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Lords ChloroAlkali LimitedTransforming intoA GREEN CHEMICAL COMPANYpowered by Renewables Investor Presentation | Q2 & H1 FY27
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Business Overview Financial Highlights Company Overview Growth Ahead TABLE OF CONTENTS
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COMPANY OVERVIEW
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LORDS CHLORO ALKALI Lords Chloro Alkali Limited (LCAL)is a leading manufacturer of caustic soda and related chemicals with a strong regional presence in North India. Established in 1979, the company is transforming into a green chemicals company, evolving into a modern, efficient, and sustainability-driven enterprise.Introducing LCAL has a clear vision of becoming a “Green Chemical Company”, embedding renewable energy into its operations. With a growing portfolio of downstream products like Chlorinated Paraffin Wax (CPW), the company ensures stable chlorine absorption and enhanced value creation.SNAPSHOT300+ Employees, driven by efficiency and sustainability focus01Manufacturing Unit – Alwar, Rajasthan300 TPD Caustic Soda Installed Capacity (~1,05,000 TPA)50 TPDCPW Capacity (~18,250 TPA), expanding to 100 TPD by FY2737 MWSolar Plant operational at Bikaner20% Revenue CAGR(FY21 – FY26)0.67Debt to equity as on Mar’2610 MW Hybrid Plant -Group captive at Jaisalmer, Rajasthan
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Company restarted with latest technology from Japan & GermanyBest operating profits in history of Lords ChloroCompany was incorporated as Modi Alkalis & Chemicalssubsequently changed Name to Lords Chloro Alkali Ltd.1979Company moved from Mercury cell manufacturing to membrane technology for environmental reasons19922006Company and management taken up by Dhir Group and others2015/20162021Dhir Group made an open offer to buy out other promoters, increasing their stake to 74.72%, and taking over the company’s full management20232024•Focus on Green Chemistry – Solar Power integration - 16MW Solar plant in Bikaner commences operations•Operationalized additional 90 TPD Capacity Expansion of Caustic Soda 2025•Operationalized additional 30 TPD Capacity Expansion of Chlorinated Paraffin Wax (CPW)•Established Group captive 10MW hybrid Plant ACCELERATING OUR JOURNEY TO BEING A GREEN CHEMICAL COMPANY 2026Additional 21 MW Captive Solar Power Plant at Bikaner
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Madhav DhirExecutive DirectorDeepak MathurTechnical Director• BA in Business Management, MSc in Economics, LLB, Graduate from Imperial College London• Director of Lords Chloro Alkali Limited for over 10 years, focuses on Company's future, expanding business, adding new chemicals, expanding renewable footprint and charting growth trajectoryAjay VirmaniManaging Director• Chartered Accountant by profession• 18 years of experience in the Chloro Alkaliindustry, he not only served as the President of AMAI but also brings wealth of industryknowledge and- leadership• B.Tech. in Chemical Engineering from Punjab University, Chandigarh• Boasting more than 40 years of experience in chloro-alkali plants across India, is a seasoned expert in this field EXPERIENCED MANAGEMENT TEAM
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BUSINESS OVERVIEW
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16 MW Solar Power PlantGrid PowerCAUSTICSODAPLANTCaustic Soda EvaporationCaustic Soda LyeChlorine Treatment &CompressionSodium Hypochlorite PlantCPW Plant Chlorinated Paraffin Wax Hydrogen CompressionHydrochloric Acid PlantChlorine LiquidSodium HypochloriteHydrogen GasHydrochloric Acid10 MW Hybrid Power Plant(Group Captive)21 MW Solar Power Plant WIDE PRODUCT OFFERINGS….
