Archean Chemical Industries Limited is a leading specialty marine chemical manufacturer in India, focused on producing and exporting bromine, industrial salt, and sulphate of potash across the world. Founded in 2003 and headquartered in Chennai, India, the company has established itself as a dominant force in the global marine chemicals market. Archean is the largest exporter of bromine and industrial salt in India and has amongst the lowest cost of production globally in both bromine and industrial salt.
The company operates from a strategically located manufacturing facility in Gujarat, India, which spans approximately 240 square kilometers. The facility includes its own quality department, effluent treatment, and sewage treatment plant, as well as a captive Jakhau Jetty and Mundra Port. This integrated infrastructure provides Archean with significant operational advantages and cost efficiencies in its production and export operations.
Archean offers bromine for use in pharmaceuticals, agrochemicals, flame retardants, and water treatment products, as well as oil and gas, and energy storage industries. It also provides industrial salt for chloralkali chemical, food and beverage, water treatment, and oil and gas industries; and sulphate of potash, an inorganic salt for agrochemicals, medical, glass, cosmetics, etc. The Company serves a range of industries, including agriculture, pharmaceutical, water treatment, aluminum, glass, and textiles.
The company's production capacity as of 2021 includes 28,500 MT per annum of bromine, 3,000,000 MT per annum of industrial salt, and 130,000 MT per annum of sulphate of potash. Their industrial salt washing facility has three washeries, each with a capacity of 200 tons/hour, equipped with its own quality department, effluent treatment plant, sewage treatment plant, and stockyard.
The market capitalization of Archean Chemical Industries Ltd (ACI) is ₹7,832.10 Crore as of July 8, 2025. The company has demonstrated strong financial fundamentals over the years, with a good return on equity (ROE) track record: 3 Years ROE is 21.4%, and the company is almost debt-free.
Recent financial performance shows mixed results. Net profit of Archean Chemical Industries declined 52.75% to ₹47.97 Crore in the quarter ended December 2024, as against ₹101.53 Crore during the previous quarter ended December 2023. For Q3 FY25, the company reported a total income of ₹251.15 Crore, showing a significant decrease of 40.5% from Q3 FY24's total income of ₹421.87 Crore.
The company's revenue mix shows diversification across markets, with export market contribution at 77% of total revenue and domestic market contribution at 23% of total revenue in Q2 FY25. Product-wise, bromine revenue contributed 38% of total revenue, while industrial salt contributed 62% of total revenue in Q2 FY25.
Based on the latest available data as of July 8, 2025:
- Market Capitalization: ₹7,832.10 Crore
- PE Ratio: 48.30
- Book Value: ₹152
- ROE: 12.0%
- ROCE: 16.0%
- Dividend Yield: 0.47%
- Face Value: ₹2.00
- 52-week High: ₹832.00
- 52-week Low: ₹408.35
The Company came out with a Public Issue during November 2022, raising ₹2,420 Crore through a fresh issue amounting to ₹805 Crore and an Offer for Sale amounting to ₹1,615 Crore. The promoters of Archean Chemical Industries Ltd are Chemikas Speciality LLP and Pendurthi Ranjit. They collectively own 53.44% of the total equity.
The company is actively pursuing diversification and expansion strategies. Archean Chemical Industries Ltd is diversifying its product portfolio, focusing on high-growth sectors such as compound semiconductors and energy storage solutions. The company has made strategic investments, including a GBP15 million investment in Classic Wafer Fab Limited UK, aligning with its semiconductor initiatives.
Strategic investments in bromine derivatives and the Oren Hydrocarbon project are expected to bolster future revenue streams. The company remains focused on innovation and R&D initiatives to drive breakthroughs in chemistry and expand into new downstream markets.
The company has faced operational challenges, particularly weather-related disruptions. In Q2 FY25, there was an exceptional item involving the loss of 472,000 metric tonnes of Industrial Salt due to Cyclone Asna, amounting to INR 40.18 Crore. Despite such challenges, management remains cautiously optimistic about achieving growth targets, supported by stable customer relationships and a diverse product mix.
In Q4 and FY '25, the company showcased resilience amid fluctuating global demand, reporting total revenues of INR 10,634.5 million and a net profit of INR 1,849.2 million, primarily driven by strong performance in the Industrial Salt segment. The company continues to benefit from its strategic positioning in the marine chemicals sector and its focus on operational excellence.
