PI Industries reports a mixed start to the financial year, with a remarkable 50% growth in its biologicals division, as the company balances domestic expansion with global challenges and invests in future growth areas, including new insecticides and pharma ventures.
PI Industries reported a mixed start to the new financial year, with domestic volume growth helping to offset continued pressure from weak global crop protection demand. In its latest earnings call, the company said domestic volumes rose 12% in the quarter, lifting revenue 3%, while export volumes fell 8% and export value declined 12% as the global agrochemical downturn persisted.
The company’s biologicals business was a standout, growing 50% in the quarter and posting a three-year compound annual growth rate of 15%, according to the earnings update. PI also said gross margin held at 57% and EBITDA margin at 22%, while net working capital fell by 19 days and freed up ₹300 crore in cash. The balance sheet remained debt-free, with net cash of ₹38 billion.
Management said the business is still investing heavily in future growth areas, particularly pharma contract development and manufacturing and global biologicals. The company reported around ₹100 crore in subsidiary EBITDA losses in the quarter, reflecting upfront spending on market development, field trials and customer engagement. It also pointed to progress in pharma, including enquiries moving towards commercial phase work and the commissioning of a regulator-approved quality-control laboratory in Italy.
PI Industries said its new insecticide, Pyaxaniliprol, is nearing launch in India and could later be expanded overseas. The company described it as the first insecticide discovered in India for Indian farmers. Executives said the product has a differentiated profile and could support partnerships and broader international adoption over time.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
