ELLEN - Ellen.Indl.Gas
📢 Recent Corporate Announcements
Ellenbarrie Industrial Gases reported a sequential decline in Q3 FY26, with revenue from operations falling 9% to ₹813 million and EBITDA margins contracting to 31% from 38% in Q2. The performance was primarily impacted by a 25% drop in Argon realizations and softness in the steel sector, alongside elevated one-off expenses. Despite these headwinds, the company commissioned its 220 TPD Uluberia 2 plant and maintains a strong net cash position of ₹3,550 million. Management remains optimistic about returning to 40% EBITDA margins as new, more efficient capacities come online and market conditions normalize.
- Revenue from operations stood at ₹813 million, a 9% sequential decline due to steel sector softness.
- EBITDA margins contracted to 31% from 38% in Q2, driven by a >25% drop in Argon prices.
- Commissioned the Uluberia 2 merchant plant (220 TPD) and guided for ₹2,500 million Capex in FY26.
- Maintains a robust balance sheet with a net cash position of ₹3,550 million.
- Upcoming capacities include a 320 TPD on-site plant in Q1 FY27 and a 220 TPD North India plant in H2 FY27.
Ellenbarrie Industrial Gases Limited has officially released the audio recording of its earnings conference call for the quarter ended December 31, 2025. The call was conducted on February 03, 2026, to discuss the company's financial results and operational performance with analysts and investors. This disclosure is a routine regulatory requirement under SEBI (LODR) Regulations, 2015, to ensure transparency. Investors who missed the live session can now access the full discussion via the company's website.
- Audio recording of the Q3 FY26 earnings call is now available for public access.
- The conference call with analysts and investors was held on February 03, 2026.
- The filing is made in compliance with Regulation 30 of SEBI (LODR) Regulations, 2015.
- The recording link has been disseminated on both the NSE and BSE platforms.
Ellenbarrie Industrial Gases reported a 20% YoY revenue growth in Q3 FY26 to ₹813 mn, though EBITDA margins saw a significant compression to 31% from 42% in the previous year. The margin drop was primarily driven by lower Argon realizations due to oversupply and one-off high-value repair costs. Despite this, PAT grew 26% YoY to ₹261 mn, aided by higher other income. The company maintains a robust balance sheet with ₹3,550 mn in net cash and has committed to a ₹4,500 mn capex plan for FY26 and FY27 to expand its footprint in North and East India.
- Revenue from operations grew 20% YoY to ₹813 mn in Q3 FY26, while 9M FY26 PAT rose 25% to ₹815 mn.
- EBITDA margins declined to 31% from 42% YoY due to Argon price softness and one-off legal and repair expenses.
- Strong liquidity position with ₹3,550 mn net cash and a healthy ROCE of 26% as of H1 FY26.
- Aggressive expansion underway with a new 220 TPD merchant plant in North India expected by H2 FY27.
- Signed a 25-year PPA for a 6 MW wind-solar hybrid plant to reduce power costs starting FY27.
Ellenbarrie Industrial Gases reported a strong year-on-year performance for Q3 FY26, with PAT rising 35.8% to ₹260.87 million compared to ₹192.01 million in Q3 FY25. Revenue from operations grew 19.6% YoY to ₹813.46 million, although it saw a sequential decline from Q2 FY26. A major milestone was achieved with the commissioning of the 220 TPD Uluberia-II plant, funded via IPO proceeds. The company also expanded its footprint through the ₹54 million acquisition of Truair Industrial Gases in Bengaluru and a new ₹70.80 million investment in renewable energy for captive power.
- Net Profit (PAT) increased 35.8% YoY to ₹260.87 million in Q3 FY26.
- Revenue from operations rose 19.6% YoY to ₹813.46 million, driven by the Gases segment.
- Commissioned the Uluberia-II Air Separation Unit with a 220 TPD capacity using ₹689.53 million of IPO funds.
- 9M FY26 PAT reached ₹815.16 million, nearly matching the entire previous financial year's profit of ₹832.85 million.
- Acquired Bengaluru-based Truair Industrial Gases for ₹54 million to expand geographic presence.
