Prince Pipes and Fittings Ltd (NSE: PRINCEPIPE) Q1 2026 Earnings Call dated Aug. 07, 2025
Corporate Participants:
Unidentified Speaker
Parag J. Chheda — Joint Managing Director
Anand Gupta — Chief Financial Officer
Nihar Chheda — Vice President Strategy
Analysts:
Unidentified Participant
Sumeet Khaitan — Analyst
Shravan Shah — Analyst
Sneha Talreja — Analyst
Keshav Lahoti — Analyst
Pranav Mehta — Analyst
Udit Gajiwala — Analyst
Meet Jain — Analyst
Utkarsh Nopany — Analyst
Tushar — Analyst
Arun — Analyst
Presentation:
operator
Ladies and gentlemen, good day and welcome to the Q1FY26 earnings conference call of Prince Pipes and Fittings Limited hosted by Musg in Time. 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 this conference call, please signal an operator by pressing Star then zero on your touch tone phone. Please note that this conference is being recorded. I now hand the conference over to Mr. Sumit Khetan from MUFG in time. Thank you. And over to you, sir.
Sumeet Khaitan — Analyst
Good morning everyone. I welcome you all to the earnings conference call to discuss Q1FY26 results of Prince Pipes and Fittings Ltd. To discuss the result we have from the management, Mr. Parag Chera, Joint Managing Director, Mr. Nihar Chera, Vice President Strategy and Mr. Anand Gupta, Chief Financial Officer. They will take you through the results and the business performance after which we will proceed for Q and A session. Before we proceed with the call, I would like to mention that some of the statements made in today’s call may be forward looking in nature and may involve risk and uncertainties.
For more details, kindly refer to investor presentation and other filings that can be found on the company’s website. With this, I now hand over the call to the management for their opening remarks. Over to you, sir.
Parag J. Chheda — Joint Managing Director
Thank you Sumit. Good morning and thank you all for joining us for our quarter one FY26 financial results. The presentation and the press release have been issued to the stock exchanges and uploaded on our website. I hope everyone has been able to go through the same. FY25 unfolded against a backdrop of considerable macroeconomic headwinds. The year was defined by by persistent inflationary pressures, subdued demand across core end user segments and a marked reduction in government infrastructure spending. These factors triggered caution inventory optimization by our channel partners in key markets. Amplifying these challenges was the heightened volatility in PVC resin prices which exerted pressure on both volume growth and profitability across the industry.
As we stepped into quarter one of FY26, the challenging demand environment persisted. The sharp correction in PVC resin prices led to inventory losses in the trade channel which temporarily compressed our margins. Despite these headwinds, our volumes registered a 4% YoY increase to 43,735 metric tonnes. While revenue degrew by 4% YoY reflecting the impact of a weaker realization arising from price fluctuations. In response to this challenging backdrop, we maintained a clear focus on reinforcing operational resilience and executing our long term strategic priorities. Our deliberate efforts to enhance brand visibility, deepen the channel engagement and accelerate marketing initiatives are beginning to translate into tangible volume led growth.
On the brand building front, we are expanding our consumer touch points across high visibility travel corridors. Our collaboration with Indian Railways for branding in premium trains has significantly strengthened our presence on one of India’s most prestigious and widely viewed transport networks. These initiatives ensure that our brand is both visible and relatable to consumers wherever they travel. Simultaneously, we are executing planned capital expenditure to support our growth ambitions. Our eighth manufacturing facility in Bihar which commenced operations last quarter continues to operate efficiently. The phase two expansion at this plant is progressing on schedule and is expected to be completed by Quarter 2 FY26, further augmenting our capacity to serve emerging markets.
Innovation continues to be a cornerstone of our strategy. We remain focused on enhancing our product portfolio with innovative offerings while simultaneously strengthening our distribution network across regions. I am pleased to share that our. Bathware segment Aquil has now expanded in the south region following successful launches in the north and West. In addition, we have set up dedicated teams in the east reinforcing our ability to penetrate new markets effectively. We believe these strategy initiatives will further accelerate our our growth momentum and contribute meaningfully to delivering sustainable value for all our stakeholders. Looking ahead, we are optimistic about a gradual recovery in demand supported by the government’s renewed thrust on infrastructure spending. Our strategic focus on geographical expansion, product innovation and operational excellence position us well to navigate near term market uncertainties and capture long term growth opportunities.
In conclusion, despite external headwinds, we are confident that our strong fundamentals, diversified product portfolio and customer centric approach position us well for sustained long term growth. Thank you for your time. I will now hand it over to our CFO Mr. Anand Gupta to take you through the key financial highlights.
Anand Gupta — Chief Financial Officer
Thank you Paral Bhai and good morning everyone. I’ll be taking you through the Q1FY26 financials now. Our volumes for the quarter stood at 43,735 metric ton. It grew by 4%. YoY revenue from operations stood at 580 crores and EBITDA for the quarter stood at 40 crores. Margin is at 7%. Profitable for tax for the quarter is at 5 crores and in Q1FY26 our working capital is at 93 days compared to 98 days from the last quarter receivable has shown improvement and now stand at 55 days from 61 days and inventory days is at 83 days as on 30 June 2025.
