Synopsis: Yasho Industries Ltd, an Ashish Kacholia-backed specialty chemicals stock, surged after announcing a long-term supply agreement with a multinational corporation for lubricant additives.
A specialty chemicals stock backed by ace investor Ashish Kacholia, who owns a 3.86 percent stake in the company, advanced in trade after securing a significant long-term supply contract with a leading multinational corporation, which is expected to enhance long-term visibility, while steady growth in sales and profitability lifted investor sentiment.
Yasho Industries Ltd, with a market capitalization of Rs. 2,255.94 crore, opened at Rs. 1,928.85 against the previous close of Rs. 1,873.55. The stock touched an intraday high of Rs. 1,930, marking a 3 percent rise from the previous close.
What’s the News?
Yasho Industries has entered into a 15-year supply agreement with a leading multinational corporation for the supply of a lubricant additive. The contract will be based on formula pricing and includes an advance payment to fund construction of the required facility. The agreement is expected to generate annual revenues of approximately Rs. 150 crore starting from the end of FY27.
Yasho Industries Ltd is a pioneer in specialty chemical manufacturing with over three decades of management expertise. The company has four advanced manufacturing facilities in Vapi and Pakhajan, catering to a wide product range across global industries. More than 65 percent of its revenue comes from exports to over 50 countries.
As of June 30, 2025, the company operates in two business categories with a portfolio of 148 products across more than 50 countries. It has a total manufacturing capacity of 32,500 metric tonnes. Its state-of-the-art R&D laboratory is progressing as scheduled and is expected to be completed by October 2025.
Also read: Power stock jumps after receiving ₹78 Cr order for supply of 125 MVA transformers
Financial Snapshot
On a sequential basis, sales rose 7.5 percent to Rs. 198.64 crore in Q1FY26 from Rs. 184.81 crore in Q4FY25. Operating profit declined 4 percent to Rs. 33.49 crore from Rs. 34.88 crore. Profit before tax fell 28.4 percent to Rs. 5.75 crore compared to Rs. 8.03 crore, while net profit dropped 27.6 percent to Rs. 3.64 crore from Rs. 5.03 crore.
On a year-on-year basis, sales grew 13.9 percent from Rs. 174.46 crore in Q1FY25 to Rs. 198.64 crore in Q1FY26. Operating profit jumped 43.5 percent from Rs. 23.34 crore to Rs. 33.49 crore. The company swung from a pre-tax loss of Rs. 2.04 crore to a profit of Rs. 5.75 crore, while it turned net profit at Rs. 3.64 crore compared to a loss of Rs. 2.46 crore last year.
Written by – Manan Gangwar
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
