AI assistant
Lords Chloro Alkali Ltd — Call Transcript 2026
Jun 5, 2026
62390_rns_2026-06-05_a63f74cb-d238-4c65-9c4c-d7c737e2531c.pdf
Call Transcript
Open in viewerOpens in your device viewer
LCAL
ACHIEVING NEW HEIGHTS
Lords Chloro Alkali Limited
A-281, 1st Floor, Defence Colony, New Delhi-110 024
Phones: +91-11-40239034/35/36/37/38
E-mail: [email protected]
Web: www.lordschloro.com
Date: 05.06.2026
| To,
The General Manager,
Department of Corporate Services,
BSE Limited,
Phiroze Jeejeebhoy Towers,
Dalal Street, Mumbai – 400 001 | To,
Listing Department,
National Stock Exchange of India Limited,
Exchange plaza,
Bandra-Kurla Complex, Bandra (E),
Mumbai – 400051 |
| --- | --- |
| Scrip Code: 500284 | Scrip Code: LORDSCHLO |
Dear Sir/ Madam,
Sub: Outcome of conference call with Analysts / Investors – Earning Call Transcript
Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find below the Transcript of earning call with analysts / investors held on Monday, 01st June, 2026 to discuss Q4 FY26 Results of the Company.
You are requested to take the same on your records.
Thanking You.
Yours faithfully,
For Lords Chloro Alkali Limited
PANKAJ
MISHRA
Digitally signed by PANKAJ
MISHRA
Date: 2026.06.05 13:28:27 +03'07
Pankaj Mishra
Company Secretary
Registered Office: SP-460, Matsya Industrial Area, Alwar-301030 (Rajasthan)
Phone: 0144-2881221, 2881360
CIN: L24117RJ1979PLC002099
ALCAL MISSIONS NEW WEIGHTS
LORDS CHLORO ALKALI LIMITED
"Lords Chloro Alkali Limited
Q4 FY26 Earnings Conference Call"
June 01, 2026
ALCAL MISSIONS NEW WEIGHTS
LORDS CHLORO ALKALI LIMITED
ADFACTORS PR
CHOROS A CALL
MANAGEMENT: MR. AJAY VIRMANI – MANAGING DIRECTOR – LORDS CHLORO ALKALI LIMITED
MODERATOR: MR. SMIT SHAH – ADFACTORS PR
Page 1 of 11
ALCONL
LORDS CHLORO ALKALI LIMITED
Lords Chloro Alkali Limited
June 01, 2026
Management:
Ladies and gentlemen, good day and welcome to the Lords Chloro Alkali Limited Q4 FY26 Earnings Conference Call. As a reminder, all participant lines will remain in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal the operator by pressing star then zero on your touchtone telephone. Please note that this conference is being recorded.
I will now hand the conference over to Mr. Smit Shah from Adfactors PR for opening remarks. Thank you, and over to you.
Smit Shah:
Thank you. Good afternoon, everyone, and thank you for joining us on the Q4 and FY26 results conference call of Lords Chloro Alkali Limited. We have with us Mr. Ajay Virmani, Managing Director. Before we begin, I would like to remind you that certain statements made in today's discussion may be forward-looking in nature and may involve certain risks and uncertainties. A detailed statement in this regard is available in the Q4 and FY26 results presentation that has been uploaded on the stock exchanges and website.
I now hand over the call to Ajay sir to begin the proceedings. Thank you, and over to you.
Ajay Virmani:
Thanks, Smit. Good afternoon, everyone. I am Ajay Virmani, Managing Director, Lords Chloro Alkali Limited, and I welcome you to Q4 results and the full year FY26 earnings call. I am pleased to report that the financial year 2026 has been a landmark year for Lords Chloro Alkali Limited. The hard work and disciplined execution across our operations have translated into strong financial outcomes that reflect the structural improvements we have been building over the last, you know, one or two years.
