Shares of chemical manufacturer Deepak Nitrite witnessed a significant upswing of approximately 6% in recent trading sessions following the company's announcement regarding its upcoming quarterly financial results. The stock price movement reflects investor anticipation ahead of the earnings disclosure.
Board Meeting Scheduled for Q3 Results
Deepak Nitrite officially informed the stock exchanges through a regulatory filing dated January 30, 2026, that its Board of Directors will convene on Thursday, February 12, 2025. The primary agenda of this meeting will be to review and approve both standalone and consolidated unaudited financial results for the third quarter and nine-month period ending December 31, 2025.
The company submitted this disclosure to BSE Limited, stating clearly in the exchange filing: "We wish to inform you that a meeting of the Board of Directors of the Company will be held on Thursday, 12th February, 2025 inter alia to consider and approve the Standalone and Consolidated Un-audited Financial Results of the Company for the quarter and nine months period ended 31st December, 2025."
Recent Stock Performance Analysis
During intraday trading, Deepak Nitrite shares experienced a sharp rebound, climbing as much as 5.7% to reach a high of ₹1,672.80. This upward movement represents a notable recovery from recent lows, though the stock continues to trade significantly below its historical peak levels.
Key price points reveal the stock's challenging trajectory:
- The current trading price remains approximately 30% lower than the 52-week high of ₹2,398.80 recorded in February 2025
- The counter touched its 52-week low of ₹1,512.80 in December 2025
- This price action highlights the sustained pressure the stock has faced over recent months
The recent uptick follows a prolonged phase of weakness, with Deepak Nitrite shares declining around 27% over the past year. More specifically, the stock has fallen 12.5% over six months, slipped about 5% in the last three months, and declined another 5% during the past month. This sustained correction reflects broader challenges across the chemical sector, including pricing pressures, demand softness, and elevated input costs.
Analyst Expectations for Q3 Performance
Looking ahead to the December quarter results (Q3FY26), brokerage firm Systematix anticipates some improvement in Deepak Nitrite's operating performance. According to their analysis, margins are likely to expand sequentially, driven primarily by winter-led efficiency gains in the company's phenolics business.
Despite this optimistic margin outlook, Systematix maintains a 'Hold' rating on the stock with a target price of ₹1,779. The brokerage noted in the same research coverage that Aarti Industries is projected to achieve 11% year-on-year growth, aided by the resumption of exports to the United States, with a target price of ₹429 assigned to that company.
Previous Quarter Performance Context
Investor sentiment surrounding Deepak Nitrite had been dampened following the company's September quarter (Q2FY26) results, which revealed significant financial challenges. The chemical manufacturer reported a sharp 39% year-on-year decline in consolidated net profit to ₹118.7 crore for the quarter ended September 30, 2025, compared with ₹194.2 crore in the corresponding period last year.
This substantial profit decline was attributed to higher input costs and challenging market conditions that have persisted across the chemical industry. Revenue for the quarter fell 6.4% to ₹1,901.9 crore from ₹2,032 crore a year earlier, reflecting continued demand weakness across key chemical segments.
Operating performance metrics also remained under considerable pressure during Q2FY26:
- EBITDA declined 31.3% year-on-year to ₹204.3 crore from ₹297.3 crore
- Operating margins contracted sharply to 10.7% from 14.6% in the year-ago quarter
- The margin compression was mainly due to lower realizations across product categories
Segment-wise analysis revealed stress across both key business divisions. The Advanced Intermediates segment reported declines in both revenue and profit before tax, while the Phenolics segment also experienced a drop in profitability. Market observers will closely monitor whether margin recovery in the phenolics business can offset broader demand challenges and support earnings stabilization in upcoming quarters.
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