Finolex Industries Q2 FY-25 Financials: Revenue Down 6%, PAT Down 59% YoY

Finolex Industries Limited [NSE: FINPIPE, BOM: 500940], an Indian manufacturer of PVC pipes and fittings, has announced its financial results for Q2 FY-25.

Finolex Industries’ Q2 FY-25 Standalone Financial Figures

On a standalone basis, the company reported a revenue of Rs. 828.43 crore from operations and a corresponding Profit After Tax (PAT) of Rs. 51.44 crore for Q2 of FY-25.

Finolex Industries’ Consolidated Financial Performance for Q2 of FY-25

YoY Comparison of Finolex Industries’ Financials: Q2 FY-25 vs. Q2 FY-24

For Q2 of FY-25, Finolex Industries’ consolidated revenue from operations stood at Rs. 828.43 crore against Rs. 883.15 crore for Q2 of FY-24. This reflects a Year-over-Year (YoY) decrease of 6.20% in company’s Q2 FY-25 revenue.

The company’s Q2 PAT plummeted by 58.48% YoY to Rs. 40.67 crore in FY25 from Rs. 97.96 crore clocked during FY24. Correspondingly, Finolex’s Earnings Per Share (EPS) dipped to Rs. 0.66 in Q2 of FY-25 from Rs. 1.58 during Q2 of FY-24.

QoQ Comparison of Finolex Industries’ Financial Numbers: Q2 FY-25 vs. Q1 FY-25

On a Quarter-over-Quarter (QoQ) basis, Finolex Industries exhibited a decrease of 27.36% in revenue, from Rs. 1,140.49 crore clocked in Q1 of FY-25. The company’s PAT witnessed a 91.88% drop from Rs. 500.73 crore PAT recorded during Q1 of FY-25.

Finolex Industries’ Segment-Wise Revenue Comparison

PVC Resin: Finolex Industries’ PVC Resin segment reported Rs. 308.49 crore as its revenue during Q2 of FY-25 against a revenue of Rs. 297.85 crore in Q2 of FY-25. Therefore, the revenue from this segment jumped by 3.57% on YoY basis.

The company mentioned in its investor presentation that Q2 volume of sales of its PVC Resin business jumped by 7% YoY during FY-25.

PVC Pipes and Fittings: Finolex Industries earned a revenue of Rs. 819.60 crore from its PVC Pipes and Fittings business during Q2 of FY-25, representing a YoY decrease of 4.38% from Rs. 857.15 crore logged from this segment for Q2 of FY-24.

PVC Pipes and Fittings segment contributed 72.65% to the company’s gross revenue* during Q2 of FY-25.

*Gross revenue refers to the sum of segmental revenues before the deduction of inter-segmental revenue.

As per Mr. Prakash P. Chhabria, Executive Chairman, Finolex Industries Limited said “FIL [Finolex Industries Ltd.] has registered robust Pipes & Fittings demand in volume terms during the quarter”. The company’s volume of sales from its PVC Pipes and Fittings business increased by 10% to 69,341 Metric Tonne (MT) during Q2 of FY-25 against 62,914 MT in Q2 of FY24.

Finolex Industries’ Capital Expenditure Plans

Finolex Industries’ Brownfield Expansion Plans

Finolex Industries is expanding its pipes manufacturing capacity at its factories in Masar, Gujarat and in Ratnagiri, Maharashtra. The company will invest about Rs. 100 crore to Rs. 150 crore for these expansions. Through these expansions, the company is expected to add 40,000 Metric Tonne Per Annum (MTPA) to 50,000 MTPA of capacity at these plants. As of now, Finolex Industries’ cumulative pipes manufacturing capacity stands at about 4.2 lakh MTPA .

This expansion is expected to be completed by Q4 of FY-25.

Finolex Ind. to Build Greenfield Plant for Pipes Segment

Finolex Industries is also setting up a new manufacturing plant for its pipes segment with a manufacturing capacity of over 1,00,000 metric tons. However, the company has not disclosed the location for this plant. Finolex Industries will invest about Rs. 300 crore to Rs. 400 crore for this. The company will take about 18 months for setting up this plant.

About Finolex Industries Limited: Finolex Industries Ltd. is a part of the Finolex Group, which was founded in 1958 by Mr. Pralhad P. Chhabria. The company has three manufacturing facilities, which are located at Ratnagiri and Urse in Maharashtra, and at Masar in Gujarat. Finolex Industries has a network of about 900 dealers across India.