Pondy Oxides and Chemicals Limited has submitted its quarterly monitoring agency report for the period ended December 31, 2025, demonstrating full compliance with regulatory requirements for its preferential issue proceeds. The report, prepared by CARE Ratings Limited as the monitoring agency, covers the utilization of funds raised through the company's preferential issue totaling Rs. 132.50 crore.

Complete Utilization of Equity Share Proceeds

The monitoring report reveals that Pondy Oxides and Chemicals Limited has fully utilized the Rs. 50.00 crore raised through preferential issue of equity shares. The funds were deployed across three key areas as originally planned in the offer document.

Warrant Proceeds Utilization Progress

For the warrant component of the preferential issue, the company has made substantial progress in fund deployment. Out of the total Rs. 82.50 crore received from warrant proceeds, Rs. 69.81 crore has been utilized by the end of December 31, 2025.

During the quarter ended December 31, 2025, the company utilized Rs. 0.47 crore, with Rs. 0.28 crore transferred to vendor accounts and Rs. 0.19 crore transferred to current account for reimbursement of fixed asset purchases.

Investment of Unutilized Funds

The remaining Rs. 12.69 crore of unutilized warrant proceeds has been strategically invested in various mutual fund schemes to optimize returns while maintaining liquidity. The investments have shown positive performance with a total market value of Rs. 12.95 crore as of December 31, 2025.

Regulatory Compliance and No Deviations

The monitoring agency report confirms that Pondy Oxides and Chemicals Limited has maintained full compliance with all regulatory requirements. Key compliance highlights include:

• No deviations from the objects stated in the offer document
• All government and statutory approvals related to the objects have been obtained
• No material deviations observed compared to earlier monitoring agency reports
• All fund utilization is in accordance with disclosures made in the offer document

The report was prepared based on bank statements, chartered accountant certificates from L. Mukundan & Associates dated January 21, 2026, and management confirmations. CARE Ratings Limited, serving as the monitoring agency under Regulation 32 of SEBI regulations, has provided an objective assessment of the fund utilization without identifying any concerns or irregularities in the deployment of preferential issue proceeds.

Pondy Oxides & Chemical has delivered its strongest ever quarterly performance in Q3FY26, demonstrating exceptional growth across all key financial metrics. The company held its earnings conference call on January 29, 2026, where management highlighted record-breaking results driven by disciplined execution and operational efficiency improvements.

Outstanding Financial Performance

The company achieved remarkable financial results for the third quarter, with substantial improvements in both revenue and profitability metrics. The performance reflects strong operational management and effective capacity utilization across business segments.

Nine-Month Performance Highlights

On a nine-month basis, the company demonstrated consistent growth momentum with revenue, EBITDA, and PAT increasing by 33%, 96%, and 114% year-on-year respectively. Total nine-month revenue reached ₹2,007 crores, supported by substantial growth in production and sales volumes across lead and copper business segments.

Operational Excellence and Capacity Expansion

The company commissioned its second phase lead expansion project in December 2025, adding 36,000 metric tons per annum capacity. Total lead capacity increased from 132,000 metric tons per annum in FY25 to 204,000 metric tons per annum, representing over 50% growth. Lead production increased by 57% year-on-year to 33,271 metric tons in Q3, with EBITDA per ton reaching ₹17,427.

Strategic Business Developments

Export sales contributed 67% of total revenue, reflecting the company's growing global presence and customer confidence. Value-added products accounted for 65% of lead segment revenue on a nine-month basis, supporting the long-term target of achieving over 60% contribution from value-added products. The copper recycling capacity is set to double from 6,000 metric tons per annum to 12,000 metric tons per annum by end of January 2026.

Future Growth Outlook

Management remains aligned with its Target 2030 vision, focusing on delivering 20% plus volume growth and maintaining EBITDA margins above 8%. The company plans to expand into adjacent non-ferrous segments while targeting over 60% revenue contribution from value-added products and 20% plus reduction in energy consumption.