Our total income for financial year 2026 stood at INR393.1 crores, a growth of 44.62% year-on-year. Our profit after tax for the full year reached INR28.49 crores, this is PAT, which represents a growth of 360.9% over financial year 2025. These numbers reflect the power of operating leverage when volume growth is combined with cost discipline.
The foundation of this performance was healthy volume growth. Our caustic soda volume for the year reached 84,690 metric tons, up 29.7% over financial year 2025. In Q4 financial year 2026 specifically, volumes stood at 20,935 metric tons, up 8.72% year-on-year. This growth was driven by strong demand from key end-user sectors -- aluminum, paper, textiles, pharmaceuticals -- and our ability to service this demand reliably from our expanded production capacity.
On profitability, our full-year EBITDA came in at INR66.38 crores, a 159% increase over financial year 2025, with an EBITDA margin of 16.89%, an improvement of 747 basis points year-on-year. For quarter four financial year 2026, EBITDA was INR13.72 crores at a margin of 14.03%, up basis points year-on-year and 247 basis points quarter-on-quarter. The sequential improvement in quarter four margins reflects both better operational efficiency and
Page 2 of 11
ALCONL
LORDS CHLORO ALKALI LIMITED
Lords Chloro Alkali Limited
June 01, 2026
our ongoing renewable energy integration, despite a headwind from higher grid electricity rates that came into effect from October 2025.
On Q4 specifically, total income was INR97.75 crores, up 22.3% year-on-year. Chlorinated paraffin wax also contributed meaningfully to revenues during the quarter alongside the steady growth in caustic soda lye volumes. PAT for Q4 was INR4.39 crores, up 68.64% over Q4financial year 2025. While Q3 financial year 2026 saw elevated margins north of 20%, quarter four was partly impacted by higher power and fuel expenses owing to the grid electricity rate revision. We expect this headwind to ease meaningfully once our 21 megawatt solar plant in Rajasthan is commissioned around mid-June '26.
On the balance sheet, our shareholders' funds stood at INR242.52 crores as of March 31, up from INR181.67 crores a year ago, reflecting strong earnings acceleration during the year as well as successful completion of our warrant issue, which has strengthened our equity base and financial flexibility. Total assets stood at INR478.7 crores.
The long-term debt was INR96.37 crores and short-term borrowing INR65.58 crores, resulting in a debt-to-equity ratio of approximately 0.67x. Capital work-in-progress stood at INR43.85 crores, reflecting the ongoing 21-megawatt solar project and the caustic soda and CPW capacity expansions.
Energy remains our single largest cost component and our biggest lever for long-term margin improvement. Power and fuel costs accounted for 61% of our production cost structure in financial year '25. Through the commissioning of our 16-megawatt solar plant in Bikaner and 10-megawatt hybrid wind-solar group captive project in Jaisalmer, we have brought the ratio down to approximately 42% in financial year '26. This is a meaningful improvement, and we are only partway through our renewable energy journey.
Our 21-megawatt solar plant is expected to become operational by mid-June '26. Once commissioned, our total captive renewable capacity will be 37 megawatt plus 10 megawatt from the group captive project, taking our renewable energy share to between 40% to 45% of our total power requirements. This will further reduce our energy cost per ton, improve our EBITDA margins on a sustainable basis, and reduce our carbon footprint. We believe this positions Lords Chloro as one of the most energy-efficient caustic soda producers in India.
On our capex program, our total outlay of INR315 crores across financial year '24 to '27-'28 continues on track. The first phase of INR150 crores, covering the 90 TPD caustic soda expansion and the 16-megawatt solar plant, and also the equity infusion into the 10-megawatt hybrid project, has been completed. We are now executing the second phase of our captive solar plant of 21 megawatt, the CPW capacity expansion from 50 to 100 tons per day, and the further 100 ton per day expansion of the caustic soda plant.
