Kanoria Chemicals & Industries Ltd (KANORICHEM) AI Stock Analysis

• Market Cap: ₹3.37B
• Dividend Yield: N/A
• Average Volume (3M): 2.67K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.50
• Revenue Growth: -1.30%
• EPS Growth: -27.85%
• Country: IN
• Employees: 382
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals
• EPS (TTM): -0.97
• Shares Outstanding: 43,693,333
• 10 Day Avg. Volume: 2,921
• 30 Day Avg. Volume: 2,667
• PEG Ratio: -0.03
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 0.22
• P/FCF Ratio: -4.27
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 41 Neutral
• Price Target: ₹69.00 ▼(-7.33% Downside)

Kanoria Chemicals & Industries Ltd faces significant financial and technical challenges. The company's financial performance is weak, with persistent net losses and increasing debt levels. Technical indicators suggest bearish momentum, with the stock trading below key moving averages and showing oversold conditions. The valuation is unattractive due to a negative P/E ratio and no dividend yield. These factors collectively indicate a high-risk investment, requiring strategic improvements for better performance.

Positive Factors

Revenue Growth

The company's revenue growth of over 10% suggests a strong market position and the ability to expand its customer base, which is crucial for long-term sustainability and competitiveness in the chemical industry.

Product Innovation

Investment in research and development allows Kanoria Chemicals to innovate and introduce new products, helping maintain competitive advantage and meet evolving customer needs, which is vital for sustained growth.

Strategic Partnerships

Strategic partnerships with manufacturers and distributors help Kanoria Chemicals expand its market reach and improve operational efficiency, supporting long-term revenue growth and market presence.

Negative Factors

Rising Debt Levels

Increasing debt levels can strain the company's financial flexibility and cash flow, posing a risk to long-term stability and potentially affecting its ability to invest in growth opportunities.

Negative Cash Flow

Negative free cash flow suggests difficulties in generating cash after capital expenditures, which can limit the company's ability to fund operations and reduce financial strain, impacting long-term viability.

Net Losses

Ongoing net losses indicate challenges in achieving profitability, which can undermine investor confidence and limit the company's ability to reinvest in its business for future growth.

Kanoria Chemicals & Industries Ltd Business Overview & Revenue Model

Company Description

Kanoria Chemicals & Industries Limited manufactures and sells chemical intermediates in India. The company operates through Alco Chemicals and Solar Power segments. It provides chemicals, such as acetaldehyde, di-pentaerythritol, formaldehyde, hexamine, pentaerythritol, phenolic resins, and sodium formate. The company also develops and sells electronic and mechatronic modules, and control devices for the automotive, consumer goods, power tool electronics, and building automation industries. In addition, it operates a solar power plant with a generation capacity of 5 MW in Jodhpur district, Rajasthan; and manufactures and sells yarn and denim. The company also exports its products. The company was incorporated in 1960 and is based in New Delhi, India. Kanoria Chemicals & Industries Limited is a subsidiary of Vardhan Limited.

How the Company Makes Money

KANORICHEM generates revenue through multiple key streams, primarily by manufacturing and selling specialty chemicals to diverse industries. The company's revenue model is based on the production of high-value chemical products that cater to specific industry needs, allowing them to command premium pricing. Significant revenue is derived from long-term contracts and repeat business with established clients in the textile and pharmaceutical sectors. Additionally, KANORICHEM benefits from strategic partnerships with other manufacturers and distributors, enhancing its market reach and operational efficiency. The company's focus on research and development also enables it to innovate and introduce new products, which further drives revenue growth.

Kanoria Chemicals & Industries Ltd Financial Statement Overview

Summary

Kanoria Chemicals & Industries Ltd is facing financial challenges characterized by fluctuating revenues, persistent net losses, and increasing debt levels. While there are signs of operational improvement, the company must focus on enhancing profitability, reducing leverage, and improving cash flows to ensure long-term financial health. The current financial position indicates moderate risk, requiring strategic management actions to stabilize performance.

