Oriental Aromatics Q4 revenues rise 6%, profits plunge 90% on increasing costs, poor performance by subsidiaries

Fragrance manufacturer Oriental Aromatics Limited (OAL) has seen its consolidated net profits plunge to just ₹3.31 crore in Q4FY26 from ₹34.33 crore reported a year ago, a more than 90% drop. This plunge has come despite revenues rising to ₹2,824  from ₹ 2,532 crore during the same period.

The company’s EBITDA has also declined to ₹19.5 crore as high crude linked raw material costs and volatile logistics rates have contracted the EBITDA margins by 6.89% from 7.61% a year ago.  

The company has been facing increasing challenges, with its Indonesian subsidiary PT Oriental Aromatics undergoing liquidation and its debt rising to ₹323.48 crore in FY26 from ₹275.03 crore a year ago.

The company’s net interest coverage ratio has now reached 1.6x, meaning a large share of its operating profits are now going directly to debt servicing. 

Despite this, the company has announced a ₹0.50 dividend for the year, even as investors will now focus on how the company manages its costs and debt. The final impact of its Indonesian subsidiary’s liquidation will also be keenly watched.

Following the news, Oriental Aromatics’ shares were trading at ₹302.05 at 3PM. The shares have fallen 23% in the last year.

Q4 FY26 Financial Blueprint

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investing in stocks includes financial risks, and past performance is not indicative of future results. Readers should conduct their own research or consult with a qualified financial advisor before making any investment decisions.