Post-expansion, our total installed capacity will be 360 tons per day. Since we will be decommissioning another old 40-ton plant, otherwise the capacity would have been 400, but the resultant capacity will be 360 tons per day. These projects are being funded through a mix
Page 3 of 11
ALCONL
LORDS CHLORO ALKALI LIMITED
Lords Chloro Alkali Limited
June 01, 2026
of internal accruals and debt, keeping our balance sheet healthy and leverage at manageable levels. As I earlier mentioned, our debt-equity ratio is pretty healthy.
From a strategic standpoint, what we have achieved in financial year '26 is not just a strong set of numbers for a single year; it is the confirmation that our thesis of building a green, efficient, and scalable chemical company is working. Our renewable energy investments are delivering measurable cost savings. Our capacity expansions are being absorbed by a healthy demand environment.
Our CPW business, by converting chlorine -- historically a volatile byproduct -- into a value-added downstream product, is improving our product mix and providing greater stability to the overall business. And our focus on serving the North Indian market, where freight economics protect our pricing power, continues to be a structural competitive advantage.
On the macro front, on the industry environment, the Indian caustic soda industry, with an annual capacity outlay of 6.4 million tons, accounting for 5% to 6% of the total global capacity, continues to grow in line with India's GDP trajectory. India has now transformed from a net importer to a net exporter of caustic soda, which reflects the competitiveness of our industry.
Looking ahead to financial year 2027, we are optimistic about the demand environment. Realizations for caustic soda lye have shown improving trends on a quarter-on-quarter basis, supported by strong domestic demand across the key end-user sectors as well as global commodities backdrop. We expect this positive momentum to sustain.
As we enter financial year '27, we remain focused on three clear priorities: operational excellence, energy cost reduction through our renewable initiatives, and disciplined capital allocation. The commissioning of our renewable power infrastructure over the coming months is a significant milestone that we are confident will contribute meaningfully to margin stability and long-term competitiveness.
Financial year 2026 marks an inflection point for Lords Chloro Alkali. The strong growth in revenue and profitability is the result of deliberate investments and disciplined execution over several years. We remain committed to creating long-term value for all the stakeholders through our continued transformation into a green chemical company powered by renewables.
With this, I would like to thank all the investors and analysts for their continued support and engagement with the company. I will be very happy to take questions if there are any. Thank you.
Moderator:
Thank you. Ladies and gentlemen, we will now begin the question-and-answer session. We take the first question from the line of Shubham from Raas Capital. Please go ahead.
Shubham:
Yes, hi. Thank you for the opportunity. So, my first question is a book keeping question. I think we had some shortfall in energy from our consortium to the tune of 97 lakh units. So, if you can explain the accounting for that and if in coming quarters we receive that energy units, so is there going to be some impact on our power expenses?
Page 4 of 11
ALCAL LORDS CHLORO ALKALI LIMITED
Lords Chloro Alkali Limited
June 01, 2026
A Jay Virmani:
See, I tell you, we infused into this group captive project, you know, of 10-megawatt wind and solar hybrid. First, the power was to come to us from October and there was some grace period for, you know, as per the power purchase agreement. They were allowed the period up to November, you know, to supply us the power. From November onwards, they were to give us some dedicated number of units every month. Their implementation of the wind project got delayed. So, the solar started operating, that also in phases.
But now the wind project, it is a 100-megawatt project out of which 10 megawatt we have contributed. So, the solar 100% has been completed at 100 megawatt and then the wind now, till now also 65 megawatt is commissioned and by next month the full 100 megawatt will be completed. So, the projects are getting completed. This is the first year of the project. The project is getting completed over phases.
So, the number of committed units minus whatever they could provide to us is the number of units which is reflecting and this is as per the share purchase agreement which we have executed with them. So, now that the project has been completed, there were some issues about the battery installations also, storage batteries, now that the government has mandated that, that also has come on site. So, I don't see now any issue remaining on the project. So, this year we should see the full number of units which we were to get, getting from June onwards.
Shubham:
Okay. So, the credit amount that we have done in the power expenses, so that is not reversible, right?
