Finolex Industries (FINPIPE) Q4 25/26 earnings summary

Executive summary

• Q4 FY26 revenue grew 12% year-over-year to ₹1,314 crore, with EBITDA nearly doubling to ₹332 crore and margins improving to 25%.

• FY26 revenue was flat at ₹4,113 crore, with EBITDA up 43% to ₹679 crore and EBIT up 55% to ₹572 crore.

• Sales volumes for FY26 declined 4% to 332,736 tons, offset by better realizations.

• Audited standalone and consolidated financial results for FY26 were approved with an unmodified audit opinion.

• Final dividend of ₹2 and special dividend of ₹0.75 per share, totaling ₹2.75 per share, recommended for FY26.

Financial highlights

• Q4 inventory gain estimated at ₹35–40 crore, contributing to margin improvement.

• Net free cash stood at ₹2,563 crore as of year-end.

• Other income declined in Q4 due to lower mark-to-market gains; finance costs rose due to higher inventory and borrowings.

• Standalone net profit for FY26 was ₹580.34 crore, down from ₹777.86 crore in FY25 (which included a one-time gain).

• Earnings per share (EPS) for FY26 stood at ₹9.39 (standalone) and ₹9.69 (consolidated).

Outlook and guidance

• EBITDA margin expected to moderate to lower double digits (sub-15%) for FY27, after a high Q4.

• Targeting full-year volume growth in the high single to low double digits.

• Non-agri segment share to gradually increase, aiming for a 50/50 agri/non-agri split over 4–5 years.

• CapEx of ₹100 crore planned annually, mainly for maintenance and debottlenecking.

• Liquidity remains robust, positioning the company well for future growth.