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DIVERSEPRODUCTPORTFOLIOCaustic Soda LyeKey Applications (K)•Neutralizing agent•Cleaning & bleaching agent•pH regulatorEnd-Use Industries (E)•Aluminium•Paper & Pulp•Textiles•Soaps & Detergents•PharmaceuticalsChlorineKey Applications (K)•Disinfection•Bleaching•Chemical synthesisEnd-Use Industries (E)•Water treatment•PVC & plastics•Inorganic chemicals•Paper & pulp•Pharma intermediatesHydrochloric Acid (HCl)Key Applications (K)•Pickling agent•pH regulation•NeutralizationEnd-Use Industries (E)•Steel & Metallurgy•Effluent treatment plants•Pharmaceuticals•Dyes & ChemicalsChlorinated Paraffin Wax (CPW)Key Applications (K)•Flame retardant•Plasticizer•LubricantEnd-Use Industries (E)•PVC pipes & cables•Rubber industry•Plastics & leather•Paints & coatingsSodium HypochloriteKey Applications (K)•Bleaching•Disinfection•Water treatmentEnd-Use Industries (E)•Textiles•Municipal water supply•Pharma & healthcare•Sanitization productsHydrogen Gas (By-product)Key Applications (K)•Hydrogenation•Clean energy fuelEnd-Use Industries (E)•Oils & Fats processing•Chemical manufacturingCaustic Soda EvaporationChlorine Treatment &CompressionSodium Hypochlorite PlantCPW Plant Hydrogen CompressionHydrochloric Acid Plant
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STRONG CLIENTS PROFILE
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Focus on Sustainable Manufacturing Our Alwar, Rajasthan facility is a sophisticated manufacturing facility with Technologically advanced plant maintaining industry leading utilization rates while demonstrating our environmental commitment with a significant part of our 84 acre campus preserved as green belt. Production CapabilitiesMANUFACTURING FOOTPRINT Current Capacity•1,05,000 TPA caustic soda •18,250 TPA of Chlorinated Paraffin Wax (CPW)Integrated ProcessDeveloping ability to channel by product of caustic soda into value added products Technology ISO 9001, ISO 14001, ISO 45001Tech Suppliers from Asahi Kasei (Japan), UHDE (Germany), Bertrams (Switzerland), KREBSNo mercury cells; cleaner fuel transitionIntegrating Solar Power Significant focus on harnessing solar power for chemical production, a move that reduces reliance on non-renewable energy sources and positions as a leading player in green energy adoption within the chemical sector
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•37 MW Solar plant•Set-back with increased Grid Electricity Rates in Oct, 2025.•Entered into Power Supply Agreement and Share Purchase Agreement with CGE II Hybird Energy Private Limited for 10MW in Wind Solar Hybrid Project.More stable EBITDA margins, reduced dependence on cyclical caustic soda prices, and enhanced competitiveness vs peers relying on thermal power.Power & fuel constitute approx. 36%of production costsH1 FY27: Reduced to36%Energy is our single largest cost component and our biggest opportunity.ENERGY COST TRANSFORMATION – BIGGEST LEVER IMPACTon account of renewables integration FY25 Power & Fuel cost at 51%
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These projects were funded through a mix of internal accruals and debt, keeping balance sheet strength intact. Our disciplined investments drive scale and efficiencySTRATEGIC CAPEX JOURNEY Completed Projects (FY24 – FY25 | Rs. 150 crore)Caustic SodaIncreased capacity from 210 TPD →300 TPD, already operating at ~80% utilization.Chlorinated Paraffin Wax (CPW) increased capacity from 20 TPD →50 TPD to enhance captive chlorine utilization.Solar Power PlantCommissioned a 16 MW solar facility in Bikaner, meeting ~10% of power requirement.
