Jaysynth Orgochem Ltd Q3 FY26: Sales ₹64.63 Cr, PAT Crashes 58.7% YoY, P/E 14 vs Industry 28 — Turnaround Story or Chemical Illusion?

1. At a Glance – The Chemical Comeback Kid?

₹180 crore market cap.
Current price ₹13.3.
3-month return: -23.9%.
1-year return: -44.1%.
P/E: 14.2 (industry median 28.2).
ROCE: 14%.
ROE: 13.4%.
Debt to equity: 0.38.
Quarterly Sales: ₹64.63 crore.
Quarterly PAT: ₹2.45 crore.
Quarterly Profit Var: -58.7% YoY.

Ladies and gentlemen, welcome to Jaysynth Orgochem — a company that once had its net worth fully eroded and now sits here flashing a 14% ROCE like it just passed CA finals on the third attempt.

The stock is hugging its 52-week low (₹13.3 vs high ₹24.7). It has corrected harder than an overconfident options trader. Yet, profits exist. Cash flows exist. Promoters own 73.7%. And the company has just redeemed preference shares worth ₹6 crore in March 2026.

So is this a struggling dye maker trying to reinvent itself…
Or is it that one relative who always says, “This year pakka set ho jayega”?

Let’s investigate.

2. Introduction – From Eroded Net Worth to Quarterly Profits

Founded in 1973, Jaysynth Orgochem has lived multiple financial lives.

At one point, its net worth was fully eroded. Manufacturing at the Patalganga unit was halted due to heavy restart costs and financial constraints. Labour litigations added masala. The company was reduced to trading activity.

Translation: The factory was silent. Only invoices were moving.

But fast forward to FY23–FY25 and something changed.

Sales jumped from ₹192 crore (FY23) to ₹228 crore (FY25) and TTM sales now stand at ₹248 crore. PAT for FY25 is ₹16 crore and TTM PAT ₹13 crore.

After years of financial ICU, the patient is now walking without support.

But here’s the twist — quarterly profit has dropped 58.7% YoY in Q3 FY26.

So is this turnaround fragile? Or just quarterly volatility?

And more importantly — are we looking at a stable specialty chemical microcap or a trading-heavy business with thin margins?

Time to decode.

3. Business Model – WTF Do They Even Do?

Jaysynth Orgochem manufactures and trades:

Dyes
Dye intermediates
Organic chemicals
Textile auxiliaries
Pigments
Resins
Plasticizers
Emulsions

Their customer industries include textiles, plastics, printing inks and paints.

Basically, if it has colour, plastic or chemical smell — Jaysynth probably supplies something.

But here’s the real twist:

In FY22, revenue breakup was:

Sale of products: ~84%
Interest income: ~8%
Rent received: ~8%

So this is not just a chemical company.

It’s part trader.
Part financier.
Part landlord.

And recently (Nov 2024), they commenced a new Digital Printing Solutions business.

So from dyes to digital.
From chemical stains to pixel stains.

Is this diversification genius… or just survival instinct?

4. Financials Overview – The Quarterly Truth Bomb

Latest Q3 FY26 EPS = ₹0.18
Annualised EPS = 0.18 × 4 = ₹0.72

At CMP ₹13.3 →
Recalculated P/E = 13.3 / 0.72 = ~18.5

(Notice how trailing P/E 14.2 looks prettier than annualised 18.5? Markets love optical illusions.)

Quarterly Comparison (₹ Crores)

Source table

Metric	Latest Q3 FY26	YoY Q3 FY25	Prev Q2 FY26	YoY %	QoQ %
Revenue	64.63	60.96	66.04	6.02%	-2.13%
EBITDA	3.89	7.26	6.37	-46.4%	-38.9%
PAT	2.45	5.93	5.14	-58.7%	-52.3%
EPS (₹)	0.18	0.44	0.38	-59.1%	-52.6%

Revenue up 6% YoY.

Profit? Collapsed.

Margins are shrinking faster than your patience in a traffic jam.

OPM has fallen from 11.91% (Q3 FY25) to 6.02% (Q3 FY26).

So the company is selling more but earning less per rupee.

Question for you:
Would you rather have high revenue growth or stable margins?

5. Valuation Discussion – Fair Value Range

Method 1: P/E Based

Annualised EPS = ₹0.72

Industry P/E median = 28
Company current annualised P/E ≈ 18.5

Assume fair multiple range 15–22.

Fair value range:

Lower: 0.72 × 15 = ₹10.8
Upper: 0.72 × 22 = ₹15.8

Method 2: EV/EBITDA

Quarterly EBITDA = ₹3.89
Annualised EBITDA ≈ 15.56 crore

Current EV = ₹219 crore
EV/EBITDA = 219 / 15.56 ≈ 14x

If we assume fair EV/EBITDA range 8–12:

To Read Full 16 Point

Join 10,000+ investors who read this every week.