Vinyl Chemicals (India) Limited is a specialized chemical trading company focused on the Indian market. Its core business involves selling and supplying chemicals, particularly Vinyl Acetate Monomer (VAM), which is imported from global suppliers and distributed across India. The company is part of the Parekh Group, originally promoted by Pidilite Industries Limited and the State Industrial & Investment Corporation Of Maharashtra Limited (SICOM) in 1986. Headquartered in Mumbai, Vinyl Chemicals India Limited is listed on both NSE and BSE, trading under the symbol VINYLINDIA on NSE and 524129 on BSE.
The company's primary business revolves around the trading of specialty chemicals, with Vinyl Acetate Monomer (VAM) as its flagship product. VAM is sourced from diverse global suppliers and distributed within the Indian market. This chemical is essential for various industrial applications, including the manufacturing of polymers and copolymers used across different sectors.
Historically, the company had manufacturing capabilities for VAM. Uhde GmbH Germany provided technology and engineering services for its production. VAM production capacity was expanded significantly over the years, reaching 16,400 metric tonnes per annum by May 1999 and later increased to 24,500 TPA after a debottlenecking plan completed in 2001-02. However, in fiscal year 2007-08, the VAM manufacturing unit located at Mahad was demerged into Pidilite Industries Ltd., transitioning Vinyl Chemicals India Limited primarily into a trading operation for chemical products.
Vinyl Chemicals Limited has demonstrated steady financial performance within the specialty chemicals sector. For the year ended March 2025, the company reported a net profit of Rs 22.33 crore, a 2.24% increase from Rs 21.84 crore in the previous year. Sales rose by 4.73% to Rs 625.25 crore from Rs 597.01 crore.
Quarterly performance for March 2025 showed mixed results: net profit declined by 3.45% to Rs 7.27 crore compared to Rs 7.53 crore in March 2024, while sales increased by 2.74% to Rs 172.88 crore from Rs 168.27 crore. The company maintains an operating revenue of Rs 625.25 crore on a trailing 12-month basis.
• Annual Performance (FY 2024-25): Net Profit of Rs 22.33 crore, Sales of Rs 625.25 crore.
• Quarterly Performance (Q4 FY 2024-25): Net Profit of Rs 7.27 crore, Sales of Rs 172.88 crore.
• Market Capitalization: ₹572.58 crore (as of June 27, 2025).
• Promoter Holding: 50.4%.
• Debt-Free Status: The company maintains a debt-free status, indicating a strong balance sheet.
The company's stock has experienced notable volatility. It reached a 52-week high of Rs 444.20 and a 52-week low of Rs 215.10. Over the past three years, the share price has seen an increase of 260%, although recent performance has faced challenges.
Key stock metrics include:
• P/E Ratio: 25.64
• PB Ratio: 4.39
• Dividend Yield: 2.24%
• 52-Week High: ₹444.20
• 52-Week Low: ₹215.10
From a technical analysis standpoint, the stock is trading below its 200-day moving average, requiring a breakout above these levels for significant upward movement.
Vinyl Chemicals India Limited has demonstrated strong fundamental strengths, including an annual revenue growth of 5% and a pre-tax margin of 5%. The company also shows an exceptional Return on Equity (ROE) of 17%. Its debt-free status further supports stable earnings growth across business cycles.
Industry Position:
Over the last 5 years, the company's revenue has grown at a yearly rate of 4.34%, which is slightly below the industry average of 6.06%. Consequently, its market share has decreased from 0.87% to 0.67%.
Profitability Performance:
Despite the relative underperformance in market share, net income has grown at an impressive yearly rate of 19.84% over the past 5 years, significantly outperforming the industry average net income growth of -1.25%.
The company operates in the specialty chemicals segment, which typically offers stable demand patterns and opportunities for value-added services. The focus on VAM trading places the company in a niche market with specific industrial applications. However, this also creates dependency on global supply chains and price fluctuations within chemical markets.
The company is led by experienced management, with MB Parekh serving as both Chairman and Managing Director. The auditors for the company are Khanna & Panchmia and Mehul Gada & Associates. P C Patel serves as the Company Secretary. This management structure reflects a professional approach to corporate governance and operational oversight.
• Promoter Holding: Stands at 50.4%, indicating strong promoter confidence in the company's prospects.
• Promoter Pledging: There is no promoter pledging, which underscores the financial stability of the promoter group and their commitment to the business.
The company's corporate governance practices align with regulatory requirements, including regular board meetings and timely disclosure of financial results. The 39th Annual General Meeting was scheduled for July 30, 2025.
