National Peroxide Ltd Q3 FY26 – ₹69 Cr Revenue, PAT Turns Green Again, ROCE Still Sleeping

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1. At a Glance – The Wadia-Owned Chemical Dinosaur Wakes Up (Sort Of)

National Peroxide Ltd (NPL) is that one uncle in the chemical industry who has been around since 1954, owns half the market, but still forgets to generate returns. Promoted by the Wadia Group (70.8% holding), this company controls nearly 50% of India’s hydrogen peroxide capacity from a single integrated plant at Kalyan, Maharashtra.

Market cap? A compact ₹244 Cr.
Stock price? ₹424, down ~41% YoY.
Sales (TTM)? ₹278 Cr.
PAT (TTM)? –₹2.82 Cr (yes, still negative).
Debt? Practically pocket change at ₹14 Cr.
ROCE? A majestic 0.20% — competing aggressively with fixed deposits kept under mattresses.

And yet…
Q3 FY26 PAT jumped 257% QoQ and turned positive at ₹1.83 Cr.

So is this a turnaround… or just a quarterly mood swing?
Let’s open the lab report 🧪

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2. Introduction – India’s Largest Hydrogen Peroxide Maker, Still Struggling for Oxygen

National Peroxide Ltd should, on paper, be a cash machine.
It dominates a commodity chemical that is used everywhere — textiles, paper, pharma, electronics, water treatment, and even food processing.

It has:

• Scale ✅
• Market share ✅
• Legacy promoter group ✅
• Low debt ✅

And yet…
Over the last 3 years, profits have evaporated faster than hydrogen peroxide left uncapped.

From ₹40 Cr PAT in FY23 → ₹17 Cr in FY24 → loss in FY25 → TTM still negative.

Margins collapsed. ROE vanished. Investors vanished faster.

The irony?
This is not a startup. This is not a cyclical newcomer. This is a 70-year-old monopoly-ish chemical player.

So what went wrong? And more importantly — is something finally changing in FY26?

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3. Business Model – WTF Do They Even Do? (Spoiler: One Chemical, Many Uses)

National Peroxide Ltd does not diversify.
It does not experiment.
It does not chase buzzwords.

It makes Hydrogen Peroxide (H₂O₂). Period.

What exactly is hydrogen peroxide?

Think of it as:

• Bleach’s smarter cousin
• A cleaner that decomposes into water + oxygen
• A must-have input in textiles, paper & pulp, pharma, electronics, and environmental applications

NPL’s positioning:

• Largest producer in India
• Installed capacity: 1.50 lakh MTPA (50% w/w)
• ~50% of India’s total capacity
• Single, fully integrated Kalyan plant

Revenue split FY24:

• Manufactured goods: ~99%
• Other operating income: ~1%

Geography FY24:

• Domestic: ~75%
• Exports: ~25%

This is a pure-play commodity chemical business.
No brand premium. No pricing power. Only:

“Can you produce cheaper and sell consistently?”

And that’s where the trouble begins.

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4. Financials Overview – Quarterly Table

Quarterly Comparison Table (₹ Cr)

Source table

Metric	Latest Qtr (Dec-25)	YoY Qtr (Dec-24)	Prev Qtr (Sep-25)	YoY %	QoQ %
Revenue	69.09	62.16	68.29	+11.1%	+1.2%
EBITDA	6.99	3.23	4.50	+116%	+55%
PAT	1.83	-1.52	0.39	Turnaround	+369%
EPS (₹)	~3.05*	Negative	~0.65	NA	NA

*EPS calculated using ~6 Cr equity shares.

Commentary:
Revenue growth is modest.
But margins bounced sharply — OPM recovered