DCW Limited Q2FY26 Concall Decoded: When China Dumps, DCW Pumps 💥


1. Opening Hook

In a world where Chinese dumping is faster than your Wi-Fi speed, DCW somehow managed to post an 8.5% sequential EBITDA growth. The chemical sector’s been sweating like a PVC plant in Gujarat summer, yet these guys expanded capacity, cut debt, and still smiled for the camera.
Their CPVC expansion doubled capacity, prices crashed 15%, and yet profits bubbled up — pure desi jugaad chemistry at play. The next leg? A fully charged, debt-light DCW betting on specialty chemistry to outlast every Chinese exporter with an Excel sheet and cheap freight. Stick around — this story has more twists than a PVC pipe.


2. At a Glance

  • Revenue up 10.3% YoY: Even with global price meltdowns, the topline didn’t dissolve.
  • EBITDA up 51% YoY: Chemistry’s new formula — more scale, less despair.
  • PAT at ₹13.8 Cr vs. loss ₹1.2 Cr: Red turned black — and management’s sleep turned sound.
  • EBITDA Margin at 10.8%: Expanded by 360 bps — proof you can polish even caustic soda.
  • Debt down ₹61 Cr: CFO finally found the delete key on liabilities.
  • Net Debt: ₹155 Cr; Net D/E: 0.34x: Almost debt-free, unless you count emotional baggage from Chinese pricing.
  • Renewable Power: 25% of total: Even the electrons are now “green” and EBITDA-positive.

3. Management’s Key Commentary

“Global chemical sector continues to face weak pricing and Chinese dumping.”
(Translation: Beijing’s export policy doubles as our headache pill.)

“Our CPVC capacity doubled to 40,000 tonnes and hit full utilization instantly.”
(Because who doesn’t love twice the pressure with half the

price?) 😏

“CPVC prices dropped 15% QoQ but specialty EBITDA still grew.”
(That’s like losing your wallet but finding ₹2,000 in your other jeans.)

“EBITDA up 51% YoY despite weak realizations.”
(Translation: We fought gravity — and won, sort of.)

“Gross debt down ₹70 crore; net debt ₹155 crore.”
(Finally, a balance sheet light enough to float in acid.)

“Expect net debt-to-EBITDA below 0.5x by FY26-end.”
(Basically, our lenders are officially unemployed.)

“Renewable power saved ₹3 crore this quarter.”
(Mother Nature joined our cost-cutting team.)

“We’re building for the next decade, not the next quarter.”
(Bold talk — but then again, they make caustic soda, not excuses.)


4. Numbers Decoded

MetricQ2FY26Q2FY25YoY GrowthComment
Revenue₹539 Cr₹489 Cr+10.3%CPVC saves the day
EBITDA₹62.6 Cr₹41.5 Cr+51%Efficiency on steroids
EBITDA Margin10.8%7.2%+360 bpsMargin upgrade
PAT₹13.8 Cr(₹1.2 Cr)NAProfit revival
Net Debt₹155 Cr₹425 Cr (Mar’25)-64%Balance sheet detox
Gross Debt/Equity0.34x0.45xImprovedNo debt drama
CPVC Capacity40 KT (up from 20 KT)Running at 100%
CPVC Price₹105/kg₹123/kg-15%Price crash, volume win

(Note: CFO calls it “muted pricing”; investors call it

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