Pondy Oxides Reports Record Q2 Performance with 84% EBITDA Growth

Pondy Oxides & Chemical has delivered its strongest quarterly and half-yearly performance in Q2, marking significant growth across key financial metrics. The company's focus on operational efficiency and value-added products has resulted in substantial improvements in revenue, EBITDA, and profit after tax (PAT).

Financial Highlights

Metric	Q2	YoY Growth	H1	YoY Growth
Revenue	₹635.00 crores	11%	₹1,231.00 crores	22%
EBITDA	₹55.00 crores	84%	₹98.00 crores	83%
PAT	₹36.00 crores	105%	₹63.00 crores	98%
EBITDA Margin	8%+	-	8%+	-

Operational Performance

Lead production increased by 8% year-on-year to 50,475 metric tons on a half-yearly basis.
EBITDA per tonne of lead rose by 62% to ₹19,970 in Q2.
Value-added products comprised 70% of lead segment revenue.
Exports contributed 61% of total revenue.

Strategic Developments

Capacity Expansion

Phase-1 of lead capacity expansion at Thervoy Kandigai plant operated at 50% utilization during Q2.
Phase-2 commissioning planned for the second half.

Financial Position

Achieved zero net debt with a ₹71.00 crores net cash position.

Future Outlook

Targeting to maintain 8%+ EBITDA margins.
Plans ₹35.00 crores CAPEX in the second half for expansion projects.

Management Commentary

During the earnings call, Ashish Bansal, Managing Director of Pondy Oxides & Chemical, stated, "POCL has delivered its strongest ever quarterly and half yearly performance, driven by disciplined execution and operational efficiency. Crossing the 8% EBITDA margin is a significant milestone in our journey of sustained value creation, reaffirming our focus on value-added products, process efficiencies, and profitability enhancement."

The company's strategy focuses not only on scale but also on resilience, with a deep emphasis on operational efficiencies through innovation and modernization. Pondy Oxides & Chemical aims to derive over 60% of its revenue from value-added products and is targeting a 20%+ reduction in energy consumption, underscoring its commitment to operational efficiency and environmental stewardship.

With a clear strategic roadmap, strong financial health, disciplined operations, and continued stakeholder support, Pondy Oxides & Chemical appears well-positioned for consistent long-term growth in the recycling and metal processing industry.

As the company continues to expand its capacities and explore new verticals, investors will be keen to watch how it maintains its growth trajectory and margin profile in the coming quarters.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.82%	-2.15%	-5.56%	+64.99%	+43.70%	+654.34%

Pondy Oxides & Chemical (POCL), a leading recycling and manufacturing company in India, has outlined an ambitious growth strategy aimed at achieving double-digit volume and EBITDA growth through 2030. The company's plan focuses on capacity expansion, value-added metal recycling, and global diversification to drive long-term sustainability.

Strong Financial Performance in Q2 and H1 FY26

POCL has reported robust financial results for the second quarter and first half of fiscal year 2026, demonstrating significant growth across key metrics:

Metric	Q2 FY26	YoY Growth	H1 FY26	YoY Growth
Revenue	₹635.00 Cr	11%	₹1,231.00 Cr	22%
EBITDA	₹55.00 Cr	84%	₹98.00 Cr	83%
PAT	₹36.00 Cr	105%	₹63.00 Cr	98%
EBITDA Margin	8.70%	Up from 5.20%	8.00%	Up from 5.30%
PAT Margin	5.60%	Up from 3.00%	5.10%	Up from 3.20%

The company's performance was driven by increased production, sales, and realizations in both Lead and Copper segments.

Operational Highlights

Lead production increased by 8% YoY to 50,475 MT in H1 FY26
Lead sales grew by 3% YoY to 47,408 MT in H1 FY26
EBITDA per ton of Lead rose significantly by 48% YoY to ₹18,510 in H1 FY26
Copper sales saw a remarkable 15-fold increase to ₹172.00 Cr on a half-yearly basis

Strategic Initiatives

Capacity Expansion

POCL is expanding its lead production capacity by 72,000 MTPA at its Thervoykandigai plant. The first phase of 36,000 MTPA commenced commercial production in Q1 FY26, with the second phase expected to be commissioned by H2 FY26.

Target 2030 Vision

The company has laid out a well-defined roadmap for sustainable growth and diversification, focusing on:

Delivering over 15% volume growth
Maintaining a 20%+ revenue CAGR and profitability growth
Achieving EBITDA margins above 8%
Attaining ROCE exceeding 20%
Driving more than 60% of revenue from value-added products
Reducing energy consumption by over 20% to lower carbon footprint

R&D and Value Addition

POCL is planning to set up R&D facilities to create value-added products for both its current portfolio and new products that will enhance overall value.

Financial Health and Future Outlook

The company's balance sheet has strengthened, achieving zero net debt and holding a net cash balance of ₹71.00 Cr. POCL has invested ₹14.00 Cr in Capex during H1 FY26 and plans to invest an additional ₹35.00 Cr in the second half of the year.

Mr. Ashish Bansal, Managing Director of POCL, commented on the results: "POCL has delivered its strongest-ever quarterly and half-yearly performance, driven by robust operational execution. We remain firmly on track to realize our Target 2030, focusing on capacity expansion, 15%+ volume growth, 20%+ revenue CAGR, enhanced profitability, and an increased share of value-added products."

With a clear strategic roadmap, strong financial health, disciplined operations, and a favorable regulatory environment, POCL appears well-positioned for consistent, long-term growth in the recycling and manufacturing sector.