Ellenbarrie Industrial Gases reported a strong year-on-year performance for Q3 FY26, with revenue from operations growing 19.6% to ₹813.46 million. Net profit for the quarter stood at ₹260.87 million, a significant jump from ₹192.01 million in the previous year's corresponding quarter. The company has successfully utilized ₹2,790 million of its IPO proceeds, focusing on debt repayment and capacity expansion. While sequential performance (QoQ) showed a slight dip in revenue and profit, the overall nine-month trajectory remains positive with a 25% increase in PAT.
- Revenue from operations increased 19.6% YoY to ₹813.46 million.
- Net Profit (PAT) grew 35.8% YoY to ₹260.87 million from ₹192.01 million.
- Utilized ₹2,100 million of IPO proceeds for debt repayment, significantly reducing finance costs.
- Acquired Bengaluru-based Truair Industrial Gases for ₹54 million to expand geographic footprint.
- Invested ₹70.80 million for a 26% stake in Pattikonda Renewables to secure captive power in Andhra Pradesh.
Ellenbarrie Industrial Gases reported a strong year-on-year performance for Q3 FY26, with Profit After Tax (PAT) rising 35.8% to ₹260.87 million. Revenue from operations grew 19.6% YoY to ₹813.46 million, although performance saw a slight sequential dip compared to Q2 FY26. A major growth catalyst was the commissioning of the 220 TPD Uluberia-II plant in West Bengal. Additionally, the company has strengthened its balance sheet by utilizing ₹2,100 million of IPO proceeds for debt repayment and is investing in renewable energy to optimize power costs.
- Net Profit increased 35.8% YoY to ₹260.87 million for the quarter ended December 31, 2025.
- Revenue from operations reached ₹813.46 million, up from ₹680.19 million in the same quarter last year.
- Successfully commissioned the new Uluberia-II plant in West Bengal with a capacity of 220 TPD.
- Utilized ₹2,100 million from fresh IPO proceeds for full/partial repayment of outstanding borrowings.
- Acquired a 26% stake in Pattikonda Renewables for ₹70.80 million to secure captive power supply.
Ellenbarrie Industrial Gases Limited has informed the exchanges that its statutory auditor, M S K A & Associates, has converted from a partnership firm into a Limited Liability Partnership (LLP). The firm will now be known as M S K A & Associates LLP, following a notification dated January 13, 2026. This structural change is in accordance with the Limited Liability Partnership Act, 2008. The auditors will continue to fulfill their existing obligations for the remainder of their appointed tenure.
- Statutory Auditor M S K A & Associates converted to M S K A & Associates LLP
- Conversion notified to the company via letter dated January 13, 2026
- The auditor will continue to discharge duties for the remaining period of their tenure
- The update is a routine disclosure under Regulation 30 of SEBI Listing Regulations
Ellenbarrie Industrial Gases has entered into a 25-year Power Delivery and Offtake Agreement with Pattikonda Renewables for a 6 MW Wind-Solar Hybrid project in Andhra Pradesh. To facilitate this captive power arrangement, the company will invest approximately Rs 7.08 crore to acquire a minimum 26% equity stake in the project entity. This strategic move is designed to secure a long-term renewable energy source, potentially reducing operational costs and improving the company's sustainability profile. The investment will be executed in one or more tranches at a face value of Rs 10 per share.
- Execution of a 25-year PPA for a 6.00 MW Wind-Solar Hybrid Power Facility in Andhra Pradesh
- Investment of approximately Rs 7.08 crore to acquire at least a 26% equity stake in Pattikonda Renewables
- Project aimed at meeting the captive power requirements of Ellenbarrie Industrial Gases
- The agreement ensures long-term energy security with a fixed-term contract of 25 years from commercial operations
Ellenbarrie Industrial Gases Limited has filed its quarterly compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations for the quarter ended December 31, 2025. The company's Registrar and Share Transfer Agent, KFin Technologies, confirmed that no dematerialization requests were received during the three-month period. Notably, one rematerialization request was received and successfully processed during the quarter. This is a standard administrative filing required by SEBI to track the conversion of physical shares to electronic form and vice versa.
- Compliance certificate issued for the quarter ended December 31, 2025.
- Zero dematerialization requests were received between October 1, 2025, and December 31, 2025.
- One rematerialization request was received and processed by KFin Technologies Limited.
- The filing confirms adherence to Regulation 74(5) of SEBI (Depositories and Participants) Regulations 2018.
