The expansion has been undertaken to cater to sustained demand growth across various sectors and to improve margin realisation through optimal operating leverage.

In addition, the company has expanded the manufacturing capacity of Acetic Anhydride from 25,000 MTPA to 32,000 MTPA. The project entails a capital expenditure of about Rs 5.71 crore. The existing facility was operating at above 90% capacity utilisation prior to the expansion. The additional capacity of 7,000 MTPA was commissioned on 2 March 2026.

This expansion is aimed at optimising captive consumption as well as increasing merchant sales.

IOL Chemicals & Pharmaceuticals is one of the leading pharmaceutical (APIs) Companies and a significant player in the specialty chemicals space with world-class facilities. IOLCP has a wide presence across major therapeutic categories like pain management, anti-convulsants, anti-diabetes, anti-cholesterol and anti-platelets.

The company’s consolidated net profit rose marginally by 0.2% to Rs 20.58 crore, while net sales increased 10.9% to Rs 580.39 crore in Q3 FY26 compared with Q3 FY25.

The counter dropped 1.77% to Rs 70 on the BSE.