Press Release rgdg. Q3FY12 Results issued :

PI’s 9M FY2012 EBITDA grows strongly at 40%

EBITDA grows strongly at 40%
Agri-Input shows solid growth of 30% YoY

Custom Synthesis scales-up along expected lines, revenues up 65% YoY

New Delhi, February 12, 2012: PI Industries Limited (PI), a leading
Indian Agri-Input and Custom

Synthesis company today announced its financial results for the third
quarter ended December 31,

2011.

PI Industries Limited (PI), a leading Indian Agri-Input and Custom
Synthesis company today announced its financial results for the third
quarter ended December 31,

2011.

Financial Highlights for the nine-months ended 31st December, 2011

(Compared to 9M FY11; which includes results of Polymer Compounding
business)

st December, 2011
(Compared to 9M FY11; which includes results of Polymer Compounding
business)

Net Revenue

Net Revenue stood at Rs. 6418.2 million, up 26.8% (~41% YoY without
Polymer Compounding

revenue); Agri-Input saw growth of 30% whereas Custom Synthesis grew
by 65%. Growth in the

Agri-Input business is ahead of the sector growth rate while the
Custom Synthesis business

continues to deliver strong revenue momentum.

EBITDA

EBITDA was at Rs. 1,106.4 million, up 40%. Margins saw 160 bps
expansion to 17.2% given the

robust all-round performance.

Pre-tax Earnings

Profit Before Tax at Rs. 1,080.5 million with an increase of 81.3% and
considering the effect of:

 Pre-tax gain of ~Rs. 303 million on sale of the Company’s Polymer
business to Rhodia SA in the

beginning of current fiscal.

Pre-tax gain of ~Rs. 303 million on sale of the Company’s Polymer
business to Rhodia SA in the
beginning of current fiscal.

 Exchange Fluctuation Loss of Rs. 64.7 million as compared to
Exchange Fluctuation Gain of Rs.

47 million in the same period last year.

Exchange Fluctuation Loss of Rs. 64.7 million as compared to Exchange
Fluctuation Gain of Rs.
47 million in the same period last year.

Post-tax Earnings

The Net Profit including exceptional gains was at Rs. 787.6 million,
up 80.1%. The Basic EPS

increased to Rs. 31.65 per share against Rs. 19.6 per share last year.



Financial Highlights for the quarter ended 31st December, 2011

(Compared to Q3 FY11; which includes results of Polymer Compounding
business)

st December, 2011
(Compared to Q3 FY11; which includes results of Polymer Compounding
business)

Net Revenue

Net Revenue was stable at Rs. 1,902.1 million (~11% growth YoY without
Polymer Compounding

revenue); Agri-Inputs showed 16% increase in Revenues to Rs. 1,022
million despite the inclement

conditions in the Rabi season where deficiency in the N-E monsoon
affected the regular cropping

pattern. The contribution from Custom Synthesis was Rs. 880 million;
5% increase on higher base of

last year.

EBITDA

EBITDA was at Rs. 307.1 million and showed 18.3% growth with a margin
improvement of 250 bps

to 16.2%.

Pre-tax Earnings

Profit Before Tax at Rs. 160 million considers the effect of:

 Exchange Fluctuation Loss of Rs. 64.6 million, which includes
Unrealized Foreign Exchange

fluctuation loss of Rs. 58.5 million (net basis) arising out of the
restatement of foreign currency

exposure on the reporting date. Against this, there was a Exchange
Fluctuation Gain of Rs. 39

million in the same period last year.

Exchange Fluctuation Loss of Rs. 64.6 million, which includes
Unrealized Foreign Exchange
fluctuation loss of Rs. 58.5 million (net basis) arising out of the
restatement of foreign currency

exposure on the reporting date. Against this, there was a Exchange
Fluctuation Gain of Rs. 39

million in the same period last year.

Post-tax Earnings

The Net Profit was at Rs. 114.4 million with a Basic EPS of Rs. 4.60
per share.

Commenting on the performance Mr. Mayank Singhal, Managing Director &
CEO, PI Industries

Ltd., said;

“We have reported a revenue growth of ~11% during the quarter after
excluding the contribution of

the Polymer Compounding business which we divested in the beginning of
the year. Despite the

adverse impact of the erratic N-E monsoon on the domestic business, we
have continued with a

good pace of growth. We are constantly identifying products, which can
be placed in the niche

areas to fuel the future growth. We have a few exciting product
launches ahead of us.