A Jay Virmani:
No, no. Because it is as per the share purchase agreement -- share purchase and the power purchase agreement.
Shubham:
Got it. Also, a question on growth. So, I think we are operating currently at 80% utilization and our new capacities are coming online at the end of FY27. So, how do you foresee growth for the next couple of quarters because we are already operating at, I think, max capacity?
A Jay Virmani:
Okay. So, you see, the demand growth is around 5% all over India, 5% to 6%. North India, I would say 4% to 5%. But this year, there is no capacity coming up in the North. Our capacity which is coming up -- there are only four plants in the North of India and we are the only one who is expanding and none of the other three units has announced any capacity addition for the next, say, 15 to 18 months period.
So, by the time we come out, because even if they announce, then they have to buy machinery, install, do everything. So, I don't see any capacity coming up in the next 2 to 2.5 years, additional capacity coming up in North of India. So, I don't find any problem. Rather, I think we will be in a situation where the demand will be more than what we will be producing.
Shubham:
Yes, I get that. But I was asking more on the basis of quarterly growth. So, because our 100 TPD caustic is coming at the end of the FY27 and same with our CPW capacity. So, given that our current capacities are running at 80% utilization, so for the next couple of quarters, how are we thinking about growth? Is it only because of...?
ALCAL LORDS CHLORO ALKALI LIMITED
Lords Chloro Alkali Limited
June 01, 2026
Ajay Virmani:
Yes. So, I tell you, this quarter the prices have been pretty good. So, there has been a little shortfall in the capacity, but I think because of the war situation, but more I see that the growth cycle taking place over the next one year and we will have 80% to 85% capacity utilization, which we are forcing in the last so many years, we will make up that. So, the capacity utilization at the best, you know, 85% around or so will continue to happen.
Shubham:
Got it. And also, in last quarter we had announced that we are going to have sulfuric acid capacity as well, but I think we have for some reason, not going ahead with it. So, what was the reason for that?
Ajay Virmani:
See, I tell you, sulfuric acid, you know, as a chemical, we had two reasons, to get into sulfuric acid business. One was, for per se adding a new chemical line and the second reason was to get, when you make sulfuric acid, you create a lot of heat energy, which we were wanting to use for our own, products which -- because we are adding flakes also to our, kitty of products.
Right now, we are making caustic soda lye, but we will be adding flaking unit also. So, we were thinking of using that, heat energy for that. But you see the sulfur situation all over the world, for the last nine months, six to nine months has been very, very volatile and especially, the war has started three months back. The sulfur position is very, very erratic.
So, we don't know, how the situations are going to, ease out. So, we have deferred that for a little bit of while so that the situation stabilizes. Right now, it is not making any sense to, put our -- like we -- I said in my address also that we want to do a prudent capital allocation. So, it's not that we are not thinking about it, it's not that it is not on the radar, but right now, it's on a back burner because of that.
Shubham:
Okay. Got it. And one on industry level. So, we've seen that prices shot up in March, but I think they have again come back to the pre-war levels. So, is it because more capacities which were initially export-oriented because of the shutdown of many international plants, so those capacities have been shifted to domestic market or what has happened if you can give us a sense of last quarter and current situation?
Ajay Virmani:
I missed out the first two lines of your question.
Shubham:
So, the prices of caustic, I think in March they shot up and then again currently they are back to the pre-war level, if I'm not wrong. So, what is the reason?
Ajay Virmani:
No, no. They are still much elevated than the pre-war levels. They had gone, quite high and you see anything which goes up very suddenly has to come down to a reasonable level. So, it had gone up, drastically up, almost 30% to 35% up. So, it was not sustainable. World finds its own, way, it's like water, the world finds its own balance, on a long run. So, within three months, some balance has come into the situation, but the prices are still, I would say, almost 12% to 15% higher.
Shubham:
Okay. Got it. And with regards to capacity shifting from exports to domestic, are you seeing any excess supply in the market?
