National Peroxide Ltd reported a return to profitability for FY 2025-26 with a PAT of ₹5.82 crore, compared to a loss of ₹2.24 crore in the previous year. Revenue grew to ₹295.68 crore, supported by improved operational efficiency. The Board has declared a final dividend of ₹7 per share. While the turnaround is positive, investors should note a recent financial restatement due to ERP configuration issues and a downward revision in credit rating to ‘IND A-’ with a negative outlook.
National Peroxide Reports FY26 Turnaround and Dividend
Profit After Tax of ₹5.82 crore vs loss of ₹2.24 crore in FY25.
Revenue from operations rises to ₹295.68 crore with EBITDA reaching ₹30.21 crore.
Reader Takeaway: Financial recovery and dividend declaration signal strength, though credit rating and ERP control gaps require monitoring.
What just happened
National Peroxide Ltd (NPL) has posted a recovery in its annual financial performance for FY 2025-26. The company successfully moved from a net loss position in the previous fiscal to a net profit of ₹5.82 crore. The board has rewarded shareholders by recommending a final dividend of ₹7 per equity share, equivalent to 70% of the face value. This payout is subject to shareholder approval at the AGM on September 29, 2026, with the record date set for September 22, 2026.
Why this matters
The return to profitability underscores NPL's improved operational efficiency, as evidenced by an EBITDA jump from ₹19.70 crore to ₹30.21 crore. However, the company restated its FY26 figures after identifying an ERP configuration error that understated raw material costs by ₹694.63 lakhs. Management has confirmed this configuration has been corrected.
Risks to watch
India Ratings & Research (Ind-Ra) has revised NPL’s bank loan credit rating from ‘IND A’ to ‘IND A-’ with a Negative Outlook. Investors should also monitor internal controls, as the recent restatement points to an ERP-related reporting lapse that has now been rectified.
Management Changes
The company has seen significant churn in leadership roles. Notably, Mr. Chirag Kothari was appointed as CFO and CRO effective June 1, 2026, and Mr. Akshay Satasiya assumed the role of Company Secretary in March 2026, following a series of resignations in the senior finance and secretarial teams during the previous fiscal year.
Context Metrics
NPL maintains an installed capacity of 150,000 MTPA for Hydrogen Peroxide. The firm is actively targeting growth in high-value segments, including semiconductors, renewable energy, and electric vehicle components, to offset traditional market risks related to energy and raw material pricing.