PI Industries Ltd. share price target

Management Discussion: 1) Order book for 2QFY16 were $610mn, 2) Total revenue to grow at ~15% in FY16, 3) expect to launch 1-2 products in domestic agri input segment and 2 new molecules to commercialised in...

Revenues of PI IN are expected to grow at a CAGR of 15.37% from FY15 to FY17E. Custom Synthesis & Manufacturing (CSM) revenue growth is expectedto moderate down to levels of around 18% on the back of high base and weakpricing (deflationary) environment in FY16E. CSM revenue contribution is expected to increase to 60.4% in FY16E and 62.5% in FY17E. Domestic Agribusiness is expected to clock in moderated revenue growth of around 10% in both FY16E and FY17E, expectedly led by volume growth, with no price growth assistance. Expectation of weak pricing environment is on the back of weak macro pricing environment in terms of both raw materials and agri-commodity prices. Also, decrease in cotton acreage by more than 8% in FY16E (kharif) is expected to continue to some extent even into FY17E.

PI's EBITDA beat our estimates modestly. Its CSM revenue grew 26% and domestic crop chemicals by 10%; total topline growth was 18%. In the concall, management said (1) it can sustain 1819% growth for custom synthesis, and (2) despite challenging industry...

Revenues stood at Rs 5.5bn ( 18% YoY)

PI Industries reported another strong result led by robust growth across the segments. Revenues stood at Rs 5.5bn ( 18% YoY). Lower other expenses and better product mix led to an EBITDA margin of 24.5% ( 157 bps) and EBITDA grew to Rs 1.4bn ( 26%). APAT was Rs 846mn ( 23%).

PI Industries' is one of the leading players in the Crop protection industry. Company largely operates under two main segments a) agriculture inputs, b) custom synthesis and contract manufacturing. Company has a niche portfolio of 31-32 products, which includes 5-6 in-licensed products in tie up with MNCs such as Bayer, BASF & Kumiai chemicals. Company manufactures products from its three formulations & two technical facilities based in Jammu and Panoli. PI has a strong distribution network of 8,000 dealers / distributors; 35,000 retailers and 27 stock points. Company derives 80% of its agrichemical revenue from its top 10 products. Its...

PI Industries Ltd (PI) reported strong result with a consolidated revenue growth of 17.7%/3.3% YoY/QoQ respectively at Rs 5.5 bn led by 26%/10% growth in custom Synthesis business (CSM)/domestic...

PI Industries' is one of the leading players in the Crop protection industry. Company largely operates under two main segments a) agriculture inputs, b) custom synthesis and contract manufacturing. Company has a niche portfolio of 29 products, which includes 5-6 in-licensed products in tie up with MNCs such as Bayer, BASF & Kumiai chemicals. Company manufactures products from its three formulations & two technical facilities based in Jammu and Panoli. PI has a strong distribution network of 8,000 dealers / distributors; 35,000 retailers and 27 stock points. Company derives 80% of its agrichemical revenue from its top 10 products. Its key products are...

1819% (60%of revenues) from20%+;however, it retained agrichemicals growthof 15 20% for FY16E. The change in guidance follows higher base and backended capex commissioning.Wetweakearnings(2.7%forFY16/+1.5%forFY17)tofactorinchangein...

PI Industries Ltd (PI) reported healthy 4QFY15 result with a consolidated revenue growth of 48%/6.4% YoY/QoQ respectively at Rs 5.3 bn led by 23% /19% growth in custom Synthesis business...