ALCAL LORDS CHLORO ALKALI LIMITED
Lords Chloro Alkali Limited
June 01, 2026
Ajay Virmani:
No, I don't see that, the capacity is shifting from export to domestic much. Europe is now -- a lot of orders are coming from European market and the products are going that side. So, there was a lull because of the freight and the ships not getting available for some time, but now the things are getting back.
Shubham:
Okay. Okay. Got it. That's all from my side. Thank you and good luck.
Moderator:
Thank you. We take the next question from the line of Prisha Shah, an Individual Investor. Please go ahead.
Prisha Shah:
Good afternoon, sir. I have a couple of questions. Firstly, your EBITDA margin has improved around 747 basis points year-on-year to around 16.89% in this year, but Q3 was stronger at around 20% plus growth while Q4 came in at around 14%-15%. So, I just want to understand what exactly drove this sequential margin compression in Q4? You know, was it purely because of the grid electricity rate hike in October or were there any other factors which came into play?
Ajay Virmani:
See, the increase in rate when we compare between Q3 and Q4, it is same because the rate revision came on 1st of October. So, even the third quarter took the full impact of the price increase and the fourth quarter also it was the similar situation on the grid rate. But the prices had come down a little in comparison from Q3 to Q4 for caustic soda.
So, that is why, you know, and one of our, electrolyzer was shut down for renovation, for, changing of anodes and cathodes and changing of membranes. So, that is why, you know, the power consumption was a little higher in the last month or so. So, that is why you see a little dip in EBITDA. But I'm sure, you know, we have completed our renovation and now I think the coming quarters it should catch up.
Prisha Shah:
My other question is related to the power and fuel costs, which also rose at around INR165 crores this year, you know, despite our solar plant being operational this year. So, I just want to get an understanding on the net saving from the renewables in this year and what the power cost would have been without the 16-megawatt solar plant that we have installed?
Ajay Virmani:
See, I may not have the figures right in front of me right away, suppose what if the solar plant was not there, what could have been my power cost. Let me just tell you that the grid rate, you know, landed to us is around INR8.2 or INR8.3 per unit. So, any addition of solar, you know, brings a lot of saving into the whole thing.
Like I mentioned in the beginning that, you know, our renewable energy, thing is around 15% to 20% now, which will go up to around 40% with our -- 21-megawatt project getting commissioned and that 10-megawatt giving us full power. So, the power and fuel went up because of mainly because of the increase in the grid price for the last two quarters. So, in total yearly, you know, kind of figure you see a higher figure because in six months there was a very, very steep increase.
Page 7 of 11
ALCAL LORDS CHLORO ALKALI LIMITED
Lords Chloro Alkali Limited
June 01, 2026
Our landed cost was around INR7, per unit of power and it went up to INR8.2, INR8.3 depending on the variable charge. So, it was a very steep increase of almost 15% to 18% in the power rates by the discom. So, that is why the figure is higher.
Prisha Shah:
Okay, that answers my question, sir. So, regarding the raw materials also, which, the costs have doubled nearly. So, was it driven by the volume increase at large or are we seeing any input price inflation? And also, I wanted to understand, what are your key raw materials and how much pricing power do we have?
Ajay Virmani:
See, our key raw material other than power is salt. So, salt is also we do a yearly contract. And then there are some purification chemicals. The prices of salt we entered into a contract a year back, so there is no variation in the salt price, which is roughly around 11% to 12% of our total, production cost. But the other chemicals and additives which we use to purify that brine, their prices have gone up by almost 20% to 25%, in some cases 30% also. So, but they have a 1% or 2% total, you know, cost impact on the total thing.
But salt, is something -- the figure which you see on the higher side is because of the higher, production. The cost is variable that, you use a certain kind of salt for a certain -- for one ton of, say, to be very precise, 1.61 tons or 1.62 tons of salt for every ton of caustic. So, that is why, you see that because the production has increased, so the value of salt also has increased.
