Platinum Industries Q2 FY27 results: net profit down 30.8% to ₹7.60 crore, revenue up 23.3%

How did Platinum Industries perform in Q2 FY27?

Platinum Industries reported consolidated revenue of ₹121.27 crore for Q2 FY27, up 23.3% from ₹98.38 crore in Q2 FY26, and up 11.3% from ₹108.94 crore in Q1 FY27. Total income rose 21.1% year on year to ₹124.04 crore and 10.0% from the previous quarter. EBITDA fell 20.3% from ₹13.58 crore a year ago and 19.4% from ₹13.44 crore in the previous quarter, with the margin narrowing 4.9 percentage points to 8.9% year on year and 3.4 percentage points sequentially.

Profit before tax fell 28.8% year on year to ₹10.52 crore from ₹14.78 crore and 29.6% from ₹14.95 crore in Q1 FY27. Profit after tax was ₹7.60 crore, down 30.8% from ₹10.98 crore a year ago and 31.7% from ₹11.13 crore in the previous quarter. Profit attributable to owners was ₹7.71 crore, against ₹11.59 crore a year ago, and basic EPS was ₹1.40 compared with ₹2.11 a year ago and ₹2.03 in the previous quarter. On a standalone basis, revenue was ₹119.99 crore and profit after tax was ₹7.84 crore.

What changed in Platinum Industries' costs and profit?

Total expenses rose 30.2% to ₹113.52 crore in Q2 FY27 from ₹87.17 crore a year ago, outpacing the 23.3% rise in revenue. Cost of materials was ₹76.64 crore, up 45.8% from ₹52.56 crore, while other expenses were ₹14.85 crore, up 54.0% from ₹9.64 crore. Employee cost rose 21.2% to ₹7.31 crore and depreciation rose 55.3% to ₹2.19 crore, while finance costs fell 7.2% to ₹0.90 crore.

Other income fell 32.0% to ₹2.78 crore from ₹4.09 crore a year ago. Tax was ₹2.92 crore, down 23.2% from ₹3.80 crore. The year-ago quarter included an exceptional charge of ₹0.52 crore, while Q2 FY27 had no exceptional item. Against the previous quarter, total expenses rose 16.1% to ₹113.52 crore, with other expenses up 42.1% to ₹14.85 crore, and other income fell 27.2% to ₹2.78 crore.

How did the first half of FY27 go?

In the first half of FY27, consolidated revenue was ₹230.2 crore, up 7.7% from ₹213.76 crore in H1 FY26. Total income rose 6.4% to ₹236.8 crore from ₹222.52 crore. Profit before tax fell 21.8% to ₹25.48 crore from ₹32.6 crore, and profit after tax fell 22.2% to ₹18.73 crore from ₹24.06 crore. Basic EPS was ₹3.43 compared with ₹4.43 in the first half of the previous year.

What do the balance sheet and cash flow show?

At 30 September 2026, total assets were ₹569.26 crore against ₹549.12 crore at 31 March 2026, and total equity was ₹470.47 crore against ₹455.09 crore. Borrowings were ₹2.38 crore compared with ₹3.4 crore. Cash and cash equivalents stood at ₹37.77 crore against ₹62.89 crore. Inventories rose to ₹91.03 crore from ₹67.24 crore, while trade receivables fell to ₹112.94 crore from ₹124.44 crore and trade payables rose to ₹78.2 crore from ₹71.97 crore.

For the first half of FY27, net cash from operating activities was ₹23.48 crore, against an outflow of ₹7.59 crore in H1 FY26. Investing activities recorded an outflow of ₹43.71 crore compared with an inflow of ₹11.12 crore, and financing activities recorded an outflow of ₹5.48 crore against an inflow of ₹8.63 crore. Capital expenditure was ₹54.88 crore in H1 FY27 against ₹19.7 crore in H1 FY26.

How has Platinum Industries done over the last 8 quarters?

Revenue reached a peak of ₹132.01 crore in Q4 FY26 before falling to ₹108.94 crore in Q1 FY27 and recovering to ₹121.27 crore in Q2 FY27. Profit after tax moved differently, rising to ₹14.84 crore in Q4 FY26, easing to ₹11.13 crore in Q1 FY27 and falling to ₹7.60 crore in Q2 FY27, the lowest in the eight quarters shown.

The EBITDA margin was 15.1% in Q3 FY26, the highest in the period shown, before falling to 11.6% in Q4 FY26 and 12.3% in Q1 FY27. It declined further to 8.9% in Q2 FY27, the lowest of the eight quarters listed, indicating a lower margin on the higher revenue recorded in the latest quarter.

What did the auditors point out?

PKF Sridhar & Santhanam LLP issued an Independent Auditor's Review Report with a Qualified Conclusion on the unaudited consolidated results for the quarter and half-year ended 30 September 2026. The reviewers stated that a review is substantially less in scope than an audit and that they do not express an audit opinion. The board approved the results on 4 November 2026 and said the limited review reports were submitted with the modified opinion.

The qualification relates to M/s. Platinum Polymers and Additives, a subsidiary, which had a fire on July 07, 2025 at its factory premises in Palghar, damaging certain property, plant and equipment and inventories. The partnership firm recognised an insurance claim receivable of Rs.98.19 million towards the estimated loss. As at September 30, 2026, the insurance survey and related procedures were still in progress. The reviewers said the claim receivable should have been recognised only upon acknowledgement of liability by the insurers and, without insurer confirmation, they were unable to determine whether adjustments were required to the carrying amount, so the conclusion was qualified in respect of this matter.

Apart from the possible effects of that matter, the reviewers said nothing had come to their attention that caused them to believe the accompanying statement had not disclosed the required information under Regulation 33 of the SEBI Listing Regulations or contained any material misstatement. The review report also stated that the interim results of three subsidiaries, with total assets of Rs.1215.10 million as at 30 September 2026, were reviewed by another auditor.

How did other Specialty Chemicals companies do?

Fifty-seven Specialty Chemicals companies filed results for this quarter, with a median revenue growth of 28.5% as on 5 November 2026, above Platinum Industries' revenue growth of 23.3%. Of the peers compared, 36 grew faster than the company and 21 grew slower. Profit was higher at 47 of the 53 peers whose profit was compared.