DCM Shriram faces ₹40 crore impact after UP Excise Dept reinstates fees on denatured alcohol

Leading Chlor Alkali manufacturer, DCM Shriram Limited, on Friday (July 11) announced that the Excise Commissioner of Uttar Pradesh has reinstated import and export fees on denatured alcohol, following the Supreme Court’s order dated October 23, 2024, which upheld the state’s authority to levy such charges.The reinstatement revokes an earlier 2018 order that had suspended these fees. The new order was brought to the company’s notice on July 11, 2025, at around 5:26 pm. The Excise Department has also imposed the charges retrospectively, covering the period from FY 2018–19 to FY 2024–25.

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While the company has indicated no material operational or financial impact, it has quantified a potential financial exposure of ₹40 crore, which is currently under evaluation. DCM Shriram has stated it is considering legal recourse through appropriate forums.
Fourth Quarter ResultsDCM Shriram consolidated net profit rose 51.9% year-on-year to ₹178.9 crore, up from ₹117.8 crore in the same quarter last year. The company saw robust growth across segments, lifting both revenue and margins.

Revenue for the March quarter came in at ₹2,876.7 crore, up 19.9% from ₹2,399.3 crore a year ago. Operating performance was equally solid, with EBITDA growing 52.8% to ₹405.3 crore compared to ₹265.3 crore in the year-ago period. The company’s EBITDA margin improved significantly to 14.1% from 11.1% last year, reflecting better realisations and operational efficiencies.

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Shares of DCM Shriram Ltd ended at ₹1,350.00, down by ₹6.50, or 0.48%, on the BSE.