Prisha Shah:
Thank you, sir. Just one last question if I may. So, since we are doing a capex of around INR160 odd crores, so how do we expect the interest cost to look like in FY27 and what would be your current cost of debt?
Ajay Virmani:
Current cost of debt average is around a little shy of 8%. Our total debt cost is I think 7.9% or something, the total. So, that is how it is going to look like. We are raising additional long-term debt of around INR90 crores in addition to what INR90 crores I mentioned which is standing in the books. But then the additional production capacity will also start kicking in. So, that's how it's going to be. 8% is our, you know, cost of interest.
Prisha Shah:
Thank you so much, sir. That answers my questions.
Ajay Virmani:
Thanks.
Moderator:
Thank you. We take the next question from the line of Ruthvi Gandhi from Family Office. Please go ahead.
Ruthvi Gandhi:
Good afternoon, sir. Thank you so much for the opportunity.
Ajay Virmani:
Yes, good afternoon. Many thanks.
Ruthvi Gandhi:
Sir, for my first question is that beyond solar, are other further renewable energy investments planned beyond the current capex cycle and is there a path to 60% to 70% renewable energy share in the medium term?
Ajay Virmani:
Sorry, you'll have to rephrase, you'll have to just repeat your question again. I understood that you are asking about the renewables, but what was your precise question?
ALCAL LORDS CHLORO ALKALI LIMITED
Lords Chloro Alkali Limited
June 01, 2026
Ruthvi Gandhi:
Yes, so I'm saying that other than the solar investments, the capex that we are already doing, are we planning on another capex in the renewable energy sector?
Ajay Virmani:
We are always looking for opportunities. We are speaking to a lot of people. See, I tell you, because of the new government regulations, you know, because they have now, it is mandated that all the solar plants have to use Indian cells. It was initially Indian panels, now domestically manufactured cells will also have to be used, you know, from this month onwards.
So, the market, you know, will take a month or two to stabilize because, you know, some productions are coming upstream. So, we are also looking at the situation. We are in the middle of completing our this 21 megawatt project and once we complete that by mid-June or so, and then, you know, we'll see how the, you know, market situation is on the panels and cells and we'll look into further opportunities.
This is a very ongoing process for us. This renewable energy, our target is to achieve the max whatever is possible under the regulations. So, we will keep working on that all the time.
Ruthvi Gandhi:
Got it. Also, sir, regarding the 21 megawatt solar plant that is going to be commissioned by mid-June 2026 around that. So, once that is fully commissioned, what are our target blended cost since the electricity rates, the grid electricity rate had increased around October 2025? So, what is our current blended cost of power, renewable versus grid, and what are we targeting?
Ajay Virmani:
See, like I said to the earlier question also, our grid rate is around 8.2 to 8.3. And the renewable component right now is around 20% of our total power, but will go up to around 40% once this 21 megawatt comes on stream and that 10 megawatt hybrid also starts giving us full power by June end. So, we'll be roughly over 40% of power. It will bring substantial savings to the whole thing.
Ruthvi Gandhi:
Got it. Thank you so much. That was really helpful. All the best for the future.
Ajay Virmani:
Thanks.
Moderator:
Thank you. We take the next question from the line of Mandira A from Investo. Please go ahead.
Mandira A:
Thank you for the opportunity. Couple of questions from my side. If you could help me
Moderator:
Mandira I do apologize to interrupt you there but your audio is too low. Could you please use your handset and proceed?
Mandira A:
Is it better now?
Ajay Virmani:
A little better yes.
Mandira A:
So I had a couple of questions. If you could help me with, as one of the few caustic soda producers in North India, how large is your effective captive market and is there any regional capacity likely to dilute your freight advantage?
ALCAL LORDS CHLORO ALKALI LIMITED
Lords Chloro Alkali Limited
June 01, 2026
Ajay Virmani:
Your voice is coming up and down too much. If Ryan you could hear the question fully, could you complete it for me?
