Chemical stock in which Dolly Khanna bought fresh stake in Q4 FY26

Synopsis:- Ace investor Dolly Khanna added a ₹43.4 crore stake in March 2026, signaling confidence. Operational performance improved with margins rising to 12% and peak 14%, while utilisation stayed near 70–90%. Capex remains cautious at $60–65 million, focused on essentials and efficiency.

India’s specialty chemicals sector has emerged as a high‑growth pillar of the broader chemicals industry, contributing roughly 20–25% of the estimated USD 180–200 billion domestic chemical market in early 2026. The speciality chemicals segment itself is valued at around USD 40–67 billion in 2025–26 and is projected to grow at a mid‑single‑digit to high‑single‑digit CAGR over the next decade, driven by rising demand from manufacturing, agro, pharma, and consumer industries.

With a market capitalisation of Rs 4,121.92 crore, the shares of Rain Industries Ltd closed at Rs 122.55 per share, increased around 1.70 percent as compared to the previous closing price of Rs 120.50 apiece.

Prominent Investor

Ace investor Dolly Khanna made a fresh investment in March 2026, adding Rain Industries to her portfolio with a stake worth around Rs 43.4 crore. She now holds over 35.3 lakh shares, reflecting growing confidence. Overall, she publicly holds 12 stocks with a combined net worth exceeding Rs 503.6 crore.

Financial & Other Highlights

The company delivered a strong improvement in performance, with revenue rising 17% from Rs 3,676 crore to Rs 4,301 crore in Q3FY26. Notably, profitability turned around, shifting from a loss of Rs 134 crore to a profit of Rs 38 crore, indicating better cost control and improved operational efficiency during the quarter.

Rain Industries Limited showed steady improvement over the past year. Operating profit increased from ₹346 crore in Dec 2024 to ₹501 crore in Dec 2025. OPM also improved from 9% to 12%, peaking at 14% in mid-2025, indicating better efficiency and stronger operating performance despite some fluctuations during the year.

RAIN’s carbon business remains influenced by regional dynamics, with CPC/CTP pricing driven more by supply-demand than by aluminium prices. Indonesia remains competitive with Chinese supply, while the Middle East faces disruptions due to geopolitical tensions and energy costs. However, RAIN’s global footprint and flexible logistics help manage supply shifts and maintain customer service.

Moreover, rising GPC prices and broader grade inflation have created temporary margin pressure due to delayed pass-through in CPC pricing. Utilisation remains stable at ~70% globally and ~90% in India. Additionally, the company is advancing alternative raw materials, supported by strong R&D, to ensure long-term supply stability and operational efficiency.

Rain Industries reported a sharp dip in 2025 capex at $53 million, reflecting delayed growth investments and a cautious cash preservation strategy. For 2026, guidance of $60–65 million signals a slight recovery, but spending remains focused on essential maintenance, safety, and compliance, indicating disciplined capital allocation rather than aggressive expansion or capacity-building plans.

Rain Industries is a global producer of carbon, chemicals, and cement, serving industries like aluminium, steel, and construction. With a strong international presence and integrated operations, the company focuses on value-added products. It balances cyclical demand with cost efficiency, aiming to maintain stable growth across diverse industrial and geographic markets.

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