On October 17, PCBL faced a challenging scenario as it reported an 8.7% decline in revenue, totaling Rs 1,486.70 crore for the quarter ended September, in contrast to Rs 1,627.8 crore the previous year. The weak demand significantly contributed to this decline, causing the stock to plummet by around 5% after the results were announced.
Despite the revenue setback, PCBL managed to achieve a 5.3% year-on-year increase in net profit, reaching Rs 122.60 crore, up from Rs 116 crore in the corresponding period last year. One key factor contributing to this positive outcome was the decline in input costs for raw materials. This reduction allowed PCBL to expand its operating margins, which stood at an impressive 16% in July-September, a notable improvement from the 11.6% recorded in the same quarter the previous year.
As of 2:31 pm, PCBL’s shares were trading 3.14% lower at Rs 197.50 on the NSE, indicating the market’s response to the revenue decline despite the improved profit margins.
