Smallcap stock surges 11%, hits record high in subdued market; Do you own?

Shares of Privi Speciality Chemicals hit a new high of ₹2,185, soaring 11% in Thursday's intra-day trade. The stock has recovered 56% from its March low of ₹1,368.15 on the BSE.

Share price of Privi Speciality Chemicals today

 

Shares of Privi Speciality Chemicals hit a new high of ₹ 2,185, soaring 11 per cent on the BSE in Thursday’s intra-day trade in an otherwise subdued market. 

 

The stock price of this smallcap specialty chemicals surpassed its previous high of ₹ 2,120 touched on Monday, May 5, 2025. In comparison, the BSE Sensex and BSE Smallcap index were trading lower by 0.25 per cent and 0.16 per cent, respectively.

 

The share price of Privi Speciality Chemicals has recovered 56 per cent from its March month low of ₹ 1,368.15 on the BSE. It has more-than-doubled from its 52-week low of ₹1,040.25 registered on June 4, 2024.

 

Strong Q4 earnings

 

Privi Speciality Chemicals reported over 100 per cent jump in consolidated profit after tax (PAT) at ₹ 63.98 crore for the quarter ended March 2025 (Q4FY25). It had posted PAT of ₹ 31.87 crore in a year ago quarter.  Revenue from operations grew 26.7 per cent year-on-year (YoY) to ₹ 613.55 crore, driven by increase in capacity, healthy orders from customers and product additions.

 

Reported earnings before interest, taxes, depreciation, and amortization (EBITDA) jumped 50 per cent YoY at ₹ 147.42 crore, with margin improvement of 342 bps to 23.46 per cent from 20.04 per cent in Q4FY24.

 

Way forward

 

The company is in the process of launching two new products that have been developed and are currently in the scale up phase for plant level production. These products are designed for use in fine fragrances and the company expects to launch the same in the year 26-27.

 

Menthol, peppermint oil, several super speciality aroma chemicals all developed at Lab & Pilot level successfully could propel future growth post current capacity expansion of existing products.

 

Through strategic alliances that enhance product uniqueness, the company has streamlined its strategies organization-wide, driving innovation and synergy for a better future. The company is enhancing operational efficiency and capacity through infrastructure upgrades and new capex, laying the foundation for scalable, sustainable growth.

 

Crisil Ratings view

 

Crisil Ratings believes Privi Speciality Chemicals will benefit from optimum utilization of capacity, addition of customers, and higher margin yielding products. A prudent funding mix and commitment towards maintenance of the capital structure and debt coverage will ensure sustenance of the financial risk profile over the medium term.

 

The company has tie-ups with customers for 65-70 per cent of its capacity on yearly basis, insulating the business from price fluctuation in key products in spot market. This, coupled with steady increase in capacity utilisation has led to improved operating margin over past three fiscals through 2025, the rating agency said in its rationale.

 

About Privi Speciality Chemicals

 

Privi Speciality Chemicals manufactures aroma chemicals, which are used as ingredients for manufacturing fragrances. The company has six manufacturing facilities at Mahad in Maharashtra and one manufacturing facility in Jhagadia at Gujarat.  The company has a wide product profile, which includes pinene-based, citral-based, phenol-based and other specialty products; customers comprise global leaders in the flavour and fragrance, and fast-moving consumer goods (FMCG) industries.

 

It exports to all major markets and is the preferred supplier to the top flavour and fragrance (F&F) houses of the world such as Givaudan (Switzerland), Firmenich (Switzerland), Symrise (Germany) and leading FMCG players such as The Procter & Gamble Company and Henkel.