KRITI INDUSTRIES (INDIA) LTD (NSE: KRITIIND) Q3 2026 Earnings Call dated Feb. 10, 2026
Corporate Participants:
Shiv Singh Mehta — Chairman and Managing Director
Rajesh Sisodia — Chief Financial Officer
Ronak Osthwal:
Analysts:
Praneeth: — Analyst
Heli Shah: — Analyst
Aman Metha: — Analyst
Harsh Mittal: — Analyst
Tanish Jhaveri — Analyst
Devansh Jain: — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to the Kriti Industries India Limited Q3 and 9 months FY26 earnings conference call hosted by Arihan Capital Markets Limited. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star then zero on your touchtone phone. Please note that this conference has been recorded. I now hand the conference over to Ms. Ronak Oswal. Thank you. And over to you ma’.
Ronak Osthwal:
Am. And welcome everyone. On behalf of Aryans Capital, we invite you to Kriti Industries India Limited Quarter 3 and 9 months FY26 earning earnings conference call. From the management side we have Mr. Shiv Singh Mehta sir, Chairman and Managing Director of the company and Mr. Rajesh Sisodia sir, CF of the company. So without any further delay I will hand over the call to the management for their opening remarks. Over to you sir.
Shiv Singh Mehta — Chairman and Managing Director
Thank you. Good afternoon and welcome to the earnings call for quarter three and nine months ended on 31st December 25th of Kriti Industries India Limited during the month of November 2025 earning calls. We had informed you that impact of heavy and extended rains has impacted overall sales of the company during this period. Certainly it had also impacted Q2 and Q3 and it has resulted in overall performance during this period. Agri sales are down by 30% in Q3 and 17% in preceding nine months on year on year basis respectively. Now sales are recovering and we hope to better in Q4 of the financial year 2025 26.
I’ll now hand over the call to our CFO Mr. Rajesh Sisodia to take you through the financial highlights.
Rajesh Sisodia — Chief Financial Officer
Thank you very much sir. Good afternoon everyone. Let me take you through the company’s financial performance on a consolidated basis for the period under review. The revenue for the quarter is INR 135.79 crores reflect 35% decrease on year on year basis. At the EBITDA level the company reported a profit of 6 crores compared to a loss of 1.4 crores in the corresponding period last year. The net loss for the quarter is INR 2.51 crores including exceptional item of Rs. 77 lakhs on account of new labour code. For nine months of this financial year revenue is at INR 445.58 crores.
A decline of 24% on year on year basis. While EBITDA is INR 17.82 crores translating into an EBITDA margin of 3.73%. At the PVT label the company reported a loss of 5.98 crores. With that, I open the floor for a question and answer session.
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchstone telephone. If you wish to remove yourself from the question cue, you may press star and two participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. We take the first question from the line of Praneet. An individual investor. Please proceed.
Praneeth: — Analyst
Hi, thank you for the opportunity management. So first I’d like to ask about the overall manufacturing plan strategy. I understand that we have one plan with multiple depots. So exactly how are we planning on expanding our presence? Especially pipes is an industry where you cannot transport plays a huge factor in terms of our presence and our access to multiple geographies. How does the management see expanding or transitioning? Could you just explain the strategy behind it?
Shiv Singh Mehta — Chairman and Managing Director
As we have been maintaining that till the time critical volumes develop in any region we will not go multilocation. And as this year was a year of setback because of rains we would like to watch another quarters, couple of quarters our markets in new territories grow and accordingly we will take a call thereafter.
Praneeth: — Analyst
But so basic. So in terms of depots, are we planning on expanding our depots? And with the depot, how from the depot, what is the geography we can service? Because let’s say if we have it somewhere close to one geography till what location can we service?
Shiv Singh Mehta — Chairman and Managing Director
In building material it’s easier because the transportation cost is affordable. While in agriculture large transportation costs are little difficult to absorb. So still we are working on both CNF as well as depot model and we are which are operative and we will continue to do that. We are already seeding certain markets as and when the quality quantitatively these markets evolve to a level where we see a potential of putting up a local plant. It is already on the consideration side based on the realization of those numbers.
