AFTER STOCK PRICE FALLING 50%, CAN PRINCE PIPE REVIVE IT'S PROFIT GROWTH ?

In FY25,

reported a 76% decline in PAT, 2% fall in revenue, and 50% drop in EBITDA margins. Last year, the stock price touched Rs 700 per share on the hope of India's booming housing sector, rural water supply push, and it's growing brand strength in plumbing solutions. One year later, the stock now trades at Rs 350 per share, recording a fall of about 50% as the company struggles through one of it's most challenging times. However, now the company has been expanding capacity, entering new segments like bathware, and doubling down on higher-margin products like CPVC pipes. In fact last quarter the company had set up a new state-of-the-art production capacity in Bihar, marking it as it's 8th plant in India. This expansion will streamline operations, reduce freight costs, and strengthen PPFL’s supply chain in eastern part of India. The question now is: Can the strategic move turn into a more diversified growth story or does this downturn signal deeper structural headwinds ? I guess one will have to wait and watch the performance of the next few quarters.