PI Industries Limited Earnings Summary — Q4 FY2026

• Revenue for Q4 FY2026 contracted 12.4% YoY, reflecting the ongoing global agrochemical inventory destocking cycle.
• Net profit saw a significant 39.4% YoY drop, impacted by higher tax incidence (33% vs 24% YoY) and lower operating leverage.
• Operating Profit Margin (OPM) stabilized at 22% sequentially but is down from 25% in the same quarter last year.
• The quarterly tax rate spiked to 33% in Mar 2026, significantly higher than previous quarters, dragging down net earnings.
• Asset intensity is increasing with CWIP rising to 755 Cr as the company continues to invest in Pharma and Multi-Purpose Plants.
• Working capital management remains a concern as inventory levels reached 2,100 Cr at year-end versus 1,450 Cr in Mar 2025.

Management maintains a wait-and-watch approach regarding the global agrochemical recovery while focusing on diversifying into high-value pharma intermediates to reduce cyclicality.

Deteriorating

The combination of falling revenues, compressed margins, and a significantly higher tax rate has resulted in the weakest quarterly net profit in the last three fiscal years.

The short-term outlook remains challenging due to sluggish CSM demand and global inventory overhang, though the long-term structural story remains intact through pharma pivots.