Pearl Global Industries (PGIL) Q2 24/25 earnings summary

Executive summary

• Achieved highest-ever consolidated half-yearly revenue, adjusted EBITDA, and profitability in H1 FY25, with 21.6% year-on-year revenue growth driven by strong order books and sales in Bangladesh, India, Vietnam, and Hong Kong.

• Growth attributed to multi-country presence, diverse product categories, and deepening customer relationships, with top five customers contributing nearly 68% of revenue.

• Maintained a positive long-term outlook, supported by a strong order pipeline, broad geographic reach, and healthy volume increases.

• Interim dividend of INR 5 per share declared for FY25.

• Raised ₹14,950 lakh via QIP in July 2024, issuing 2,045,143 equity shares.

Financial highlights

• H1 FY25 consolidated revenue was INR 2,254.7 crore, up 21.6% year-on-year; Q2 FY25 revenue was INR 1,201.9 crore, up 25.1% year-on-year.

• H1 FY25 adjusted EBITDA was INR 199.2 crore (margin 8.8%), up 21.6% year-on-year; Q2 FY25 adjusted EBITDA was INR 98.8 crore (margin 8.2%), up 24.0%.

• H1 FY25 PAT after minority interest was INR 123.8 crore, up 41.1% year-on-year; Q2 FY25 PAT after minority interest was INR 58.5 crore, up 47.4%.

• Basic EPS for Q2 FY25 was ₹12.90, up from ₹9.16 in Q2 FY24.

• Consolidated total assets as of September 30, 2024, stood at ₹2,34,248.99 lakh.

Outlook and guidance

• Management expects volume and value growth to continue in H2 FY25, with operating leverage benefits expected by year-end.

• Guidance of 12%-14% CAGR in top-line growth through FY28, with capacity expansion aligned to this target.

• Order book visibility extends three to four months on average, with some categories booked up to six to seven months.

• Ongoing assessment of regulatory changes, including the Code on Social Security, 2020, may impact future financials.