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CAPEX JOURNEY Total Capex Outlay of Rs. 315 crore across FY24 – FY28 to drive Capacity Expansion + Renewable Energy + Downstream DiversificationCompleted – Rs. 150 crore •90 TPD Caustic Soda •16 MW Solar plant FY24 - FY25 Ongoing – Rs. 165 crore•10 MW group captive hybrid renewable power project •50 TPD CPW •21 MW Solar Plant (Completed)•100 TPD Caustic Soda (~Q4FY27) FY26 – FY27 Three tranches · Revenue accretive · Margin improving · Self-funded
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STRATEGIC CAPEX PLAN TO STRENGTHEN GROWTH AND EFFICIENCY Expanding Product Capacity•Existing capacity running over 80% utilization •Undertaking addition of 100 TPD•Post expansion Total Installed capacity will be 360 TPD as 40 TPD UHDE plant will be decommissioned•Strengthens market position, improves scale efficiencies•50 TPD CPWTotal Capex OutlayRs. 165 crore Renewable Power Capacity•21MW additional Captive use plant•Post completion total captive capacity 37MW +10 MW Group captive •Reduces dependency on grid power; lowers energy costImplementation TimelineFY26-FY27 •Enhanced production capacity to meet rising demand•Backward integration and improved value chain through new flaker unit•Lower power and fuel costs through expanded solar capacity•Improved margins and competitiveness•Strengthened ESG commitment with higher renewable energy usageStrategic Rationale & Expected Benefits
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OUR VALUE PROPOSITION Cost Leadership through Renewable Energy•Renewable shift (solar) already started reducing power cost from Q4 FY25 onwards •Targeting 40%-45% renewable energy in the short term and 80% in the medium term.Stability via Downstream Integration•Chlorine, a volatile by-product, integrated into Chlorinated Paraffin Wax (CPW).•CPW capacity expansion ensures chlorine absorption, protecting caustic soda production.•Increase CPW to contribute in revenues over the next 2–3 years.Healthy relationship with customers in North India•Among the few players based in North India, with total capacity of ~300 TPD.•Freight economics discourage imports from Gujarat, protecting pricing power.•Plant strategically located near end-user industries.Growth Visibility with Prudent Capex•Rs. 150 cr capex completed in FY24 & FY25 →capacity up by ~40%.•Approved Rs. 30 cr CPW expansion →commissioning by FY27 end.ESG-Driven Transformation•Mercury cells phased out →cleaner production technology.•Renewable projects reducing carbon footprint by 17,200 tons CO₂annually (equal to 8.5 lakh trees planted).•Positioning LCAL as India’s “Green Chemical Company”.
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FINANCIAL HIGHLIGHTS
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Mr. Ajay VirmaniManaging Director "We delivered healthy revenue growth during Q2 FY27, supported by increased sales volumes across our keyproduct offerings. Sales volumes of Caustic Soda Lye and Chlorinated Paraffin Wax (CPW) registered year-on-yeargrowth of 9.24% and 40.38%, respectively. While caustic soda realisations witnessed moderation during thequarter, improved realisations in CPW, coupled with higher sales volumes, supported our overall revenueperformance.During the quarter, operating profitability was impacted by lower caustic soda realisations, partly offset byimproved CPW realisations and a reduction in power and fuel expenses compared to the previous quarter. Wecontinue to focus on optimising plant efficiencies, strengthening operational reliability and maintaining costdiscipline across our manufacturing operations to enhance productivity and operational resilience.A significant milestone during the quarter was the commissioning of our 14.5 MW AC (21 MW DC) captive solarpower plant, along with a Battery Energy Storage System (BESS), at Bikaner, Rajasthan. With this addition, ourtotal installed captive and group-captive renewable energy capacity has increased to 47 MW DC. This furtherstrengthens our efforts towards reducing dependence on grid electricity, improving energy cost efficiency andadvancing our transformation into a Green Chemical Company.Looking ahead, we remain focused on strengthening our competitive positioning through operational excellence,downstream diversification, capacity expansion and disciplined capital allocation. We will continue to pursueopportunities across our key end-user industries while enhancing manufacturing efficiencies and building a moresustainable and competitive chemical business, with a focus on creating long-term value for all ourstakeholders." COMMENTING ON THE FINANCIAL RESULTS
