Styrenix Performance Materials (506222) Q3 25/26 earnings summary

Executive summary

• Q3 FY 2026 standalone total income declined 6.2% YoY to INR 648.8 crores, while EBITDA grew marginally by 0.4% YoY to INR 75.7 crores.

• Standalone sales volume for Q3 FY 2026 increased 7.6% YoY to 51.1 KT.

• Consolidated revenue for Q3 FY2025-26 was ₹869.49 crore, up from ₹798.93 crore in the previous quarter and ₹690.79 crore in Q3 FY2024-25.

• Consolidated results include Thailand operations acquired in January 2025, making YoY comparisons not directly comparable.

• Inventory losses occurred in Thailand due to falling product and raw material prices, but medium- to long-term prospects remain positive.

Financial highlights

• Q3 FY26 consolidated total income rose 25.9% YoY to ₹871.3 crore; standalone total income was ₹648.8 crore.

• Q3 FY26 consolidated EBITDA margin dropped to 5.0% from 10.9% in Q3 FY25; standalone EBITDA margin was 11.7%.

• Q3 FY26 consolidated PAT was ₹16.3 crore (1.9% margin), down from ₹47.7 crore (6.9%) in Q3 FY25; standalone PAT was ₹44.3 crore (6.8% margin).

• 9MFY26 consolidated total income was ₹2,619.4 crore, up from ₹2,052.3 crore in 9MFY25; consolidated PAT was ₹109.4 crore (4.2% margin), down from ₹179.0 crore (8.7%).

• Incremental labor code impact: INR 2.24 crores gratuity liability and INR 0.86 crores leave encashment recognized.

Segment performance

• ABS and SAN segments maintained leadership and volume growth; polystyrene demand recovered in Q3.

• Thailand business faced inventory losses due to price declines in finished goods and raw materials; inventory buildup was related to brand transition and customer validation.

• More than 75% of the consolidated loss difference in Q3 was attributed to inventory valuation losses in Thailand.

• Polystyrene segment saw capacity expansion to 100,000 tons, with HIPS running at full utilization and GPPS approvals ongoing.

• ABS segment in India continues robust growth; volume growth in Q3 over Q2 was mainly from polystyrene.