Submission of Transcript of Q1 FY27 Earnings Call

20th August, 2026 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1, Block G, Dalal Street, Mumbai – 400 001 Bandra Kurla Complex, Scrip Code – 506655 Bandra (East), Mumbai – 400 051 Scrip Symbol - SUDARSCHEM Dear Sir / Madam, Sub : Transcript of Analysts / Institutional Investors Conference Call We are enclosing herewith transcript of the conference call with Analysts / Institutional Investors, which took place on Friday, 14th August, 2026, after the announcement of Unaudited Financial Results (Stand-alone and Consolidated) for the quarter ended 30th June, 2026. The said transcript is also uploaded on the website of the Company at www.sudarshan.com. Kindly take the same on record. Thanking You, Yours Faithfully, For SUDARSHAN CHEMICAL INDUSTRIES LIMITED MANDAR VELANKAR GENERAL COUNSEL AND COMPANY SECRETARY Encl: As above. Sudarshan Chemical Industries Limited Registered Office: 7th Floor, Eleven West Panchshil, Survey No 25, Near PAN Card Club Road, Baner, Pune 411 069, Maharashtra, India T: +91 20 6828 1200 | www.sudarshan.com | shares@sudarshan.com | CIN: L24119PN1951PLC008409 “Sudarshan Chemical Industries Limited Earnings Call for Q1 FY2027 Financial Results” August 14, 2026 Management: Mr. Rajesh Rathi – Chairman & Managing Director Mr. Amitabha Mukhopadhyay – Non-Executive and Non-Independent Director Mr. Nilkanth Natu – Chief Financial Officer Mr. Amey Athalye – Vice President, Finance Page 1 of 14 Sudarshan Chemical Industries Limited August 14, 2026 Moderator: Thank you. Ladies and gentlemen, good day and welcome to Sudarshan Chemical Industries Limited earnings call for Q1 FY2027 Financial Results. Please note all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Please note that this conference is being recorded. With that, I hand over the call to Mr. Ranjit Cirumalla from IIFL Capital. Thank you and over to you. Ranjit Cirumalla: Thank you, Swapnil. Good morning, everyone. Ranjit Cirumalla here from IIFL Capital. We are pleased to host the conference call with the management of Sudarshan Chemical Industries Limited to discuss earnings performance, followed by an interactive Q&A session post declaration of its Q1 FY2027 results. From the management, we have with us today Mr. Rajesh Rathi, Chairman and Managing Director; Mr. Amitabha Mukhopadhyay, Non-Independent, Non-Executive Director; Mr. Nilkanth Natu, Chief Financial Officer; and Mr. Amey Athalye, Vice President Finance. I now request Mr. Rathi to begin the proceedings. Thank you and over to you, Sir! Rajesh Rathi: Thank you, IIFL Capital and Ranjit for hosting us. It is a pleasure and thank you all for spending your valuable time in joining this call. I am truly excited to share our journey with you. Giving a small introduction to people who have joined the first time on the call giving you some background. More than 18 months ago, March 2025, Sudarshan kind of merged their business with Clariant and Heubach together to form one of the most value creating pigment leaders rooted in customer centricity, agility and innovation and this new entity would really create a new benchmark for the color industry. In total, just to give you a footprint now globally we have 19 manufacturing sites in 11 countries in five continents. We have more than 1600 products, more than 4000 global customers;, turnover close to EUR 1 billion and we are on the way to really boost our EBITDA. If you see our plants, our plants are very well spread across the globe, but the most competitive advantage for Sudarshan against any other player is that 55% to 60% of our assets are based in Asia and that is a big competitive advantage for us. We also are very proud of our technical marketing centers and again this provides us to provide a differentiated solution to our customers. Before I actually go on to the Q1 performance, I wanted to give you a flavor on how the integration is going and what gives us the confidence that it has really laid down a very strong foundation. It has been a remarkable transformation journey for Sudarshan and I have been blessed to lead this journey. If you go two to three years ago, our sales were in the tune of about Rs.2000 Crores with EBITDA in the range of Rs.200 Crores to Rs.250 Crores and a net debt of about Rs.800 to 900 Crores with peak at, Rs.922 Crores. Today, what we are, we are almost four times the revenue, four times our EBITDA and our net debt is reduced by 60%. What we aspire to be is really seven times of what our EBITDA was in 2023 and also reach a debt-free level and that is our aspiration going forward. So just to remind you, when we took over this business, this business was driven by silos, regions, and there was no Page 2 of 14 Sudarshan Chemical Industries Limited August 14, 2026 unified culture or a unified approach. What we feel very proud that we have created is one Sudarshan culture, one aim, one goal for every one of us to work together. We are very happy and proud to say that we have opened our second global headquarters in Frankfurt. There were critical gaps in the leadership pipeline. If you look at finance, HR, legal, IT, and supply chain, there were very big critical gaps and we have been able to get very good talent now and set up a very good organization structure and again that gives us a great confidence to boost our governance and our performance. There were complete lack of harmonized reporting systems. We are still working on more than four different SAPs and 130 different applications, so this adds to a lot of complexity and very difficult to get any financial information on this. What we are moving towards, we have set up a very good interim MIS, and are moving towards an advanced One SAP project, we call it Project Integra and we expect to go live with our integrated system and reducing a lot of complexities in this financial year. When we started looking at the business, the EBITDA was almost zero, today we have registered a strong EBITDA in Q1 of the acquired group of Rs.146 Crores in Q1 and feel very happy and satisfied with this performance. There were big cash flow issues and very high debt in the books when we acquired the business. Very glad to tell you that we have already been able to reduce the debt from the peak when we took over the business it was at Rs.922 Crores and we have brought this down in less than 18 months to Rs.531 Crores and this journey will continue. So some of the priorities which we have kind of looked at, customer centricity have been at the core and we have been expanding or developing our products and our technical marketing is doing a great job and product management with great partnership with our customers which makes a big difference. We have now set up a world class customer service organization to ensure that the customer service is topnotch. In terms of value capture or cost reduction, this has been a continuous focus and one of the most important areas along with customer centricity, which we have been driving and today’s performance, which we see, is majorly backed by this initiative. In terms of the org and operating model, we have set up a global capability center in Pune. We are also ensuring that we build center of excellence in this global capability center. One culture, I described this what we are doing and we have also set up second global headquarters. I spoke about SAP and I think we are very happy that we would be going ahead and completing Project Integra or the One SAP project in this financial year. Coming now actually to the Q1 numbers, first I think looking at a little bit of the Middle East crisis, as you all are aware, we are not very different to face these issues. We have faced energy cost spikes everywhere in Europe, in India, substantially where our substantial assets are based. We have seen increase in raw material costs, logistic costs hav [Showing first 8,000 characters — download PDF for full document]