TickerSutra

NSE: SUMICHEM · BSE: 542920 · ISIN INE258G01013

Sumitomo Chemical India Limited stock analysis

Sumitomo Chemical India Limited ranks #1140 in the TickerSutra evidence-ranked universe with a score of 56/100 and 95% data confidence. The latest captured fundamentals show ROCE of 23.5%, quarterly sales growth of 0.6% and quarterly profit growth of 9.3%.
Complete evidence gate pass governance reviewUpdated 29 Sept 2026
TICKERSUTRA SCORE56/100

Monitor only

#1140 of 5,430 ranked equities
Market capitalisation₹24,280.98cr
ROCE23.5%
Quarterly sales growth0.6%
Quarterly profit growth9.3%
P/E ratio42.5×
Promoter pledge0.0%

INVESTMENT EVIDENCE

What supports—and challenges—the thesis

Evidence in favour

  • ROCE is 23.5%
  • Low debt/equity of 0.02×
  • Institutional ownership is rising
  • CWIP indicates an active capacity pipeline
  • No promoter shares are reported as pledged

Risks and constraints

  • Valuation is above 40× earnings

Still unresolved: Related-party exposure · Broad media sentiment

FINANCIAL TRAJECTORY

Recent operating history

PeriodRevenueOperating profitNet profitOperating margin
2022₹3,060cr₹603cr₹434cr20.0%
2023₹3,511cr₹668cr₹503cr19.0%
2024₹2,833cr₹474cr₹370cr17.0%
2025₹3,090cr₹623cr₹502cr20.0%
2026₹3,186cr₹666cr₹543cr21.0%
TTM₹3,192cr₹680cr₹580cr21.0%
Debt / equity0.02×
CFO / EBITDA0.67×
Operating margin21.0%
Free cash flow₹404cr
Sales CAGR · 3Y-3.2%
Profit CAGR · 3Y2.6%

EXCHANGE EVENT TRIGGERS

Latest corporate disclosures

0 positive catalysts0 negative catalysts0 routine filings
No current exchange announcement is mapped to this research snapshot.

MANAGEMENT COMMENTARY

Signals from filed documents

Capacity expansion plansHigh severity · 5 mentions
Positive catalyst

The expiry of global patents continues to create opportunities for domestic manufacturers to expand their presence in both domestic and export markets. Com panies are also investing in capacity expansion, backward integration, and partnerships to enhance operational efficiency and reduce dependency on imports. There is a growing emphasis on developing sustainable and environment-friendly solutions, including biologic

Export market updatesHigh severity · 6 mentions
Constructive

The Company continues to enjoy the reputation of a consistent and reliable quality supplier. In the year under review, your Company continued to pursue initiatives to optimise utilisation of its manufacturing facilities, launch new products and install manufacturing capacities to supply new products in domestic and international markets. The Company continues to take initiatives for introducing new technical grade pr

Niche productsHigh severity · 5 mentions
Positive catalyst

Increasing demand for high-quality food, growing awareness of crop protection practices, and the adoption of advanced technologies are expected to support long-term industry growth. Segments such as fungicides, plant growth regulators, and specialty products are likely to witness sustained demand. The Company, with its strong product portfolio, robust pipeline, and focus on innovation and farmer engagement, is well-p

Backward integrationHigh severity · 2 mentions
Positive catalyst

(iii) Capital investment on energy conservation equipments: ₹ 162.38 million (B) TECHNOLOGY ABSORPTION a) Major efforts made towards technology absorption: i. Backward integration for some of the existing molecules/intermediates to attain self-sufficiency and to remain competitive. Enhancement of batch size(s) for technical products to maximize capacity utilization.

Pricing commentaryHigh severity · 4 mentions
Constructive

Agrochemical prices, however, remained relatively stable throughout the year, which helped maintain affordability for farmers and supported input accessibility. The industry also witnessed relatively low pipeline inventory levels, influencing supply dynamics and pricing trends across the market. Despite the operational challenges arising from weather variability and subdued farmer sentiment in certain crop segments,

Margin expansionHigh severity · 1 mention
Execution risk

On business mix, domestic revenue grew by 4% year-on-year in both Q4 and the full year, with the domestic franchise demonstrating genuine resilience. Our branded formulation share in domestic sales improved to 81% in FY '26 from 79% in FY '25, reflecting the ongoing structural shift towards higher quality, higher margin revenue. Export revenues declined 7% in Q4 and 1% for the full year, primarily due to shipment dif

Market share gainHigh severity · 4 mentions
Positive catalyst

The stability achieved during the year has given us the confidence to look beyond short-term challenges and focus on the next phase of growth. With strong brands, a robust product pipeline, deeper farmer engagement, and expanding digital capabilities, we are well-positioned to accelerate innovation, strengthen market leadership, and create sustainable value for Indian agriculture. Having built a stable platform, we n

Capacity commissioningHigh severity · 1 mention
Positive catalyst

Generation of in-house non-GLP chemistry data for registration of products for domestic and international markets. Development of new formulations and scale-up technologies for commercial production and to enhance production capacity of liquid and solid formulations. Upgrading synthetic and analytical laboratories with modern scientific tools in order to cater to newer chemistries.

Regulatory approvalModerate severity · 18 mentions
Positive catalyst

Om P ower Transmission Limited (Chairman) 2. of shares held in the Company as on 31 March 2026 387 shares Relationship with other Directors and KMPs None Number of Board Meeting(s) attended during the year 2025-26Did not hold position of director in 2025-26 Remuneration drawn in 2025-26 None Remuneration and other terms and conditions of appointment Remuneration: Entitled to receive sitting fees for attending meeting

Working capital stretchModerate severity · 2 mentions
Risk easing

On working capital, our net working capital stood at 103 days as of 31st March 2026 versus 89 days a year ago. The increase reflects two deliberate factors: A seasonal inventory buildup ahead Sumitomo Chemical India Limited May 28, 2026 Page 9 of 18 of kharif to ensure uninterrupted product availability in an environment of global supply chain volatility, and a reduction in payable days, reflecting the tighter credit

Regulatory updatesModerate severity · 37 mentions
Watch

Agricultural Scenario in India in 2025-26 The agricultural season during FY 2025–26 presented a mixed outlook. While crop acreage remained largely stable across most regions, the season was significantly impacted by adverse weather conditions and regulatory challenges to biostimulant products. Excess and prolonged rainfall during the period from July to September, extending into October in certain regions, led to cro

Pricing pressureLow severity · 1 mention
Watch

• SCC is a consistent and reliable buyer, ensuring optimal capacity utilization of the Company’s manufacturing facilities. • The Company achieves competitive pricing and margin levels through these sales. Other transactions: Other transactions with SCC are not material in value and are conducted in the ordinary course of business and are supported by appropriate documentation.

HOW TO READ THIS PAGE

Evidence, freshness and limitations

What does the TickerSutra score mean?

The score ranks captured evidence across financial quality, growth, moat and margins, regulatory catalysts, governance, institutional trend and valuation comfort. It is a research-prioritization tool—not a buy recommendation or price target.

Which sources support this page?

Financial history, ownership and pledge data, NSE and BSE filings, annual reports and available earnings-call transcripts are combined here. Use the source trail and original exchange document before relying on a decision-critical fact.

Why can an item be unresolved?

Unresolved means the current captured source window did not provide enough evidence for that check. It does not establish that a risk or relationship is absent.

Maintained by TickerSutra Research · Snapshot updated 29 Sept 2026 · Read the methodology · Read the disclaimer

DIRECTOR & BUSINESS NETWORK

Loading corporate intelligence

Loading universe coverage and exchange-backed evidence…