Praneeth: — Analyst
So what can be a tentative timeline and which geography you think will put up this tentative plant?
Shiv Singh Mehta — Chairman and Managing Director
You see, as I said, this year was a year of setback because of a consistent raise. So we will be looking at it after we are sure that things are back on track which we hope we will be able to see in coming one or two quarters. So we’ll take a call after one or two Quarters based on our own business successes in different areas.
Praneeth: — Analyst
Understood. And I understand that with according to previous commentary that you’re slowly winding reducing the amount of exposure to the industrial business. So in terms of the green shoots for the building products, could you explain what’s been the updates and what’s. How has the company overall been growing and transitioning? How do you see the response and all of that? Because. Because we still have a small contribution and especially with the initial initials DE growing our revenue seems suppressed than it actually is. Even despite it being an intentional thing. Could you explain how the building product is going to compensate for that loss and further other factors that that particular business unit.
Shiv Singh Mehta — Chairman and Managing Director
As I told in the last earning call that our business shrank because of continuous range right from May till end October. This time we also saw that those dealers who were engaged in building product were also impacted because they were parallel dealerships. Now we have seen that and we have revised our plan and we are seeing the green shoots as far as building quality is concerned in last couple of months with the new strategy we are doing reasonably okay as per our plans. So we are on track it looks like to us.
Praneeth: — Analyst
Got it. And the industrial, when do you see it completely winding down? What is the forecast for the industrial segment?
Shiv Singh Mehta — Chairman and Managing Director
You see industrial product business as such we are not very keen because you see the issue with the most of the EPC contractor is their payment cycle because they are in turn dependent upon the contracts they get. And our experience shows that when and how payment situation deteriorates is difficult to predict. So we are very careful and conscious not to increase our exposure. We will focus more on our retail markets where we are already strong and have a good brand presence.
Praneeth: — Analyst
But do we expect it to further go down from the existing levels?
Shiv Singh Mehta — Chairman and Managing Director
No, no. We will not really look towards industrial products and business and expand beyond a limit. That’s what we have been maintaining. 100, 150 crores is the maximum. We are not looking more than that anytime.
Praneeth: — Analyst
Okay. So the existing level will remain continuous. It won’t grow and it won’t go below that.
Shiv Singh Mehta — Chairman and Managing Director
We will not do it.
Praneeth: — Analyst
That got understood. And in terms of agri pipes, how has demand shifted? Because you see your other number, your competitor peers numbers. The numbers have been quite promising if you see supreme. So just wondering how are we in our market share or they’re taking market share from us and how are we growing? Because there’s been a positive momentum with the end of December and starting of Jan. So I was wondering how has the company experienced this positive momentum?
Shiv Singh Mehta — Chairman and Managing Director
You see, our major presence is in the central India where mp, Rajasthan, Maharashtra. So these areas have degrown because of consistent rains. And we are not present in other parts of country where the impact was not that much for us. These areas constitute majority of our business. And this area was impacted usually because of the rains for all the companies as I understand. So we were impacted more in terms of overall sales. But if you look at the market share, we have a belief that we have been able to maintain or maybe slightly improve our market share when there was no shortage of pipe from our side in the market.
Praneeth: — Analyst
But is there a positive momentum in our existing markets or. The momentum didn’t start yet. I’m more curious about that because we.
Shiv Singh Mehta — Chairman and Managing Director
Are seeing that there is an improvement already. But we are very hopeful going forward because the raw material prices as they stand today, it’s a much more affordable level of pipe than what it used to be earlier. Number two, with the adequate water, the water bodies have adequate water for the coming crop seasons. So there should be a positive feeling in the customers that is farmers to buy more pipes this time.
Praneeth: — Analyst
And regarding one more thing is cancellation of your warrants. What was the reason? Like why did the investor us cancel the warrants? Did they give any guidance or do you have any particular reason?
