PI Industries Q1FY19: Higher tax rate drags bottomline

PI Industries Limited (PI), an agri-sciences company with an integrated approach to business, announced its financial results for the quarter ended June 30, 2018 on Saturday.

The company’s standalone revenue for the quarter came in at Rs. 605.6 crore as against Rs. 553.2 crore in the corresponding quarter last year, registering 9.5 per cent increase. The growth in domestic revenue stood at 23 per cent, mainly driven by products launched in the recent past and good marketing strategies.

EBITDA for the quarter declined by 9.5 per cent yoy to Rs. 118.1 crore as against Rs. 130.5 crore in the corresponding quarter last year. EBITDA margin for the quarter stood at 19.5 per cent as against 23.6 per cent in the corresponding quarter last year.

The PAT for the quarter came in at Rs. 81.7 crore as against Rs. 100.1 crore in the corresponding quarter last year, registering 18.4 per cent decline. This was led by jump in effective tax rate to 21.9 per cent from 17.9 per cent.

Going ahead, the company’s investment in commercializing 3-4 new molecules is expected to bear fruit during the coming quarters. Also, the company is poised to record strong growth on the back of normal monsoon, a strong brand line up and supportive government policies and initiatives for domestic business.

In Monday morning trade, the stock opened at Rs. 822 per share and slips nearly 6 per cent and made an intraday low of Rs. 774.10, on the BSE. At 11:07 hours, the stock was trading at around Rs. 776.10 on the BSE.