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21,33720,956 20,93419,95323,309Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Q2 FY2721.0910.8813.7222.8318.82Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Q2 FY27100.7794.1197.75106.57115.51Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Q2 FY279.044.614.3914.959.02Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Q2 FY27EBITDA (Rs. Crore) Profit After Tax (Rs. Crore)FINANCIAL HIGHLIGHTS - QUARTERLY Caustic Soda Lye Volumes (in Tonnes) Total Income (Rs. Crore)
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Q1 FY27YoY%Q2 FY26Q2 FY27All Figures in Rs. Crore106.3417.34%98.34115.40Income from operations0.222.430.11Other income106.5614.62%100.77115.51Total income 30.6826.7536.69Cost of Raw Material(3.93)(0.98)6.41Changes in inventory6.257.038.17Employee Cost 42.8239.1937.79Power and Fuel Charges7.917.707.63Operating expenses83.7379.6896.69Total Expenditure 22.83(10.78)%21.0918.82EBITDA 21.42%(464) Bps20.93%16.29%EBITDA Margin %4.124.174.30Depreciation 2.422.792.74Interest 16.29(16.63)%14.1311.78Profit Before Tax 1.335.092.76Tax 14.96(0.20)%9.049.02Profit After Tax 5.22(12.26)%3.593.15Basic EPS (Rs.) PROFIT & LOSS STATEMENT – QUARTERLY
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YoY%H1 FY26H1 FY27All Figures in Rs. Crore11.69%198.54221.75Income from operations2.700.33Other income10.36%201.24222.08Total income 57.8467.37Cost of Raw Material(4.00)2.48Changes in inventory12.2814.43Employee Cost 78.7480.61Power and Fuel Charges14.615.55Operating expenses13.15%159.46180.44Total Expenditure (0.33)%41.7841.64EBITDA (201) bps 20.76%18.75%EBITDA Margin %8.228.42Depreciation 5.45.16Interest (0.34)%28.1628.06Profit Before Tax 8.674.09Tax 23.01%19.4923.97Profit After Tax 7.87%7.758.36Basic EPS (Rs.) PROFIT & LOSS STATEMENT – Half Year
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As on 31stMar’26As on 30thSep’26Equity & Liabilities (Rs. Crore)242.52266.65Shareholders Funds28.6528.65Share Capital213.87238.00Other Equity0.000.00Non Controlling Interest152.28171.48Non Current Liabilities96.37112.13Long Term Borrowings11.0712.64Lease Liability2.092.72Provisions25.9927.23Deferred Tax Liabilities 16.7616.76Other non-current Liabilities83.9191.36Current Liabilities65.58 57.57Short term Borrowings3.31 11.21Trade Payables0.90 0.98Lease Liability1.00 1.38Other Financial Liabilities10.88 17.77Other Current Liabilities2.23 2.45Short term Provisions0.000.00Current Tax Liability (Net)478.70529.49Total Equity & Liabilities As on 31stMar’26As on 30thSep’26Assets (Rs. Crore)335.75386.89Non Current Assets250.08304.60Property, plant & Equipment43.8524.13Capital work-in-progress11.9613.32Right-of-use assets0.000.00Intangible Assets under development0.120.10Intangible Assets9.929.95FA - Investments0.120.02FA - Loans19.7234.77Other Non-Current Assets142.95142.60Current Assets41.3034.53Inventories50.7763.54FA - Trade Receivables29.4323.75FA - Cash & cash equivalents0.000.00FA - Bank balances0.090.17FA - Loans3.230.79Current Tax Assets18.1319.82Other Current Assets478.70529.49Total Assets BALANCE SHEET – AS ON 30thSEP’26
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YoY%FY25FY26All Figures in Rs. Crore270.22390.14Income from operations1.592.97Other income44.62%271.82393.10Total income 72.82108.98Cost of Raw Material(3.66)(2.20)Changes in inventory18.7926.03Employee Cost 137.75165.01Power and Fuel Charges20.5228.91Operating expenses246.21326.73Total Expenditure 159.24%25.6066.38EBITDA 747 bps9.42%16.89%EBITDA Margin %11.7416.52Depreciation 5.7211.27Interest 8.1538.59Profit Before Tax 1.9710.10Tax 360.90%6.1828.49Profit After Tax 304.07%2.469.94Basic EPS (Rs.) PROFIT & LOSS STATEMENT – FULL YEAR
