Atul Q2 Results, October 23, 2026: Profit Falls 13% on a 21% Revenue Jump, ₹90 Crore Buyback Approved

The Atul Q2 results landed on Friday, October 23, 2026, and they came with a split personality. Sales grew fast. Profit did not. Consolidated net profit for the September quarter fell 13% year-on-year to ₹158.71 crore from ₹182.37 crore, while revenue from operations rose 21% to ₹1,877.04 crore from ₹1,551.85 crore, according to the company’s board meeting outcome filed with NSE. The board paired the numbers with a buyback of up to ₹90 crore.

Atul Q2 results: the key numbers

All figures below are consolidated and come from the exchange filing unless we say otherwise.

• Revenue from operations: ₹1,877.04 crore, up about 21% from ₹1,551.85 crore a year ago and up from ₹1,847.95 crore in the June quarter.
• Profit before tax: ₹214.38 crore, down about 7% from ₹231.28 crore.
• Net profit: ₹158.71 crore, down about 13% year-on-year and about 37.5% lower than the ₹253.93 crore of the June quarter.
• Basic EPS: ₹52.89 for the quarter, against ₹60.88 a year earlier.
• First half: net profit for April-September was ₹412.64 crore, still about 31% above ₹314.73 crore in the same six months last year.

At the operating level, CNBC-TV18 reported that EBITDA fell 7.7% to ₹246.5 crore from ₹267 crore, and the EBITDA margin shrank to 13% from 17%. If you want a refresher on how that margin is worked out, our explainer on EBITDA margin walks through it.

Where the squeeze came from

The segment table tells the story better than the headline. Atul reports two segments. Performance and Other Chemicals, which covers bulk chemicals, epoxy resins, adhesion promoters and textile dyes, did the heavy lifting on sales: segment revenue rose about 31% year-on-year to ₹1,503.94 crore. Its segment result, though, came in at ₹127.83 crore, roughly 47% below the ₹239.83 crore it earned in the June quarter. More volume, much less profit per rupee. That’s the part investors will want explained.

Life Science Chemicals, home to APIs and crop protection products, went backwards on both lines. Segment revenue slipped about 3% to ₹427.27 crore, and the segment result fell about 31% to ₹69.68 crore from ₹100.93 crore a year ago.

The ₹90 crore buyback

The board approved an open-market buyback through NSE and BSE of up to ₹90 crore, excluding transaction costs, at a maximum price of ₹7,500 per share. At that cap, the filing puts the indicative number at 1,20,000 shares, or 0.41% of outstanding equity. Promoters and the promoter group can’t participate. Because it runs through the open market, the final count depends on the prices Atul actually pays. We’ve covered how this route differs from a tender offer in our guide to share buybacks in India.

The board also approved Price Waterhouse Chartered Accountants LLP as statutory auditor for five years covering FY2027-28 to FY2031-32, subject to shareholder approval. Deloitte Haskins & Sells LLP continues until the 2027 AGM.

How the stock reacted

The market didn’t like the profit miss. CNBC-TV18 reported Atul shares at ₹5,678 on BSE at 2:33 pm on Friday, down 5.36% after the announcement. The ₹7,500 buyback ceiling sits about 32% above that level, though an open-market buyback rarely pays its maximum price.

What it means

We’d read this as a margin problem, not a demand problem. Revenue is growing at over 20%, but the larger segment is earning a lot less on it than it did three months ago, and the smaller one is shrinking. The buyback is small next to the company’s size, at 0.41% of shares even at full use, so it’s a signal more than a support. The next quarter needs to show whether Performance and Other Chemicals can turn its volume back into profit. For the rest of this week’s reporting line-up, see our Q2 results calendar.

Sources: Atul Ltd outcome of board meeting and unaudited results, NSE filing, October 23, 2026; CNBC-TV18.

Disclaimer: This article is for information and education only and is not investment advice. Please do your own research or consult a SEBI-registered adviser before investing.