With this I open the forum for question and answer session. Thank you.
Questions and Answers:
operator
Thank you very much. We will now begin with the question and answer session. Anyone who wishes to ask a question may press star and one on Jetta tone telephone. If you wish to remove yourself from the question queue you may press star and two participants are requested to use hands while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Shravan Shah from Dalit Capital. Please go ahead.
Shravan Shah
Hi sir. Thank you sir. Want to understand clearly revenue volume and EBITDA margin at least for this year. So if possible if you can help us in terms of the quarter wise also. So let me put it my questions better. So first on the volume growth so 3.7% growth we have done in this quarter. So in second quarter how do you see the growth and let’s see the whatever the EDD comes by September or October then in the second half how do we see a net net for full year how do we see the volume growth? Second the biggest question is on on the realization front though this quarter 7.8% kind of a decline is the Q2 but if I look at from FY25 it is 9 odd percent decline.
So in Q2 how do we see and in the second option net net My I want to understand in terms of the revenue for FY26 it seems like we would be a kind of a 2, 3% kind of a growth. So help me in that.
Nihar Chheda
Yeah so I’ll take the first question on the volume side. So volume growth has been 3.7% for first quarter in the second quarter July has been to a good start. So we have seen good growth in July and we are confident of high single digit to low double digit kind of growth should be possible for the rest of the year going forward as far as realizations are concerned I mean everyone knows we are a pass through industry. It’s mainly a function of raw material prices which are not controllable. So if you see the decline in realizations year on year June quarter to June quarter I think we are in line with RPMs of around 8, 9% kind of a drop in realization.
So I think that is that is going to be a function of raw material pricing. So as the whenever the Duty is announced and the raw material prices move up. I think realizations also will move in line with that.
Shravan Shah
But as far as Q2 is concerned, the current realization are likely to remain till the time add doesn’t come. So currently is there a way in terms of either by increasing the CPUs is there or whatever way whether the Q1 was very bad in terms of products mix or anything. So do we see any kind of a realization improvement possible except the add in Q2?
Nihar Chheda
Yeah, I think the other way of improving realizations is through product mix. Even in first quarter we have had a better growth in CPVC compared to pvc. So as product mix improves, realizations also will improve.
Shravan Shah
Okay, and now on the margin front, so how do we see the 6.8% kind of EBITDA margin? I understand we used to guide 12 odd percent kind of a sustainable long term EBITDA margin. But for this year till the time add doesn’t come, do we see even kind of a 8% kind of a margin is possible or this number will be there?
Nihar Chheda
No, I think margins will improve going forward. We have seen an inventory loss of around 15 to 20 crores in the June quarter. Inventory losses going forward will not be there and as volumes improve operating leverage also will improve. So I think in terms of margins Q2 will be better than Q1 and the second half of the year will be better than the first half.
Shravan Shah
Okay, great. And last on the capex front sir, so how much gas capex we have done in Q1 and for full year now last time we said 220 watt per road. So for equal and then remaining on the Begusarai how much is is is left and currently the Begusarai capacity last time 24,000 ton and now by September will it reach to 60,000 ton.
Anand Gupta
So on the first part the capex is in the first in the first quarter is around 75 crores. And for the rest of the year including Bihar expansion it will be in the range of around 160 to 170 which will take care of leftover of Bihar which will close by the 30th of September. And the second part is actual commitment which is still there which we are which is pending which we have factored in our cash flow projection and then the rest is operational capex for the rest of the plants. In terms of Bihar reaching out in H1 it will be close to 60,000 tons of capacity.
We will close by the 30th of September.
Shravan Shah
Okay. Okay, thank you. Sir, I have questions. I will come in to. Thank you.
operator
Thank you. The next question is from the line of Sneha from Nuama. Please go ahead.
Sneha Talreja
Hi, good morning team. We just couple of questions. Remind you did mention the inventory loss number but could you also quantify other reasons like you know what has been the loss from the bathware segment and you know where do we now see the margins going? Excess inventory losses.
Anand Gupta
So bathware loss is close to 5 crores which translates to 0.8 to 1%. So that is the other number. And going forward as nihar mentioned that from Q2 margin will start improving and H2 will have a normalized kind of EBITDA after factoring bathware loss.
Sneha Talreja
Second point was you also mentioned inventory days are standing at about 81 odd days. Could you quantify that? You know how much would be the inventory for raw material as well as finished goods here and what’s your target to me, you know for inventory levels next quarter or the year end.
Nihar Chheda
Yeah. So inventory actually has reduced from June quarter from March end to June end. So I will give you the exact numbers in terms of days. In March raw material was around 45 days which has come down to now 35 days. So we have seen a reduction of 10 days. I think the target here would be to keep this around 30 days. So we are close to our target. We have seen a sharp reduction in the past quarter of around 10 days. Finished good. Has in March end was 35 days which at June end is around 40 days which is a 5 day increase which is we are okay with because we are gearing up for better demand going forward.
