Company Overview

Ushanti Colour Chem Limited, established in 1961 and headquartered in Ahmedabad, India, is a prominent manufacturer in the specialty chemicals sector, with a core focus on dyestuffs, pigments, and chemical intermediates. Originally incorporated as 'Ushanti Colour Chem Private Limited' in Gujarat on May 12, 1993, it transitioned to a Public Limited Company, changing its name to 'Ushanti Colour Chem Limited' on March 7, 2018. Ushanti Colour Chem Ltd (UCL) operates within the Materials sector, specifically the Specialty Chemicals sub-sector, and has solidified its position as a significant player in the chemical manufacturing industry through its extensive product portfolio and strategic market approach.

Business Operations and Product Portfolio

The company is engaged in chemical manufacturing and trading, with its production units located in Vatva, Ahmedabad, boasting an annual installed capacity of 2,820 MT. UCL has been in the business of manufacturing and trading Dyestuffs since 1961, producing Reactive and Direct Dyestuffs (Synthetic Organic Dyes) via an integrated production process.

UCL offers a diverse range of chemical products serving multiple industries. Its product lineup includes:

- Pigments and Additives: Such as Copper Phthalocyanine Blue (CPC Blue Crude), Alpha Blue/Pigment Alpha/Beta Blue, Pigment Green, and Additive Blue.

- Dyes: Including Turquoise Blue Dyes, Direct Blue, and Reactive Blue.

- Intermediates:

These pigments and dyes are essential raw materials for industries including Cotton, Textile, Paper, Leather, Paint, Wool, Nylon, Plastic, and Ink. This broad application base ensures multiple revenue streams and mitigates dependency on any single industry sector.

Manufacturing Capabilities and Infrastructure

The company's manufacturing facilities are situated in Vatva and Saykha. Collectively, these plants have a production capacity exceeding 4,000 MT per year. This capacity underscores the company's operational scale and its ability to meet substantial market demand. The implementation of an integrated manufacturing process facilitates efficient production and stringent quality control across its entire product range.

Global Market Presence

Ushanti Colour Chem has cultivated a strong international footprint through its extensive export operations, which contribute the majority of its revenue. The company exports its products to numerous countries across various continents, including Argentina, China, Mexico, Taiwan, Bangladesh, Egypt, Indonesia, the Netherlands, Turkey, Belgium, Hong Kong, Korea, Peru, the United Kingdom, Brazil, Honduras, Malaysia, Portugal, and Uruguay. This expansive global reach provides significant geographic diversification and access to a wide array of market opportunities.

Financial Performance and Market Metrics

As of April 17, 2025, Ushanti Colour Chem Ltd (UCL) has a market capitalization of ₹57.87 Cr. The company is listed and traded on both major Indian stock exchanges under the symbol UCL.

Recent financial indicators present a mixed performance:

- PE Ratio: -22.29

- PB Ratio: 1.22

- 52-Week High: ₹68.44

- 52-Week Low: ₹47.25

Based on the latest available financial data for FY 2023, the company reported:

- Revenue: ₹46.52 Cr

- Net Worth: ₹47.75 Cr

The company employs 39 professional staff members, indicating a lean and efficient operational structure.

Key Financial Metrics and Ratios

- Market Cap: ₹57.87 Cr (as of April 17, 2025)

- Revenue: ₹46.52 Cr (FY 2023)

- Net Worth: ₹47.75 Cr (FY 2023)

- Annual Production Capacity: 2,820 MT (installed)

- Actual Annual Production: 4,000+ MT

- Employee Count: 39 professionals

Corporate Governance and Management

The strategic direction of the company is led by Chairman Minku Gandhi. The key management team includes:

- Tejas Pravinkumar Shah (Director)

- Purvi Tapan Trivedi (Director)

- Maunal Shantilal Gandhi (Managing Director)

- Vishakha Tanwar (Company Secretary)

The company's auditor is DJNV & Co.

Shareholding Pattern

As of the last reported quarter, the shareholding structure for Ushanti Colour Chem Ltd indicates:

- Promoter Holding: 67.9%

- Public Holding: 32.1%

This pattern signifies strong promoter confidence while maintaining adequate public participation necessary for market liquidity.

Recent Corporate Actions

The company recently underwent a rights issue to bolster its financial standing. Ushanti Colour Chem (NSE-UCL) approved a rights offer worth ₹2.94 Cr, issuing 5.35 lakh shares at an issue price of ₹55 per share. The shares were offered in a ratio of 5:100 (5 rights shares for every 100 fully paid-up equity shares held on the record date of October 11). The net proceeds from this issue are intended for augmenting working capital requirements and general corporate purposes.

Ushanti Colour Chem Limited represents a well-established entity within India's specialty chemicals sector, boasting decades of operational experience, a significant global market presence, and a comprehensive product portfolio that caters to diverse industrial applications. The company's strategic emphasis on exports, integrated manufacturing capabilities, and an established customer base across numerous continents positions it as a notable participant in the global dyes and pigments market.