📉 PG Electroplast Reports Challenging Q4FY26 Amid Industry-Wide Headwinds

PG Electroplast Ltd. (PGEL), one of India’s leading EMS & ODM players, reported a weak Q4FY26 performance as the company faced multiple operational, macroeconomic, and supply-chain disruptions impacting its Room AC business. 🔹 Q4FY26 Performance • Revenue stood at ₹1,716.7 Cr, down 10.1% YoY • EBITDA declined 43.2% YoY to ₹131.5 Cr • Net Profit came in at ₹64.2 Cr versus ₹146.4 Cr in Q4FY25 🔹 FY26 Performance • Revenue increased 8.6% YoY to ₹5,288 Cr • EBITDA fell 14.9% YoY to ₹441.8 Cr • Net Profit declined 33.5% YoY to ₹193.6 Cr ⚠️ Key Challenges Faced During the Quarter • Early monsoon impacted Room AC demand during peak season • BEE rating transition led to inventory adjustments across channels • LPG shortages due to Gulf conflict impacted March production • Logistics bottlenecks delayed dispatches into April • Raw material inflation and rupee depreciation pressured margins • Forex loss stood at ₹38.8 Cr in FY26 against a gain last year 📊 Segment Highlights • Product business contributed 82.2% of quarterly revenue • Room AC revenue declined 12% YoY • Washing Machine segment delivered strong 70% YoY growth • JV business Goodworth Electronics reported strong EBITDA improvement 🏗 Expansion & Future Outlook Despite near-term pressure, PGEL continues to strengthen its manufacturing ecosystem: • Refrigerator manufacturing plant under development at Sri City • Rotary compressor facility at Supa expected by Q4FY27 • Management remains optimistic on long-term growth, operational efficiency, and backward integration opportunities The company believes current challenges are temporary and expects demand normalization alongside improved operational efficiencies in the coming quarters. ⚠️ Disclaimer: This post is for educational and informational purposes only and should not be considered investment advice. Investments in securities markets are subject to market risks.