Ellenbarrie Industrial Gases Limited has scheduled a single investor meeting for January 07, 2026, at 11:00 A.M. The meeting will be conducted via video-conferencing to discuss the company's performance and outlook. Management has clarified that the discussions will be based strictly on publicly available information. No unpublished price sensitive information (UPSI) is intended to be shared during this interaction, ensuring compliance with SEBI LODR regulations.
- Meeting scheduled for Wednesday, January 07, 2026, at 11:00 A.M. via Video-Conferencing.
- Interaction is categorized as a Single Investor meeting under Regulation 30 of SEBI (LODR) Regulations 2015.
- Company explicitly stated that no unpublished price sensitive information (UPSI) will be discussed.
- The schedule is subject to change based on exigencies from either the participant or the company.
Ellenbarrie Industrial Gases Limited has announced the closure of its trading window starting January 1, 2026, in compliance with SEBI Insider Trading Regulations. This closure is ahead of the board's consideration and approval of the unaudited financial results for the quarter ending December 31, 2025. The restriction applies to all designated persons and their immediate relatives. The trading window will reopen 48 hours after the financial results are officially declared to the stock exchanges.
- Trading window closure commences on January 1, 2026, for Q3 FY2026 results.
- Restriction applies to all designated persons and their immediate relatives per SEBI norms.
- Window will reopen 48 hours after the announcement of the unaudited financial results.
- The filing follows the SEBI (Prohibition of Insider Trading) Regulations, 2015.
Ellenbarrie Industrial Gases Limited (ELLEN) has announced a schedule of analyst/investor meetings to be held on Friday, December 12, 2025, from 09:00 A.M. to 17:00 P.M. The meetings will take place physically in Mumbai and will focus on publicly available information. The company states that no unpublished price sensitive information (UPSI) will be discussed during these interactions. This event is being conducted in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015.
- Analyst/Investor meetings scheduled for December 12, 2025
- Meetings will be held from 09:00 A.M. to 17:00 P.M.
- Meetings will be held physically in Mumbai
- Compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015
Financial Performance
Revenue Growth by Segment
Core gases revenue grew by nearly 10% YoY in Q2 FY26 on a like-for-like basis. Total revenue for FY25 reached INR 3,124.8 million, a 15.9% increase from INR 2,694.8 million in FY24. Project Engineering revenue is lumpy, contributing INR 200 million in FY25 compared to INR 433 million in FY24, a 53.8% decrease, which impacts overall growth volatility.
Geographic Revenue Split
The company has Pan-India ambitions with a strong presence in East India (Kolkata headquarters). While specific regional percentage splits are not disclosed, the company is expanding with a new North India capacity and an 'East on-site' project expected to commence by the end of FY26.
Profitability Margins
Gross margins stood at 69% in H1 FY26 compared to 64% in H1 FY25. Profit After Tax (PAT) margin improved significantly to 29% in FY25 from 26% in FY24. Q2 FY26 PAT was INR 367.2 million, representing a 96.3% YoY increase from INR 187.0 million, driven by operational discipline and higher-margin gas sales.
EBITDA Margin
EBITDA margin remained stable at 38% in Q2 FY26. For FY25, EBITDA was INR 655.2 million (38% margin), up 12.7% from INR 581.1 million (36% margin) in FY24. The company targets a long-term EBITDA margin of 40% by increasing the sales mix of high-margin gases like Argon.
Capital Expenditure
The company is investing in three new plants to drive growth. While the specific total INR Cr for the current cycle is not explicitly totaled, the focus is on merchant plants and on-site capacities, with one merchant plant pushed to the second half of the next financial year due to execution delays.
Credit Rating & Borrowing
The company maintains a comfortable financial risk profile with an interest coverage ratio of 6.5 times and a net cash accrual to adjusted debt ratio of 0.4 time for fiscal 2025. Finance costs increased to INR 171.4 million in FY25 from INR 80.3 million in FY24, reflecting increased borrowing for capacity expansion.
Operational Drivers
Raw Materials
The primary 'raw material' for atmospheric gases is ambient air; however, chemical inputs and stock-in-trade purchases accounted for INR 333.0 million in FY25, representing 10.6% of total revenue. Power is the most critical operational input.
Import Sources
Not specifically disclosed in the documents, though the business operates primarily within the Indian domestic market for production and distribution.
Capacity Expansion
Current plants are running at near full capacity. Expansion includes an 'East on-site' plant (expected end of FY26) and a new merchant plant (rescheduled to H2 FY27). These delays of approximately one month to two quarters impact short-term revenue realization but support the 20-25% long-term CAGR.
