PCBL Chemical (PCBL) Q1 24/25 earnings summary

Executive summary

• Achieved record operational and financial performance in Q1 FY25, with consolidated revenue rising 59% year-over-year to ₹2,144 crore and EBITDA up 72% to ₹369 crore, driven by strong Carbon Black and Aquapharm contributions.

• Consolidated sales volume in Carbon Black reached 1,53,918 MT, up 25% year-over-year, with export sales volume up 56%.

• Aquapharm business contributed ₹359 crore in revenue and ₹55 crore in operational EBITDA, with 75% capacity utilization in Q1 FY25.

• Patent granted for Hybrid Carbon Black grade with graphene, enhancing tire and rubber compound performance.

• Total comprehensive income for the quarter was ₹186.58 crore, up from ₹127.63 crore in Q1 FY24.

Financial highlights

• Profit before tax for Q1 FY25 was ₹164 crore; profit after tax increased to ₹118 crore year-over-year.

• EBITDA per metric ton in Carbon Black was ₹20,861, up from ₹20,018 in FY24.

• Operating EBITDA margin improved to 17% from 16% YoY; net profit margin at 5.52% for Q1 FY25.

• Green Power generation rose 24% year-over-year to 194 million units, with external sales of 116 million units.

• Diluted EPS increased to ₹3.13 from ₹2.89 YoY.

Outlook and guidance

• Carbon Black business expected to deliver 9.5%-10% CAGR volume growth over next 4-5 years.

• Plans to reach 1 million MTPA capacity in two years, with multiple greenfield and brownfield expansions underway.

• Aquapharm volume growth targeted at 20%-25% annually from FY26, with new product lines boosting volumes in H2 FY25.

• Long-term PAT target of ₹2,500 crore by FY29, supported by margin expansion and capacity additions.

• The group is evaluating the impact of amendments proposed through the Finance Bill, 2024.