Q1 2027 Pondy Oxides and Chemicals Ltd Earnings Call Transcript
Key Points
- Q1 FY26 revenue, EBITDA, and PAT grew 56%, 30%, and 32% year-on-year, respectively, with strong momentum.
- Copper vertical achieved its highest-ever quarterly production and sales, with volumes more than tripling year-on-year and EBITDA per ton up 66% to INR 48,488.
- The 36,000 MTPA copper cathode project is on schedule, with phase one (18,000 MTPA) commissioning by December 2025 and phase two by Q3 FY27, funded entirely through internal accruals.
- CRISIL upgraded the company's outlook to A/Positive, reflecting a strong balance sheet and sustained financial performance.
- Lead vertical achieved its highest-ever EBITDA per ton of INR 21,595, driven by a strategic focus on value-added products (85% of segment revenue).
- Lead production and sales volumes moderated due to supply chain disruptions and production constraints, impacting overall volume growth.
- The Thervoykandigai lead plant's capacity utilization is below 50%, as the company prioritized value-added products over volume.
- Other expenses rose 16% year-on-year and 44% sequentially, driven by higher fuel prices and increased additive costs.
- Supply chain delays, particularly in shipping routes through the Middle East, are expected to persist, potentially affecting Q2 FY26 performance.
- The company has not yet monetized its EPR credits, and domestic lead scrap sourcing remains limited due to high pricing, which could constrain margin improvements.
(Operator Instructions)
I now hand the conference over to Ms. Sana Kapoor from Go India Advisors.
Thank you, Sruthi. Good afternoon, everyone, and welcome to Pondy Oxides and Chemicals Limitedâs earnings call to discuss Q1 FY26 financial performance. Today, we are joined by Mr. Ashish Bansal, Chairman and Managing Director; Mr. K. Kumaravel, Director â Finance and Company Secretary; Mr. R. S. Vaidhyanathan, Executive Director; Mr. Vijay Balakrishnan, Chief Financial Officer; and Mr. Pratik Gupta, Associate Vice President â Operations. We must remind you that the discussion on todayâs call may include certain forward-looking statements and must be, therefore, viewed in conjunction with the risks that the company faces. I now request Mr. Ashish Bansal to take us through the companyâs business outlook and financial highlights, subsequent to which we will open the floor for Q&A. Thank you, and over to you, sir.
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