Shiv Singh Mehta — Chairman and Managing Director
So I presume the share prices were down and they must have impacted the decision of the subscribers of the warrant.
Praneeth: — Analyst
But have they given you any insight or the prior notification? Like why is there a reason or you’re just assuming at this point of time?
Shiv Singh Mehta — Chairman and Managing Director
Assuming because we don’t, I mean give any guidance or any kind of information to a prospective investor. We only communicate through such earning calls.
Praneeth: — Analyst
Understood. And regarding the CFO changes, I understand that now it’s been the same but like in the past, like four or five years, there’s been transition from 2018 there’s been transition of two, three people. I was just wondering what was the reason behind it?
Shiv Singh Mehta — Chairman and Managing Director
You see, I don’t see any reason but for the sake that they must have found better opportunities for themselves or we might not have been able to give them that kind of opportunity. But as you would know, Rajesh is here with us for some time. He was here before and he is again here with us.
Praneeth: — Analyst
Okay, so understood. So what are the op? They were not. Got it. So do you think we expect to any change? Because CFOs changing in a short duration that repeatedly is not really appreciated easily. Investors are just curious.
Shiv Singh Mehta — Chairman and Managing Director
He’s here for now 3, 4 years without any break in between.
Praneeth: — Analyst
Understood. Thank you. So much for your patient answer. That’s it. From my side. Thank you.
operator
Thank you. Before we proceed with the next question, a reminder to the participants. In order to ask a question you may press star N1 on your Touchstone telephone. We take the next question from the line of Hayley Shah, an individual investor. Please proceed.
Heli Shah: — Analyst
Good afternoon sir. I would ask few questions. The first is the company has forfeited shares due to non repayment. Could you please confirm that? Is this accounting treatment applied in equity or rooted through the statement of profit and loss?
Shiv Singh Mehta — Chairman and Managing Director
I’m not very clear about your question. Rajesh, can you answer this question?
Rajesh Sisodia — Chief Financial Officer
So madam, in this case the fortunate amount is in the form of reserve as added to the equity.
Heli Shah: — Analyst
Okay, sir. So the my next question is. Volumes in the agriculture segment falls. Can you explain the demand drivers below? How was this, why there was this fall and how the demand trend for next quarter and FY27 is seem to be.
Shiv Singh Mehta — Chairman and Managing Director
As we had explained, quarter two and quarter three were impacted by continuous sustained rainfall much above normal course both in terms of quantity and period of time. So most of the irrigational requirements were met through rainfall. That’s why there was a depletion in demand during this period. Going forward, as I was telling to the earlier call that. Yes, we are quite hopeful at the current prices and looking to the availability of water in water bodies. We are quite positive and hopeful for a better season.
Heli Shah: — Analyst
Okay, sure. So the next question is which segment do you expect to recover first?
Shiv Singh Mehta — Chairman and Managing Director
No, we are expecting both on BP and Agri. A recovery.
Heli Shah: — Analyst
Okay, sir. Thank you. That’s it for myself.
operator
Thank you. We take the next question from the line of Aman Mehta, an individual investor. Please proceed. I would request Mr. Aman to mute and then speak.
Aman Metha: — Analyst
Hello. Yes, hi. Good afternoon. So just my one first question is.
Shiv Singh Mehta — Chairman and Managing Director
Going forward, your voice was breaking. I couldn’t get you clearly.
Aman Metha: — Analyst
So my question is. I’m audible.
Shiv Singh Mehta — Chairman and Managing Director
Yeah, you are audible. But his voice is breaking in between.
Aman Metha: — Analyst
Okay, so please tell me if it’s breaking or not. So the question is, does the company have any plans to expand distributed network going forward?
Shiv Singh Mehta — Chairman and Managing Director
Yes, we are expanding our distributed distribution and we are continuously at it.
Aman Metha: — Analyst
Okay, so is there any like state wise market share data that company can share?
