Jocil Ltd Q3 FY26 – ₹957 Cr Revenue, 1.3% Margin, ROCE 0.7%: Soap, Fatty Acids & the Art of Surviving on Thin Air

1. At a Glance – The “How Are You Still Alive?” Company

Jocil Ltd is that old-school manufacturing uncle who shows up every year at the family function, earns ₹957 crore in revenue, distributes dividends, owns windmills, runs biomass plants, and still manages to deliver a ROCE of 0.7% without embarrassment.

Market cap? ₹113 crore.
Stock price? ₹127.
Price to Book? 0.55x (yes, below book).
Debt? Practically cosmetic at ₹5.47 crore.

Q3 FY26 was dramatic:

• Revenue jumped 19.4% YoY
• PAT exploded 160% YoY
• Margins stayed… politely terrible at 1.3%

Jocil isn’t growing fast, it isn’t sexy, but it refuses to die. And sometimes, survival itself becomes the investment thesis.

2. Introduction – Welcome to the World of Ultra-Low Margin Zen

Jocil Ltd was incorporated in 1981. That alone tells you this is not a startup pitch deck company. It operates in oleochemicals, soaps, contract manufacturing, and throws in renewable power generation as a side hustle.

This is a business where:

• Raw material prices decide your fate
• Customers are FMCG giants who squeeze margins like toothpaste
• Volume growth feels good but margin expansion feels illegal

Despite this, Jocil has survived commodity cycles, FMCG bullying, cost inflation, and investor apathy—while still paying dividends.

So the real question is:
👉 Is Jocil a value trap, or a misunderstood cash survivor?

Let’s dissect.

3. Business Model – WTF Do They Even Do?

Think of Jocil as a chemical kitchen.

Oleochemicals (The Backbone)

Products:

• Stearic Acid
• Distilled & Fractionated Fatty Acids
• Refined Glycerine

Raw materials:

• Non-edible vegetable oils
• Fatty acid distillates

End users:
Pharma, cosmetics, tyres, paints, plastics, textiles.

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