IG Petrochemicals Ltd (IGPL) commenced production in 1992 with a vision to become a leading player in the petrochemicals industry. Today, it stands as the largest producer of Phthalic Anhydride (PAN) in India, holding a commanding market position with over 50% share in the country's phthalic anhydride market. The company is an established market leader with strong recognition and excellent plant facilities of international standards.
IGPL is promoted by the Dhanuka Group in technical collaboration with Lurgi GmbH, Germany, and is headquartered in Mumbai, Maharashtra, India. The manufacturing unit is strategically located at Taloja, Maharashtra, providing proximity to the port, resulting in significant savings in freight costs, and close access to India's chemical belt.
IG Petrochemicals is one of the largest single-location producers of Phthalic Anhydride globally, with a manufacturing capacity of 1,16,110 MT per annum. The company maintains high capacity utilization, supported by annual contracts for its sales to Indian customers. The plant was successfully expanded from 45,000 MTPA to 60,000 TPA, with an additional 45,000 TPA plant installation.
IG Petrochemicals manufactures and distributes a range of petrochemical products, including:
- Phthalic Anhydride (PAN)
- Maleic Anhydride (MAN) (produced through wash water generated from PAN production)
- Benzoic Acid
- Diethyl Phthalate (DEP)
The company's products find applications across various industries:
- Phthalic Anhydride (PAN): Used in manufacturing plasticizers essential for PVC products (shoe soles, cables, pipes, hoses, leather cloth, packaging films), and in alkyd resins for paints and unsaturated polyester resins for building materials.
- Maleic Anhydride (MAN): Serves industries manufacturing unsaturated polyester resin, spandex, lubricating oil additives, personal care products, detergents, insecticides, fungicides, and water treatment.
- General Applications: Plastics, paints, coatings, personal care, pharmaceuticals, perfumes and fragrances, incense sticks, cosmetics, toiletries, and other industrial uses.
As of May 20, 2025, the market capitalization of IG Petrochemicals Ltd stands at ₹1,453.21 crores. The company's financial performance has shown significant growth:
For the full year ended March 2025:
- Net profit: ₹108.70 crores (representing a growth of 175.12% compared to ₹39.51 crores in the previous year)
- Sales: ₹2,206.23 crores (a rise of 5.11% against ₹2,099.07 crores in the previous year)
In the quarter ended March 2025:
- Net profit: ₹18.96 crores (a surge of 109.73% compared to ₹9.04 crores in the corresponding quarter of the previous year)
- Sales: ₹480.08 crores (a decline of 13.34% from ₹553.98 crores in the same period)
- Market Capitalization: ₹1,453.21 crores (as of May 20, 2025)
- FY2025 Net Profit: ₹108.70 crores
- FY2025 Sales: ₹2,206.23 crores
- Q4 FY2025 Net Profit: ₹18.96 crores
- Q4 FY2025 Sales: ₹480.08 crores
- P/E Ratio: 13.37
- P/B Ratio: 1.17
- Dividend FY2024: ₹7.50 per share
- Current Dividend Yield: 2.12%
- Promoter Holding: 68.74% (as of March 2025)
The company demonstrates operational optimization through the efficient utilization of steam generated from its processes. The business benefits from diversified product use across multiple industries with low customer concentration.
IGPL is ISO 9001:2008 accredited for Quality Management Systems. The company's primary goal is to achieve the highest standards of quality in business practices and operations without compromise, considering quality performance a personal responsibility of all employees.
IG Petrochemicals has been honored with the prestigious ESG Champions Award 2024 from Dun & Bradstreet, reflecting its commitment to Environmental, Social, and Governance (ESG) principles. The company actively engages in various CSR initiatives:
- Education: Contributions to Akshay Patra Foundation for mid-day meals.
- Healthcare: Donations to medical foundations.
- Community Service: Support to old age homes and orphanages.
The company has also implemented the Miyawaki Plantation Project to create a forest in Taloja, demonstrating its commitment to environmental sustainability.
IG Petrochemicals' strategic location, technical collaboration with international partners, strong market position, and commitment to quality and sustainability position it well for continued growth in India's expanding chemical industry.
Analysts maintain a positive outlook for IGPL, with a target price of ₹944, representing a potential upside of 100.98% from current levels. Furthermore, 100% of analysts recommend a 'BUY' rating for the stock, indicating strong confidence in the company's future prospects.
