Oriental Aromatics Ltd is an India-based company, primarily engaged in the manufacturing and sale of camphor, perfumery and specialty aroma chemicals, fragrances, and flavors. The Company is a prominent manufacturer of various specialty-based aroma chemicals and camphor, with a diverse product range that includes synthetic camphor, terpineol, pine oils, astromusk, and other specialty aroma chemicals.
Incorporated in 1973, Oriental Aromatics Ltd has evolved into a significant player in the specialty chemicals sector. The company was formerly known as Camphor & Allied Products Limited and officially changed its name to Oriental Aromatics Limited in February 2018. Oriental Aromatics Limited was founded in 1955 and is headquartered in Mumbai, India.
Oriental Aromatics operates as an integrated manufacturer in the specialty chemicals sector, with a strong focus on the production of fragrances, flavors, and aroma chemicals. Its custom-designed fragrances are utilized in perfumes, incense sticks, candles, and a wide array of fast-moving consumer goods (FMCG) products, such as soaps, shampoos, hair oils, and detergents. The company's products find applications across various industries, including food, beverages, perfumery, cosmetics, and toiletries.
The company manufactures and sells terpene chemicals, camphor, and other specialty aroma ingredients in India. Its offerings include specialty aroma chemicals for use in flavors, fragrances, and essential oils; synthetic camphor for medicinal and religious applications; and terpineol, pine oils, astromusk, isobornyl acetate, and terpene resins.
Oriental Aromatics has significantly expanded its manufacturing capabilities over the years. A Specialty Aroma Chemical Plant was commissioned at Vadodara in 2021, and the capacity of the Terpene Chemicals Plant in Bareilly was expanded. In January 2020, the Company's wholly-owned subsidiary, Oriental Aromatics and Sons Ltd., acquired land in Maharashtra to establish a Camphor Plant and other multi-products facilities, further strengthening its production footprint.
Oriental Aromatics has established a substantial global footprint through its extensive export operations, which span multiple continents. The company exports its products to a wide range of countries, including Mexico, the United States, Argentina, Brazil, Colombia, France, Geneva, Germany, the Netherlands, Portugal, Spain, Switzerland, Turkey, the United Kingdom, Ukraine, Egypt, Nigeria, Bangladesh, China, Hong Kong, Indonesia, Japan, Malaysia, Myanmar, Oman, Pakistan, Singapore, Sri Lanka, Thailand, the United Arab Emirates, Vietnam, and Yemen. This global reach underscores its strong market position in the international specialty chemicals arena.
The company has demonstrated a mixed financial performance in recent periods, with notable improvements in profitability in the recent quarter.
Oriental Aromatics Ltd has a market capitalization ranging from ₹1,230 Crore (as reported by Screener as of December 2024) to ₹1,283.72 Crore (as of May 2025 according to Business Today).
- Q3 FY2024-25 Performance (December 2024 Quarter):
- Revenue: ₹222.57 Crore
- Net Profit: ₹7.14 Crore
- Net profit rose 173.56% to ₹7.14 Crore from ₹2.61 Crore in Q3 FY2023-24.
- Sales rose 12.75% to ₹222.57 Crore from ₹197.41 Crore in Q3 FY2023-24.
- Q2 FY2024-25 Performance (September 2024 Quarter):
- Net Profit: ₹14.78 Crore
- Sales: ₹236.77 Crore
- Net profit rose 510.74% to ₹14.78 Crore from ₹2.42 Crore in Q2 FY2023-24.
- Sales rose 4.39% to ₹236.77 Crore from ₹226.82 Crore in Q2 FY2023-24.
- Current Price: ₹365 (Approx.)
- 52-Week High / Low: ₹657 / ₹252
- Stock P/E: 35.8 (Note: Screener shows 35.8, Business Today shows 123.02, indicating volatility or different calculation bases)
- Book Value: ₹197
- Dividend Yield: 0.14% - 0.15%
- ROCE (Return on Capital Employed): 7.87%
- ROE (Return on Equity): 5.30%
- Sales Growth (5-year average): 4.08% (poor performance)
- ROE (3-year average): 3.34% (low)
The main management team includes Dharmil A Bodani as Chairman and Managing Director, and Kiranpreet Gill as the Company Secretary. Oriental Aromatics Ltd maintains proper corporate governance standards and regularly updates shareholders through various regulatory filings.
Promoter holding in Oriental Aromatics Ltd has remained stable at 74.17% as of March 2025, consistent with June 2024 figures. This stable promoter holding indicates management confidence in the company's prospects and long-term vision.
The stock has experienced significant volatility in recent periods. The 52-week high of Oriental Aromatics Ltd (OAL) is ₹656.70, and the 52-week low is ₹261.55. The P/E (price-to-earnings) ratio of Oriental Aromatics Ltd (OAL) is reported as 123.02 (as of May 2025, Business Today), while other sources show 35.8. The P/B (price-to-book) ratio is 1.77.
Oriental Aromatics Ltd (OAL) belongs to the Materials sector and the Specialty Chemicals sub-sector. The company operates in a specialized niche within the chemicals industry, focusing on high-value specialty products rather than bulk chemicals, which allows for potentially higher margins and specific market expertise.
The company's current dividend yield is between 0.14% and 0.15%. Oriental Aromatics Ltd has maintained a modest dividend policy, with a dividend payout ratio of 10.6% of profits over the last 3 years. This suggests that management is retaining a significant portion of earnings for business expansion and capital investments, rather than distributing them as dividends.
Oriental Aromatics Ltd represents a specialized player in the Indian specialty chemicals sector with a strong global presence and diverse product portfolio. While the company has faced some growth challenges in recent years, its established market position, ongoing capacity expansion initiatives, and recent improvements in profitability position it for potential future growth in the dynamic specialty chemicals market.