Income Statement

Kanoria Chemicals & Industries Ltd shows fluctuating revenue with a recent decline from 2023 to 2024, followed by a slight increase in 2025. The gross profit margin has improved, yet the company has been experiencing net losses in recent years, with net income turning negative. This indicates challenges in cost management and profitability. The EBIT margin has been volatile and negative in 2024, but improved slightly in 2025, suggesting some operational recovery.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, increasing from previous years, which indicates a rise in leverage. The equity ratio is relatively stable, showing a consistent level of equity financing. However, declining stockholders' equity and increased debt levels pose a risk to financial stability. Return on equity has turned negative recently due to net losses, affecting investor returns.

Cash Flow

Free cash flow has been negative, indicating the company is facing challenges generating cash after capital expenditures. The operating cash flow to net income ratio suggests a reliance on non-operating activities for cash generation, as net income remains negative. The company needs to improve cash generation to support operations and reduce financial strain.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	16.06B	15.37B	14.75B	15.78B	13.69B	10.95B
Gross Profit	4.93B	4.71B	4.67B	4.62B	3.86B	3.44B
EBITDA	456.20M	106.12M	642.63M	826.90M	955.19M	991.32M
Net Income	-745.90M	-836.00M	-383.96M	-87.70M	68.26M	145.23M
Balance Sheet
Total Assets	0.00	14.98B	14.90B	14.81B	14.03B	13.62B
Cash, Cash Equivalents and Short-Term Investments	109.60M	109.60M	141.07M	308.20M	314.68M	348.06M
Total Debt	0.00	5.95B	5.09B	5.10B	4.75B	4.93B
Total Liabilities	-5.10B	9.88B	8.73B	8.74B	8.01B	7.66B
Stockholders Equity	5.10B	5.21B	6.01B	6.05B	5.98B	5.87B
Cash Flow
Free Cash Flow	0.00	-800.10M	-432.20M	-317.60M	402.19M	548.15M
Operating Cash Flow	0.00	202.80M	375.70M	257.20M	830.76M	824.60M
Investing Cash Flow	0.00	-648.70M	-503.50M	-249.80M	-431.08M	-118.15M
Financing Cash Flow	0.00	414.60M	51.40M	34.49M	-530.48M	-749.09M

Kanoria Chemicals & Industries Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 74.46
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:KANORICHEM, the sentiment is Negative. The current price of 74.46 is below the 20-day moving average (MA) of 76.22, below the 50-day MA of 78.71, and below the 200-day MA of 86.14, indicating a bearish trend. The MACD of -1.23 indicates Negative momentum. The RSI at 42.90 is Neutral, neither overbought nor oversold. The STOCH value of 33.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:KANORICHEM.

Kanoria Chemicals & Industries Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
OCCL	67 Neutral	₹1.61B	15.37	―	11.39%	-76.65%	-76.77%
CENTEXT	66 Neutral	₹2.28B	23.10	―	―	―	―
MAHASTEEL	63 Neutral	₹9.95B	117.54	―	―	11.83%	124.74%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
LORDSCHLO	53 Neutral	₹5.61B	38.19	―	―	39.31%	―
KANORICHEM	41 Neutral	₹3.37B	-4.50	―	―	-1.30%	-27.85%

Kanoria Chemicals & Industries Ltd Corporate Events

Kanoria Chemicals Announces Trading Window Closure

Kanoria Chemicals & Industries Ltd has announced the closure of its trading window in compliance with SEBI regulations, effective from October 1, 2025, until the financial results for the quarter and half-year ending September 30, 2025, are declared. This move is aimed at preventing insider trading by designated persons during this period, ensuring transparency and compliance with regulatory standards.

Kanoria Chemicals Announces 65th AGM Details

Kanoria Chemicals & Industries Ltd has announced the publication of advertisements in newspapers regarding its 65th Annual General Meeting, including details on e-voting facilities. This announcement is part of the company’s compliance with regulatory requirements, ensuring transparency and accessibility for its stakeholders.