Aarti Industries Ltd

About Aarti Industries Ltd

Aarti Industries Ltd. is a leading Indian specialty chemical manufacturer. It focuses on benzene-based intermediates, pharma APIs, and agrochemical intermediates, serving diverse global industries like pharmaceuticals, agrochemicals, polymers, and dyes. The company is a key player in its niche segments, known for its strong R&D and integrated manufacturing capabilities.

Key Financial Ratios of Aarti Industries Ltd

• P/E Ratio (TTM): Price to Earnings ratio shows how much an investor pays for every rupee of the company's earnings. Aarti Industries Ltd's P/E ratio (TTM) is 45.28, compared to the industry median of 37.36 and large cap median of 33.21.

• P/B Ratio: Price to Book ratio compares a company's market price to its book value per share. Aarti Industries Ltd's P/B ratio is 3.21, compared to the industry median of 2.57 and large cap median of 2.47.

• P/S Ratio: Price to Sales ratio compares a company's market value to its total revenue. Aarti Industries Ltd's P/S ratio is 2.58, compared to the industry median of 2.41 and large cap median of 2.00.

• PEG Ratio: PEG ratio adjusts the P/E ratio for expected earnings growth. Aarti Industries Ltd's PEG ratio is -9.56.

• EV/EBITDA Ratio: This ratio compares a company's enterprise value to its earnings before interest, tax, depreciation, and amortization. Aarti Industries Ltd's EV/EBITDA ratio is 19.53.

• Return on Equity (ROE): ROE measures how much profit a company generates from shareholders' invested capital. Aarti Industries Ltd's ROE is 7.04%.

• Return on Assets (ROA): ROA measures how efficiently a company converts its assets into net profit. Aarti Industries Ltd's ROA is 8.78%.

• Return on Capital Employed (ROCE): ROCE measures how efficiently a company generates profit from all the capital it employs. Aarti Industries Ltd's ROCE is 7%.

• Operating Margin: Operating margin shows what percentage of revenue remains after covering operating expenses. Aarti Industries Ltd's operating margin is 14.08%.

• Net Margin: Net margin shows what percentage of revenue converts into final net profit. Aarti Industries Ltd's net margin is 5.06%.

• Current Ratio: The current ratio measures a company's ability to pay short-term liabilities using short-term assets. Aarti Industries Ltd's current ratio is 0.90.

• Debt to Equity Ratio: This ratio shows the proportion of debt a company uses relative to shareholders' equity. Aarti Industries Ltd's debt-to-equity ratio is 0.37.

• Interest Coverage Ratio: This ratio shows how easily a company can pay interest on its outstanding debt from its operating earnings. Aarti Industries Ltd's interest coverage ratio is 2.07.

• Dividend Per Share (DPS): DPS shows the total dividend paid per share in the latest financial year. Aarti Industries Ltd's DPS is ₹1.04.

• Earnings Per Share (EPS): EPS shows how much profit is allocated to each outstanding share. Aarti Industries Ltd's EPS is 26.62.

(Source line: "Ratios as of 19 Aug 2026, based on last traded price of ₹527.05. Data sourced from BSE/NSE Exchange Filings & Public Terminal Data.")

Key Facts

• Founded: 1975 (as Aarti Organics Limited)

• Headquarters: Mumbai, Maharashtra

• Core Offerings: Specialty Chemicals, Pharma Intermediates & APIs, Agrochemical Intermediates, Dyes & Pigments Intermediates

• Stock Listing: NSE (AARTIIND), BSE (524208)

• Promoter: Kedia / Goveas Family

History of Aarti Industries Ltd

Aarti Industries was incorporated in 1975 as Aarti Organics Limited. It was subsequently renamed Aarti Industries Ltd. in 1984. The company commenced commercial production in 1986 and went public with an IPO in 1992. Over the decades, Aarti Industries has strategically expanded its capacities and diversified its product portfolio, especially into various specialty chemical segments, pharmaceuticals, and agrochemicals. In 2023, it successfully demerged its pharmaceutical business into Aarti Pharmalabs Limited, positioning itself for focused growth in specialty chemicals.

Business Segments and Revenue Mix

• Specialty Chemicals: Focuses on complex organic chemicals, primarily benzene-based and toluene-based derivatives. These serve as crucial building blocks and intermediates for diverse industries such as agrochemicals, polymers, additives, dyes, pigments, and other industrial applications. The segment leverages strong R&D for process innovation and product development.

• Pharmaceuticals (now Aarti Pharmalabs Ltd. post-demerger): Previously, this segment manufactured advanced pharmaceutical intermediates and Active Pharmaceutical Ingredients (APIs) for various therapeutic areas, serving both innovator and generic pharmaceutical companies globally. This business was demerged in 2023.

Key Personnel

Mr. Rajendra V. Gogri: Chairman & Managing Director. With over 30 years of experience, he has been instrumental in steering the company's growth and diversification strategy within the chemical industry.

Subsidiaries and Associate Companies

• Aarti Corporate Services Limited

• Aarti Industries Europe B.V.

• Aarti USA Inc.

• Aarti Industries (Thailand) Co. Ltd.

• Aarti Industries (Shanghai) Trading Co. Ltd.

Corporate Actions

Significant corporate action includes the demerger of its Pharmaceutical business into a separate entity, Aarti Pharmalabs Limited, which was completed in 2023. The company also had a Rights Issue in 2019 and a Bonus Issue in 2017.

References

1. Annual Report FY23
2. Exchange Filings (NSE/BSE)
3. Company Website