Shares of PI Industries surged 4.3 percent to day’s high of Rs 3,735 per share on November 9 after the company registered robust July-September quarter (Q2FY24) performance. The S&P BSE Sensex was flat at 64,940 levels, as of 10:30 am.
In the past one month, the stock of this agri-sciences company has marched 8 percent higher as against 1 percent decline in the benchmark Sensex.
Follow live blog for all the market action
The company’s revenue rose 20 percent year-on-year (YoY) to Rs 2,116 crore in Q2FY24 driven by agro-chemical exports. Net profit, too, jumped 44 percent YoY to Rs 480 crore in the September-ended quarter.
Agro-chemical exports grew 22 percent YoY in Q2FY24 driven by higher volumes and favourable product mix. Domestic revenues, however, were subdued due to delayed and erratic spread of monsoon that resulted in lower sales of insecticides and herbicides across key geographies.
With 28 percent on-year growth in earnings before interest, tax, depreciation, and amortisation (Ebitda) in Q2FY24, margins also improved by 167 basis points (bps) YoY on account of favourable product mix and operating leverage.
ALSO READ: Agrochem future looks foggy on weak crop prices, rising input costs, China exports
Going ahead, the management is confident of achieving 18-20 YoY revenue growth with continued improvement in margins in FY24.
With 4 new products already launched in H1FY24, the company plans to launch 2 more products in domestic market in H2FY24.
Commercialisation of 4-5 new molecules are also planned in the second half of this fiscal year.
Analysts at Motilal Oswal shared a ‘buy’ call in a post-result review note, adding that earnings beat estimates due to higher other income and lower tax rate.
PI Industries is engaged in the business of Agri inputs, Fine Chemicals and (CRAMS) Contract Research and Manufacturing Services), Polymers and Engineering Services. The company’s various grades of engineering plastics and compounds are for the end use in Automobiles, Electricals, Home Appliances and many others.
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