Raw Material Costs
Purchase of stock-in-trade and materials consumed totaled INR 364.9 million in FY25, approximately 11.7% of revenue. This is a decrease from 21.2% in FY24, indicating better backward integration or a shift toward self-produced gases.
Manufacturing Efficiency
Most existing plants are operating at 'pretty much full capacity,' necessitating the current CAPEX cycle to sustain the 20-25% growth target.
Logistics & Distribution
The company utilizes a mix of bulk (62.5% of gas revenue), packaged (16.5%), and on-site (14.6%) distribution models. On-site models are the most efficient as they eliminate transport costs.
Strategic Growth
Expected Growth Rate
20-25%
Growth Strategy
Growth will be achieved through a 20-25% CAGR in the core gases segment over the next 4-5 years. Key pillars include: 1) Expanding capacity with three new plants; 2) Increasing the mix of high-margin Argon from 13% toward higher levels; 3) Leveraging the 50-year legacy to secure long-term contracts; and 4) Capitalizing on increased manufacturing activity in India (Steel, Pharma, and Aerospace).
Products & Services
Industrial and medical gases including Oxygen (40% of FY25 revenue), Nitrogen (37%), Argon (10%), and other specialty gases. The company also provides Project Engineering/MGPS services (6.4% of FY25 revenue).
Brand Portfolio
Ellenbarrie Industrial Gases.
New Products/Services
Focus on increasing Argon mix (currently 13% of sales) which carries higher margins than Oxygen and Nitrogen. Expected to be a key driver for reaching the 40% EBITDA margin target.
Market Expansion
Expanding into North India and strengthening the East India footprint through new on-site and merchant plant capacities.
Market Share & Ranking
Not disclosed, but the company notes it competes with both large international players and unorganized local players in a consolidating industry.
External Factors
Industry Trends
The industrial gas industry is growing at a steady pace, driven by healthcare, aerospace, and electronics. The industry is consolidating, with large international players merging. Ellenbarrie is positioning itself as a Pan-India player with a 50-year legacy to capture this growth.
Competitive Landscape
Competes with organized international players and unorganized local entities. The industry is commoditized, leading to intense price competition in the bulk segment.
Competitive Moat
Moat is built on: 1) 50-year operational legacy; 2) High switching costs for on-site customers; 3) Capital-intensive nature of the business (entry barrier); and 4) Long-term contracts that provide cash flow visibility. These are sustainable due to the essential nature of gases in industrial processes.
Macro Economic Sensitivity
Highly sensitive to Indian manufacturing GDP. Management views the gases business as a 'direct proxy' for broader manufacturing activity expansion.
Consumer Behavior
Shift toward higher demand for high-purity gases in the electronics and pharmaceutical sectors (31% of revenue).
Geopolitical Risks
Exposure to global supply chains for cryogenic equipment and plant machinery which can cause project delays.
Regulatory & Governance
Industry Regulations
Subject to the Companies Act, 2013 and Indian Accounting Standards (Ind AS). The company faced a minor compliance observation regarding the 'audit trail' feature in its accounting software, which was only enabled from June 21, 2024, rather than the full financial year.
Taxation Policy Impact
Effective tax rate for FY25 was approximately 18.2% (INR 123.6 million tax on INR 677.9 million PBT).
Legal Contingencies
The company has pending litigations disclosed in Note 39(A) of the financial statements. While the specific INR value is not in the summary, the auditors noted these impacts are disclosed in the financial position.
Risk Analysis
Key Uncertainties
Project execution delays (current 1-month delay) could impact short-term revenue targets by 5-10%. Cyclicality in the steel sector (22% revenue) poses a risk to volume growth during economic slowdowns.
Geographic Concentration Risk
While expanding, the company remains heavily concentrated in its core markets in East India, though specific regional % revenue is not provided.
Third Party Dependencies
High dependency on state power utilities for electricity, which constitutes 24% of the cost structure.
Technology Obsolescence Risk
Low risk for core gas separation, but the company must invest in modern cryogenic technology to maintain the 38-40% EBITDA margin.
Credit & Counterparty Risk
Receivables quality is monitored; impairment loss on financial assets was INR 21.3 million in FY25, down from INR 46.4 million in FY24, showing improved collection efficiency.