- Event Type: Q1 FY27 Post Results Conference Call hosted by ICICI Securities Limited
- Event Date & Time: Friday, August 7, 2026 (time not specified)
- Purpose: Discussion of Unaudited (Standalone & Consolidated) Financial Results for the Quarter ended June 30, 2026
- Earnings Timing: Call held post declaration of financial results (after earnings announcement)
- Management Participants:
- Mr. Udipt Agarwal – Managing Director
- Mr. Chandan Verma – Chief Financial Officer
- Moderator: Mr. Arun Baid from ICICI Securities
- Availability of Materials: Transcript made available on company website at https://www.finolexpipes.com/investors/financials/
- Compliance: Disclosure made under Regulation 30 of SEBI Listing Regulations
Financial Highlights & Business Updates
Q1 FY27 Performance Metrics:
- Sales Volume: 68,000 metric tons (27% YoY decline)
- Revenue: INR 884 crores (15% YoY decline from INR 1,043 crores)
- EBITDA: INR 107 crores (14% YoY growth from INR 94 crores)
- EBITDA Margin: 12% (300 bps improvement from 9% YoY)
- PBT: INR 148 crores
- PAT: INR 107 crores
Business Segment Breakdown:
- Agri Segment Share: 69% of total volume
- Fittings Share within Agri: 5%
- Non-agri Segment Share: 25%
- Overall Fittings Percentage: 11% of total volume
- CPVC Share: 7% of total volume
Market Context & Challenges:
- PVC price volatility was the dominant macro factor with sharp intra-quarter correction
- Average PVC prices: USD 875 per metric ton (vs USD 707 per metric ton YoY)
- Channel destocking impacted volumes during typically strong pre-monsoon quarter
- Two regulatory developments noted:
- Withdrawal of customs duty exemption on PVC resin prices (mid-July)
- Imposition of minimum import price (MIP) for PVC resin
Liquidity Position:
- Strong cash balance of INR 2,636 crores maintained
Forward-looking Commentary:
- Management remains optimistic but cautious about volume and realization recovery
- Structural demand drivers remain intact
- Recent regulatory interventions expected to support price stability and channel inventories
- Volume pickup noted in July post MIP implementation
- Margin guidance: sub-15% EBITDA margin for FY27 (maintained from previous guidance)
Operational Details:
- Monthly volume trend: April (lowest), May (growth), June (growth), July (good uptick)
- Capacity utilization: Total installed capacity 520 MT, last year volume 333 MT
- CAPEX plans: INR 125-200 crores range remains intact
- Backward integration provides cost advantage
- VCM supply chain constraints due to Middle East force majeure and monsoon-related jetty limitations
Additional Notes Section
- Attachment: Transcript of Earnings Call (submitted to exchanges)
- No financial data disclosed in announcement: The transcript contains detailed financial results discussion
- Compliance language: Forward-looking statements disclaimer included in management commentary
- Participant questions: Covered volume decline reasons, market share, pricing, inventory impact, capacity expansion plans, JJM impact, and margin sustainability