Q4 FY 26 Earnings Conference Call - Transcript

PCBL Chemical reported Q4 FY26 consolidated revenue of INR2,066 crores and EBITDA of INR248 crores. The company faced significant headwinds from the West Asia conflict, which caused a sharp rise in crude prices (from $60 to $100/barrel) and logistics costs, impacting margins. Approximately 75% of raw materials are sourced from the U.S. Gulf Coast and 40% of business is export-oriented. However, management sees clear recovery signals: spreads have bottomed out, U.S. tariff reductions have restored competitiveness for Indian exports, and the India-EU FTA opens access to 1.8 million tons carbon black market. Customers are shifting to just-in-case inventory approach, driving incremental demand. The company added 90,000 tons capacity, reducing net borrowings by INR454 crores to INR4,536 crores despite funding INR750 crores capex. FY27 outlook includes high single-digit volume growth and double-digit EBITDA growth, with cost initiatives targeting INR200-250 crores savings over 4-6 quarters.