Mandira A:
Just a second I will change my -- so is it better now?
Ajay Virmani:
Yes it seems so.
Mandira A:
So I was asking like, as one of the few caustic producers in North India, how large is your effective captive market and is any regional capacity likely to dilute your freight advantages?
Ajay Virmani:
See, the total North market is roughly around 1,600 tons per day, you know, production capacity. And we are doing 300 tons per day. So, we are 20% of the total capacity, which will, and we'll go up to around 26% to 27% in the next year or so. And no other capacity has been announced to come up. So, I don't foresee any, for the next two years, any fresh capacity getting added to North India. I hope you were talking about the region, not the whole country as such.
Mandira A.:
No, no, only specific region. So, yes. And secondly, with India adding 2 to 2.5 million tons of caustic soda capacity over next three years, how do you see the impact on domestic pricing and the risk of oversupply?
Ajay Virmani:
See, when we say -- so there are two questions within one. One is the price part, other is the glut of the supply situation. So, as far as the -- when we take of -- talk of price, we call the price of chlorine and caustic put together, it's called ECU in our parlance. So, we take the price combined. Right now, the chlorine price is negative in India.
So, these two capacities which you have just mentioned which are going to be coming up in the next three years, they will be captively using the whole chlorine thing within their own plant because they are making downstream projects. PVC is what they're going to produce. So, no chlorine is going to come into the market, only the caustic will come.
So, what will happen that, there is a demand growth and the capacity additions going on in the chlorine segment also. So, we foresee that, if there will be any decrease in the price of caustic will be well compensated by the increase in the price of chlorine. So, when -- we always take the price of these two commodities put together.
So, one will offset the other, which we have seen in the past also that whenever the chlorine prices go down, the caustic prices go up. And then secondly, as far as the caustic soda situation goes, these two plants are on the West Coast. They have their own jetties. And there is a ready market in Africa, in Europe, in Australia. So, these units will take kind of benefit of their location, and they will export a lot because India is becoming a big export hub.
And these two plants are going to be a world-class capacity size. So, they will find opportunities for exports in a much bigger way than to come into fragmented Indian market, especially if you talk to me in sitting in North, we have a very small fragmented market, people consuming 100 tons a month, 500 tons a month, 300 tons a month.
Page 10 of 11
ALCONL
LORDS CHLORO ALKALI LIMITED
Lords Chloro Alkali Limited
June 01, 2026
So, that kind of capacities for those kinds of big plants are not possible to serve here. They would rather find bigger customers. So, they will -- to as far as my understanding, they're looking for export opportunities more than domestic opportunities.
Mandira A.:
Got it, sir. And lastly, are customers increasingly seeking green credentials or sustainability certification, and is your renewable energy-led ESG positioning providing any tangible commercial benefit?
Ajay Virmani:
Of course, it is. Though as far as the sustainability things go, we are very aware of it, and we are very committed to it. So, our ESG team and our ESG consultants, they are working continuously on this, that is one. And of course, when you go for the cost of producing renewable energy is much, much lower than getting the power from grid, which is a coal-based power. So, of course, it brings -- working on the ESG path, it brings a lot of cost savings also.
Mandira A.:
Got it, sir. That was really helpful. Thank you.
Moderator:
Thank you. As there are no further questions from the participants, I now hand the conference over to the management for their closing comments.
Ajay Virmani:
So, thanks, everyone, for participating in the earnings call of Lords Chloro Alkali Limited. I hope we have been able to address most of your queries. However, if there is anything we have missed out or you have an afterthought or to this, can you kindly reach out to our IR team, and we'll be very happy to take up that question. So, with this, I thank everyone. Thanks, Ryan and Smit, and all the investors and analysts who have been there on the call. Thank you.
Moderator:
Thank you, sir. On behalf of Lords Chloro Alkali Limited, that concludes this conference call. Thank you for joining us and you may now disconnect your lines.
Page 11 of 11