Shiv Singh Mehta — Chairman and Managing Director
You see, there is no formal data of market share. But in our main territories which is mp Rajasthan and Maharashtra, we are quite well placed and we have a reasonably good market share and which we are holding on to.
Aman Metha: — Analyst
So can you please quantify it?
Shiv Singh Mehta — Chairman and Managing Director
Exact numbers are difficult to find because there is no official data. On exact market shares. But we are the predominant brand in our areas where we enjoy fairly good market share.
Aman Metha: — Analyst
Okay, so and what would be the growth trajectory and the EBITDA market we can expect over the medium?
Shiv Singh Mehta — Chairman and Managing Director
You see, industry will continue to grow as per anticipated numbers at the rate of 7% and we hope to better this number as compared to industry average.
Aman Metha: — Analyst
Okay, so. So the growth would be 7 plus x percentage.
Shiv Singh Mehta — Chairman and Managing Director
Yes, we are very hopeful on that.
Aman Metha: — Analyst
Okay sir, understood, understood. Thank you.
operator
Thank you. We take the next question from the line of Harsh Mittal, an individual investor. Please proceed.
Harsh Mittal: — Analyst
So I have two questions. First question is so what has been the inventory related impact or loss if any during the period see this quarter.
Shiv Singh Mehta — Chairman and Managing Director
There was not much impact of inventory prices were more or less within a small range. And I it will be marginal impact which is difficult to calculate but not major impact.
Harsh Mittal: — Analyst
One more question. So what is the company’s PVC resin sourcing strategy including domestic versus imported procurement?
Shiv Singh Mehta — Chairman and Managing Director
You see domestic you have regular available quantities as per your contracts. In addition to that we have to buy almost about 60% from outside.
Harsh Mittal: — Analyst
Okay, thank you so much.
operator
Thank you. Before we proceed with the next question, a reminder to the participants in order to ask a question you may press star and one on your touch tone telephone. We take the next question from the line of Praneet, an individual investor. Please proceed.
Praneeth: — Analyst
Thank you for the follow up. SO one a question regarding the inventory losses along with SO over the last two three years. What kind of inventory loss have we experienced let’s say in the last three years? Could management give some light on that?
Shiv Singh Mehta — Chairman and Managing Director
You see last three years we had very, you know, volatile material cycles and there was a quite heavy losses on account of inventory in few quarters. But current quarter as I was telling earlier we don’t see much loss in the Q3, 20, 25, 26 and exactly recall at the moment.
Praneeth: — Analyst
The reason I ask is because if most since the prices have already corrected so much it’s not likely going to be a future scenario. So for us to estimate or understand the margins going forward we would like to understand like what has been the case in the past that led to the depressed earnings versus what is going to be a green shoot in the future. That’s the reason I ask if you can give some estimated number at least.
Shiv Singh Mehta — Chairman and Managing Director
You see you will see that even during last couple of weeks prices of raw materials started moving up. There been a improvement in prices because of those international prices. There were lot of discomfort for raw material manufacturers who are making the basic raw material. And I think the correction has set in already.
Praneeth: — Analyst
Understood. But could like any possibility of giving a tentative amount of loss at least last year by any chance.
Shiv Singh Mehta — Chairman and Managing Director
Last year we had fairly exact number Will difficult. I’ll ask Rajesh to communicate separately. If you can get in touch with him, he’ll be able to give you a grant.
Praneeth: — Analyst
Yeah, sure, I’ll get in touch with him. And one last question is regarding. I understand the forecast of reaching thousand crores by the end of 2829. Do we still stick to that guidance or do we expect to grow a little faster than that?
Shiv Singh Mehta — Chairman and Managing Director
We will try to grow faster than 2829, still two years away. So we will certainly like to do better than that.
Praneeth: — Analyst
Okay, so the idea is to cross the thousand crore marker 28, right? Yes, got it. Understood. Thank you so much. That’s it. From my side.
operator
Thank you. We take the next question from the left. Tanish the very from Boring amc please proceed.
