Q3 FYâ13 Revenues show robust growth of 49% at Rs.2,826 million
Q3 FYâ13 Net Profit doubles to Rs.239.6 million
Gurgaon, February 12, 2013: PI Industries Limited (PI), a leading Indian Agri-Input and Custom Synthesis company announced its financial results for the third quarter and nine-months ended December 31, 2012.
Financial Highlights for the nine-months ended 31st December, 2012
Net Revenue
Net Revenue stood at Rs. 8,201.6 million, growing 28% YoY on account of a ~55% improvement in custom synthesis exports
EBITDA
EBITDA showed healthy growth of 28% to Rs.1,431 million YoY. EBITDA margins stood strong at 17.5% on account of improved product mix and operating leveraging benefits.
Pre-tax Earnings
Profit Before Tax stood at Rs.1,068 million. It includes an exchange fluctuation loss of Rs. 39.6 million as compared to a loss last year of Rs. 62.2 million.
Post-tax Earnings
Net Profit came in at Rs.732.5 million, up 34% from last yearâs profits (after excluding the exceptional profit from the sale of Polymer Compounding business) resulting in a Basic EPS of Rs.29.15 per share.
Financial Highlights for the quarter ended 31st December, 2012
Net Revenue
Net Revenue improved 49% at Rs.2,825.9 million mainly on account of significant growth contribution of custom synthesis of ~100% YoY from last year.
EBITDA
EBITDA stood at Rs. 474 million, up 51% YoY. The margins were at 16.8% backed by judicious
portfolio of products in the domestic business and robust scale-up in exports.
Pre-tax Earnings
Profit Before Tax was at Rs. 359.6 million. It includes an exchange fluctuation gain of Rs. 6.9 million
from a loss last year of Rs. 64.9 million.
Post-tax Earnings
Net Profit came in at Rs.239.6 million thereby giving a Basic EPS of Rs.9.54 per share.
Commenting on the performance Mr. Mayank Singhal, Managing Director & CEO, PI Industries
Ltd., said;
âThe upward trend in the quarterly performance of PI is now well-defined. The strong performance
of the exports business was on expected lines, we also have visibility of the volumes ramp-up for the
existing line-up. As the commercialisation of these molecules picks-up, PI will stand to be an obvious
beneficiary as most of these products are patented and early stages of their life cycle. The roadmap
for growth is even more exciting given the capacity augmentation by way of the Jambusar facility
and planned launch of new products in coming quarters.
While the domestic season has been challenging this year so far due to adverse agro-climatic
conditions in major agriculture areas in India, however given the robust pipeline of products and
overall strength/potential of the Indian agri- input industry, we remain very positive about growth
potential of this market segment for us.â
Corporate Developments
PI concluded QIP process, raises Rs.117.33 crores at Rs.609.60 per share
The Companyâs QIP issue saw participation by some highly reputed investors in India and abroad.
Post issue, the promoters holding will be 58.85% as against 63.35% on December 31, 2012.
Jambusar facility commissioned
PI commissioned its dedicated facility for custom synthesis exports at the Jambusar SEZ. A
significant portion of the volumes growth going forward will be delivered from this new plant,
which got commissioned in January 2013.
Share Split
Subject to the approval of the share holders, the Board has recommended split in the stock face value of equity shares from Rs.5/- each to Rs.1/- each.
Outlook
A rising share of in-licensed products will trigger enhancement of the domestic business. Distinctive positioning of existing and newly introduced molecules to drive continued volume upside. The optimistic outlook will be determined by:
ï Leadership approach to building brands around innovative products which are introduced with specific requirements of the market in mind; new launches planned for next fiscal year
ï Higher acreages in Rabi especially in wheat, where the increase is seen to be above 5% of average levels
Growth in custom synthesis exports will be led by increase in the size of the already commercialized molecules. Operating leverage will drive the expansion in margins given the apparent visibility for 18-24 months. The outlook for the ensuing months will be guided by:
ï Novel products slated for launch which will ramp-up in line with higher global registrations.
ï Attractive basket of products in various stages of development, to further add to PIâs growth in the coming years.
ï Substantial upside from the Jambusar facility, as delivery of orders on hand accelerates. PI drawing roadmap for the expansion of capacity.
