YoY); Q4FY26: 16.3% (+159 bps YoY)
Focus on Profitability-led Growth
The company maintained strong operational discipline throughout FY26 with continued focus on profitability-led growth.
Demand Generation & Differentiated Offerings
Management continues to focus on demand generation and differentiated product offerings to drive sustainable and profitable growth in FY27.
Strengthening Channel Partnerships
The company aims to strengthen channel partnerships to drive sustainable and profitable growth in FY27.
Developing Dahej as Global Manufacturing Hub
The first strategic investment at Dahej marks a key step in developing it as a strategic global manufacturing hub for parent company’s patented molecules.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Net Working Capital Days | 103 days (FY26) | Improvement towards FY25 level (89 days) and efficient management of seasonal inventory build-up. |
| Export Revenue Growth | -1% YoY (FY26) | Recovery in demand and successful execution of shipments in select geographies, particularly beyond Africa. |
| New Product Pipeline & Launches | Encouraging market response for recent launches | Sustained traction and increasing contribution of new products to overall revenue and profitability. |
| Capex Project Commercialization | Multiple projects approved with timelines up to Q2 FY2028-29 | On-schedule commissioning and ramp-up of new capacities, especially the strategic Dahej plant. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
55NeutralSMA20 +1.5% / mo · MACD −
Technical chart
SUMICHEMdaily · 1Y · AUTO+24.2%Daily technical trend read
Mixed signalsSignals are conflicting — long-term uptrend intact. RSI 36. Wait for confirmation.
- Price above SMA200 (long-term uptrend) but mid-term MAs not aligned.
- SMA20 rising (~1.4% over last month) — short-term momentum positive.
- RSI(14) at 36 — falling, no extreme reading.
- MACD below signal, histogram expanding negatively — bearish momentum building.
- 20% off 52W high · 36% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Relative Strength & Trend Stage
- Price is 7.5% above the 30-week proxy.
- The 50-DMA is above the 30-week proxy and its slope is rising +3.4%.
- Both 3-month and 6-month returns are positive.
Valuation & score drivers
U-Score 43 · WATCHLIST · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 43 · WATCHLIST · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
WATCHLISTWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Balance sheet contributes 11/15 to the score.
- Quality contributes 12/20 to the score.
Main drags
- Fair-value margin of safety is negative at -117.4%.
- Valuation is weaker at 0/30; verify the latest quarterly trend.
- Growth is weaker at 9/25; verify the latest quarterly trend.
Cyclical valuation: normalized earnings, not just trailing PE
Cyclical companies can look cheapest near peak profits, so IndiaPulse flags value-trap risk separately.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Claim history is still being built. It ranks around the 88th percentile of the scored universe and 81st percentile within Chemicals. Main check: results consistency is weak at 55/100.
High Trust Lite: Promoter holding is 75%.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · Chemicals: 81st pctile, median 73 · Large: 74th pctile, median 73
79 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Healthy Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 75%.
- ▸Promoter pledge is zero.
- ▸FCF yield is positive at 0.5%.
- ▸8 years of positive FCF.
Trust risks
- ▸No major Trust Lite risk flags.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 43.10
- P/B
- 7.26
- EV/EBITDA
- 32.79
- Market Cap
- 24628.00Cr
Profitability
- ROE
- 16.20%
- ROCE
- 22.10%
- ROA
- 12.94%
- Dividend Y
- 0.26%
Growth (CAGR)
- Revenue 5Y
- 4.00%
- EPS 5Y
- 8.00%
- Revenue 3Y
- -3.00%
- EPS 3Y
- 2.00%
Balance Sheet
- Debt/Equity
- 0.02
- Interest Coverage
- 85.63×
- Altman Z
- 8.41
- Book Value
- 67.90
Cash Flow
- FCF Yield
- 0.46%
- FCF Positive Y
- 8/5
- OCF
- 446.00 Cr
- EPS TTM
- 11.61
Shareholding
- Promoter Hold
- 75.00%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 51%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
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Peers
Business-comparable names in Chemicals, ranked by similarity
Peers
Business-comparable peers in Chemicals — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.