Tanish Jhaveri — Analyst
Hi, yeah, I would like to know how the demand shaping up currently and are we seeing any uptick in the PVC prices? Because we understand that they had bottomed out recently. If you can add some color on it. And when we can also see a double digit kind of operating margin going ahead.
Shiv Singh Mehta — Chairman and Managing Director
See the prices of resin have already started correcting in month of last month and this month even our local producers have increased prices three times. So prices are looking up. Number two, as far as demand forecast with this kind of scenario where prices already bottomed out A when water bodies are full of water and we clearly see that going forward there should be a better demand projection.
Tanish Jhaveri — Analyst
Okay, so when can we expect like a double digit operating margin? Like we are now sitting at a low single digit. So when can we see something like 10%, 11% that we did last year in 2021.
Shiv Singh Mehta — Chairman and Managing Director
See first let us target closer to 10%. Then we can think about getting into double digit. So first, because making any forecast without any substantive ways would be not right, let’s prove a quarter or two. Where do we stand? We’ll try to inch closer to 10% first and then we’ll go and improve upon that.
Tanish Jhaveri — Analyst
Okay. And also I wanted to understand more on the CPVC side. How was that demand now picking up? Because I think we had a degrowth last quarter. Have you seen any kind of an uptick?
Shiv Singh Mehta — Chairman and Managing Director
Now you see, as I had mentioned earlier, building material are showing positive movement and we hope to see quarter on quarter improvement on building material that will be reflected in our results going forward.
Tanish Jhaveri — Analyst
Okay, yeah, thank you. That’s it. From my side.
operator
Thank you. We take the next question from the line of Devansh Jain from Eternal Capital. Please proceed.
Devansh Jain: — Analyst
Yeah, hi. Thank you so much for the opportunity. So I just wanted to understand more on the competition front and is the company facing any heightened competition from large scale manufacturers as such?
Shiv Singh Mehta — Chairman and Managing Director
I couldn’t get you a later part of the question. First question was about the competition. What is the. Can you repeat?
Devansh Jain: — Analyst
Yeah, so I was just asking are you facing any specific competition from the large scale manufacturers?
Shiv Singh Mehta — Chairman and Managing Director
You see, our product in our areas sells as a branded product which hits its own demand. So here we are, the leaders in our area where we are normally ahead of anyone else in both pricing as well as demand.
Devansh Jain: — Analyst
Okay, understood. And sir, any plans to increase the capacity in the foreseeable future?
Shiv Singh Mehta — Chairman and Managing Director
See, because we had a bad run in last two, three quarters, we will first observe for a quarter or two and then decide on further expansion of capacities.
Devansh Jain: — Analyst
Okay, got it. Thank you so much sir. That clears a lot.
operator
Thank you. Participants, in order to ask a question you may press star and one on your touchstone telephone. We take the next question from the line of Tanish from Boring amc. Please proceed.
Tanish Jhaveri — Analyst
Yeah, hi, just to one more question that I had. So we had our warrants cancelled, right? So any like vision from the promoters to infuse equity in another form or any fundraising plan by the company like.
Shiv Singh Mehta — Chairman and Managing Director
Invokes anything immediate need of any funds and as and when required, promoters will not hesitate to do whatever is required.
Aman Metha: — Analyst
Okay, sure.
Tanish Jhaveri — Analyst
Thank you.
operator
Thank you. Participants, in order to ask a question you may press star and one on your touchstone telephone. Reminder to the participants, in order to ask a question you may press star and one. As there are no further questions from the participants, I would now like to hand the conference over over to the management for closing comments.
Shiv Singh Mehta — Chairman and Managing Director
Thank you all for participating in this earning conference call. I hope we have been able to answer your questions to your satisfaction. If you have any other questions you may contact company or through IR managers at Valorum Advisors. Thank you so much.
operator
Thank you. On behalf of Arihan Capital Markets Ltd. That concludes this conference. Thank you for joining us and you may now disconnect your lines.