PCBL Chemical (PCBL) investor relations material

Executive summary

• Carbon Black sales volume grew 5% QoQ and 9% YoY to 161,728 MT, with improved capacity utilization and specialty black volumes up 9% QoQ and 2% YoY.

• Margins were pressured by pricing, tariffs, and softer demand, but management expects profitability to recover as new projects and product mix improvements take effect.

• Aquapharm segment Q2 revenue was Rs. 395 Cr, up 9% YoY, with EBITDA at Rs. 48 Cr and sales volume at 25,194 MT.

• Working capital cycle improved by 12 days in H1 FY26, releasing Rs. 240 Cr cash and reducing gross debt by over Rs. 300 Cr since March 2025.

• Board approved interim dividend of Rs. 6.00 per share for FY26 and unaudited results for Q2 and H1 FY26.

Financial highlights

• Q2 consolidated revenue from operations was Rs. 2,164 Cr; EBITDA was Rs. 278 Cr; PBT Rs. 78 Cr; PAT Rs. 62 Cr.

• H1 FY26 consolidated revenue was Rs. 4,278 Cr (down 1% YoY); H1 EBITDA was Rs. 603 Cr (down from Rs. 738 Cr YoY).

• Profit after tax for Q2 FY26: Rs. 62 Cr (down from Rs. 123 Cr YoY); Diluted EPS: 1.6 (down from 3.3 YoY).

• Net cash from operating activities in H1 FY26: Rs. 839 Cr; closing cash and cash equivalents: Rs. 217 Cr.

• Total comprehensive income for H1 FY26 was Rs. 175.24 Cr (consolidated).

Outlook and guidance

• Management expects steady recovery in profitability as market conditions improve and new capacities ramp up.

• Targeting 50% capacity addition over the next 5 years across all product segments.

• Long-term EBITDA per ton guidance for Carbon Black remains Rs. 20,000–25,000, with a return to previous run rates expected as headwinds subside.

• AquaPharm targets an exit EBITDA run rate of Rs. 75 Cr per quarter by year-end.

• Interim dividend of Rs. 6.00 per share declared for FY26.