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61,03462,246 62,21665,27584,690FY22 FY23 FY24 FY25 FY2658.5585.203.7125.666.38FY22 FY23 FY24 FY25 FY26242.61296.49224.04271.82393.1FY22 FY23 FY24 FY25 FY2632.2853.22-4.806.1828.49FY22 FY23 FY24 FY25 FY26 Volumes (in Tonnes)EBITDA (Rs. Crore)Revenues (Rs. Crore)Profit After Tax (Rs. Crore)ANNUAL FINANCIAL HIGHLIGHTS
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As on 31stMar’25As on 31stMar’26Equity & Liabilities (Rs. Crore)181.67242.52Shareholders Funds25.1528.65Share Capital156.52213.87Other Equity0.000.00Non Controlling Interest123.12152.28Non Current Liabilities78.4596.37Long Term Borrowings5.5011.07Lease Liability1.212.09Provisions17.1925.99Deferred Tax Liabilities 20.7716.76Other non-current Liabilities71.0983.91Current Liabilities47.8065.58Short term Borrowings6.813.31Trade Payables0.440.90Lease Liability2.041.00Other Financial Liabilities11.4310.88Other Current Liabilities2.582.23Short term Provisions0.000.00Current Tax Liability (Net)375.89478.70Total Equity & Liabilities As on 31stMar’25As on 31stMar’26Assets (Rs. Crore)289.98335.75Non Current Assets263.91250.08Property, plant & Equipment0.0043.85Capital work-in-progress6.6011.96Right-of-use assets0.000.00Intangible Assets under development0.150.12Intangible Assets0.359.92FA - Investments0.020.12FA - Loans18.9619.72Other Non-Current Assets85.90142.95Current Assets29.8641.30Inventories36.8250.77FA - Trade Receivables3.0329.43FA - Cash & cash equivalents8.920.00FA - Bank balances0.120.09FA - Loans1.123.23Current Tax Assets6.0518.13Other Current Assets375.89478.70Total Assets BALANCE SHEET – AS ON 31stMAR’26
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FY26FY25FY24FY23FY22FY21All Figures in Rs. Crore390.14270.22221.11295.05240.08154.10Income from operations2.971.592.931.442.523.23Other income393.10271.82224.04296.49242.61157.33Total income 108.9872.8253.5944.0034.4626.47Cost of Raw Material(2.20)(3.66)(2.07)2.785.92-5.19Changes in inventory26.0318.7916.3120.9713.0710.27Employee Cost 165.01137.75136.06125.33114.49106.46Power and Fuel Charges28.9120.5216.4318.2316.0511.04Operating expenses326.73246.21220.33211.31184.06149.32Total Expenditure 66.3825.603.7185.2058.558.01EBITDA 16.89%9.42%1.65%28.73%24.13%5.09%EBITDA Margin %16.5211.749.008.087.266.41Depreciation 11.275.722.112.414.773.99Interest 38.598.15(7.40)74.7146.52(2.39)Profit Before Tax 10.101.97(2.61)21.4914.23(0.35)Tax 28.496.18(4.80)53.2232.28(2.04)Profit After Tax 7.25%2.27%(2.14)%17.95%13.31%(1.30)%PAT Margin 9.942.46(1.91)21.1612.83(0.81)Basic EPS PROFIT & LOSS STATEMENT – ANNUAL
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GROWTH AHEAD
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Sources - *https://www.mckinsey.com/industries/chemicals/our-insights/india-the-next-chemicals-manufacturing-hub, **https://ama-india.org/wp-content/uploads/2023/07/May-2023.pdfIndian Chemical Industry*•Global outperformer in terms of demand growthand shareholder value creation•Projected growth at 11-12% during 2021–27 andby 7-10% during 2027–40 thereby tripling its global market share by 2040•Increased domestic demand and a shift in supply chain are expected to boost growth even further. OPPORTUNITYIndustryIndian Caustic Soda Industry**•Annual capacity of ~6.4 million MT accounting for around5-6% of global capacity and is expected to grow in line with country’s GDP•India has become net exporter of Caustic soda from beingan importerGrowth Prospects •Realizations improved on quarter-on-quarter basis during FY26-27 due to growing demand scenario in the domestic market as well as the global commodities price increase due to USA-Iran conflict. •India’s GDP is expected to keep demand for caustic soda high due to growth in both domestic manufacturing andthe underlying end user industries
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Thank YouMr. Smit PatelAdfactors PR Pvt. LtdMobile - +91 98927 72406Email: smit.patel@adfactorspr.comMr. Madhav Dhir,Executive DirectorLords Chloro Alkali LimitedEmail: madhav.dhir@lordschloro.com