Atul Limited is a diversified and integrated Indian chemical manufacturing company headquartered in Atul, Gujarat, established on September 5, 1947, by industrialist Kasturbhai Lalbhai. The company is part of the Lalbhai Group, Gujarat, and was one of the first private-sector enterprises established in post-independence India. The company is listed on both stock exchanges of India and has established itself as a prominent player in the chemical manufacturing sector.
Atul serves over 4,000 customers across more than 30 industries in 90 countries through wholly-owned subsidiaries in the United States, United Kingdom, United Arab Emirates, China, and Brazil. The company has diversified from a small company making a few textile dyes into a chemical conglomerate manufacturing 900 products and 400 formulations, making India self-reliant in manufacturing of several chemicals.
The company operates under two main reporting segments: Life Science Chemicals and Performance and Other Chemicals, with products organized under 9 business verticals.
- The Life Science Chemicals segment offers active pharmaceutical ingredients (APIs), API intermediates, and crop protection chemicals.
- The Performance and Other Chemicals segment provides adhesion promoters, bulk chemicals, epoxy resins and hardeners, intermediates, and textile dyes.
The company serves various industries worldwide including adhesives, agriculture, animal feed, automobile, composites, construction, cosmetic, defense, dyestuff, electrical and electronics, flavor, food, footwear, fragrance, glass, home care, horticulture, hospitality, paint and coatings, paper, personal care, pharmaceutical, plastic, polymer, rubber, soap and detergent, sport and leisure, textile, tire, and wind energy.
Atul manufactures over 900 products and 400 formulations across several segments, including organic intermediates like para-Cresol and para-Anisic aldehyde, polymers and resins such as Epoxy phenol novolac and Resorcinol formaldehyde, and dyes and pigments including Vat Green 1, Pigment Red 168, and Sulphur Black.
The market capitalization of Atul Ltd is ₹20,918.37 Crore as of June 4, 2025. The company reported strong financial performance in Q4 FY25 with net profit rising 116.57% to ₹126.50 Crore compared to ₹58.41 Crore in Q4 FY24, while sales increased 19.76% to ₹1,451.64 Crore from ₹1,212.15 Crore.
For the full fiscal year 2025, net profit rose 49.81% to ₹483.93 Crore compared to ₹323.02 Crore in FY24, with sales growing 18.15% to ₹5,583.35 Crore from ₹4,725.68 Crore. On a segmental basis, revenue from life science chemicals was ₹443.89 Crore (up 17.84% YoY) and revenue from performance and other chemicals was ₹1,054.72 Crore (up 21.28% YoY) during Q4 FY25.
Key financial metrics as of FY25:
- Revenue: ₹5,583 Crore
- Net Profit: ₹484 Crore
- P/E Ratio: 43.23
- P/B Ratio: 4.05
- Dividend Yield: 0.35%
- Promoter Holding: 45.2%
In January 2024, Atul commissioned a ₹1,035 Crore caustic-chlorine plant at its main facility in Atul village, and in October 2024, the company completed the expansion of its liquid epoxy resin facility. After the expansion, the total capacity to manufacture epoxy resin is now 80,000 tons per annum.
In 2022, Atul completed the expansion of its sulphur black manufacturing facility from 9,800 tonnes to 26,000 tonnes per annum, making it one of the leading producers of sulphur black in the world. The company also introduced a new patented herbicide in 2024 to control post-emergence weeds, marking its dominance in the retail crop-protection market of India.
In 2016, Dutch specialty chemicals major AkzoNobel and Atul Ltd signed an agreement to set up a manufacturing joint venture for the production of monochloro acetic acid (MCA) in India. The company also has a joint venture with Nouryon (Netherlands) established in 2017 to produce monochloroacetic acid.
Atul has a global presence through its subsidiaries including Atul USA Inc. in Charlotte, North Carolina; Atul Europe Ltd. in Wilmslow, United Kingdom; Atul Middle East FZ-LLC in Dubai, United Arab Emirates; Atul China Ltd. in Shanghai, China; and Atul Brasil Químicos Ltda. in São Paulo, Brazil.
Anand Rathi has initiated coverage on Atul Ltd with a Buy rating and a target price of ₹8,300, noting that the company has invested significantly in capacity expansion with unrealized sales potential of over ₹25 billion, and expects revenue, EBITDA, and PAT CAGRs of 15%, 20%, and 30% respectively over FY25-27. Emkay Global has also initiated coverage with a 'buy' rating and a target price of ₹8,500, highlighting strong growth potential and capacity expansion investments.
The company's strategic focus on capacity expansion, product diversification, and global market reach positions it well for continued growth in the chemical manufacturing sector, supported by India's growing industrial base and export opportunities.