In Custom Synthesis we have shown strong growth in revenues on account
of ramp up of existing

products. We are also commercializing new products in the next few
quarters which will further

enhance our growth trajectory.”

We have reported a revenue growth of ~11% during the quarter after
excluding the contribution of
the Polymer Compounding business which we divested in the beginning of
the year. Despite the

adverse impact of the erratic N-E monsoon on the domestic business, we
have continued with a

good pace of growth. We are constantly identifying products, which can
be placed in the niche

areas to fuel the future growth. We have a few exciting product
launches ahead of us.

In Custom Synthesis we have shown strong growth in revenues on account
of ramp up of existing

products. We are also commercializing new products in the next few
quarters which will further

enhance our growth trajectory.”

.”


Outlook

 Agri-Input business in the long-term remains very strong, may see
some moderation in the

immediate term:

Agri-Input business in the long-term remains very strong, may see some
moderation in the
immediate term:

 The Rabi season is off to a subdued start given the erratic nature
of the N-E

monsoon. However PI continues to show growth based on its strong line-
up of

products

The Rabi season is off to a subdued start given the erratic nature of
the N-E
monsoon. However PI continues to show growth based on its strong line-
up of

products

 PI’s relationships with innovators and its strengths in product
development,

registration and product trial remains key to sustained growth.
Forthcoming Kharif

season to see introduction of some new products

PI’s relationships with innovators and its strengths in product
development,
registration and product trial remains key to sustained growth.
Forthcoming Kharif

season to see introduction of some new products

 Custom Synthesis to see healthy growth in revenue and margins based
on:

Custom Synthesis to see healthy growth in revenue and margins based
on:
 Robust order book position

Robust order book position
 Portfolio of early stage patented molecules which are expected

Portfolio of early stage patented molecules which are expected
 Progressive build-up in existing commercialized molecules

Progressive build-up in existing commercialized molecules
 Enhancement of manufacturing facilities

Enhancement of manufacturing facilities


On Feb 13, 9:14 am, mahesh <[email protected]> wrote:
> Q3FY12 Results forPIIndustriesAnnounced -- Major Details :
>
> Revenue - 190.57 cr.   ( v/s our estimate of Rs. 223-245 cr.)
>
> EBITDA - 30.7 cr.        (v/s our estimate of Rs. 43-48 cr.)
>
> PAT - Rs. 11.43 cr.      (v/s our estimate of Rs. 23-26 cr.)
>
> EPS - Rs. 4.55            (v/s our estimate of Rs. 9.2-10.4)
>
> Prima-facie Analysis of Q3FY12 Results :
>
> Q3FY12 Results ofPIIndustriesare way below our conservative
> estimates and the main culprit seems to have been Agri-Input segment.
> As envisaged post Rallis Analyst Meet Takeaways on 25th Jan. 2012,
> Agri-Input segment seems to have suffered heavily although the exact
> details wrt. its revenue and profitability are still awaited from the
> Press Release and Concall commentry. The more disappointing part of
> the results is the continued pressure on margins which is contrary to
> management's own expectations as detailed by them in Q2FY12 concall
> commentry. EBITDA margins for the qrtr. at just 16.10 % while
> considering the fact that CSM segment enjoys high margins of 21 % +
> doesn't augur too well for Agri-input segment visibility.
>
> Since last many years, current qrtr. seems to be the first qrtr.
> whereinPiInd. has failed to outperform its major peer Rallis and we
> hope this is the one-off and company can get back on track in coming
> qrtrs.
>
> Detailed Press Release is awaited at the time of writing this and
> management commentry in the concall will be crucial.
>
> Will update of the details soon.
>
> Rgds.
>
> On Jan 3, 12:15 pm, "mahesh i. shah" <[email protected]>
> wrote:
>
>
>
> > Link to pdf of my Q3FY12 as well as 9'Month'FY12 estimate forPIIndustries
> > Ltd.
>
> >http://www.scribd.com/doc/76999128/
>
> > Rgds.
>
> >  Q3FY12Estimate.pdf
> > 314KViewDownload- Hide quoted text -
>
> - Show quoted text -

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