So in terms of the target that you asked, I would like to keep it between 70 to 75 days. Around 30 to 35 days of raw material and balance. Finished Good.
Sneha Talreja
Understood. Understood. Thanks. Thanks team and all the best.
operator
Thank you. A reminder to all participants, you may press star and one to ask a question. The next question is from the line of Keshav Lahoti from HDFC Securities. Please go ahead.
Keshav Lahoti
Hello. Hi. Thank you for the opportunity. Sir. As you highlighted the CPVC growth is better. So earlier it was going by double digit highlighted by you. So shall we expect the CPVC volume growth was double digit in this quarter also?
Nihar Chheda
I think it was. I will stay away from giving exact numbers but it was high single digit.
Keshav Lahoti
Understood. Got it. And so how are the trends on the incentive side in the market? Has it changed? Has it increased? Decreased? How is it? What sort of incentive? Higher incentive you’re giving to dealers now.
Nihar Chheda
See I think sentiments in the channel are Better than what it was in the previous quarter. So we have not seen very sharp decreases in pvc. There have been decreases but it’s not been very sharp the way it was before. And I think PVC prices have bottomed out if not close to bottom. So I think sentiment of channel is only improving. So you know, it’s not an on and off switch. We can’t just pull the trade incentives. But we have started rationalizing where required and where we think that we need to continue giving the incentives, we are going to continue giving the incentives.
So we need to find the right balance between of course improving margins. But today main focus of the organization is on improving volume growth and capacity utilization.
Keshav Lahoti
Got it. Got it. And so how, when we expect, you know, the ballpark number of percent margin, whether this will be achieved this year or is it time to reach this number, a long term target.
Nihar Chheda
Can you say that again?
Keshav Lahoti
So normally company guides, you know, in the long run the EBITDA margin of the company would be 12%. So should we expect this by Q4 or is it possibly a one or two year away?
Nihar Chheda
No, I think by Q4 we should be normalized if not by Q3.
Keshav Lahoti
Understood. Got it. One last question. Sir. You haven’t mentioned bathware revenue yet, right?
Nihar Chheda
Just give me one minute. Yeah. Revenue. Net revenue for first quartet of bathware is 11 crores.
Keshav Lahoti
Okay, thank you. I’ll come back in.
operator
Thank you. A reminder to all participants, you may press star and one to ask a question. The next question is from the line of Pranav Mehta from Aquarius Securities. Please go ahead.
Pranav Mehta
Yeah. Good morning, sir. Thank you for taking the session. Sir, I wanted to understand on two things. One is on the interest cost. So that is in a sharp jump.
Anand Gupta
So we have capitalized majority of our Bihar project. And the term loan which was taken for that purpose was capitalized till the date we commence our production post that it is now operational expense. So that’s why you are seeing that difference in Q1F finance cost compared to last quarters.
Pranav Mehta
So sir, going forward this would be a kind of a steady state interest. Rate for this year. Or are you expecting
Anand Gupta
till we repay. Our term loan on a. On a reducing basis interest will be charged into a long term loan.
Pranav Mehta
Okay. So my next question was this. Write back on the excess stock incentive. So what was that?
Anand Gupta
So this is a normal cycle of evaluation based on company’s performance. We have decided to incentivize our employees accordingly. And those write backs has come because of the lower profit company has made.
Pranav Mehta
So sir, in that case, the quarterly number that we have posted for 1Q. Will it remain at the same level for the rest of the year or are you seeing some increase in that?
Nihar Chheda
No. So the performance linked incentives are a reflection of the health of the organization and the profitability of the organization going forward as inventory losses reduce, minimize and overall product mix improves. I think margin from second quarter will be better than first quarter and second half of the year will be significantly better than the first half of the year.
Pranav Mehta
Okay, but staff cost more or less. Would be remaining at this level.
Nihar Chheda
No? It will. No. The cycle at our end is July to June. So in Q2 you will see the increments coming in the, in the, in the cost of salary.
Pranav Mehta
Okay. And so just to make it clear, all the inventory loss for the inventory. That you have built up has been taken, right?
Nihar Chheda
Yes.
Pranav Mehta
Okay. So no further as of now, the. As the prices remain, no further loss you are expecting?
Nihar Chheda
Yes,
Pranav Mehta
sure. Thank you.
operator
Thank you. The next question is from the line of Udit Gajivala from yes, securities. Please go ahead.
Udit Gajiwala
Hi sir. Just a broad understanding as to the overall view. Right. So is it the volume that will be the key focus now given that, you know, there is a lot of competition also there and all the other players have also, you know, set up new capacities. So do you see that the pricing war will continue and volumes will be a key focus and you will have to pay for the margins.
Nihar Chheda
So volumes will be the focus. Focus has always been on profitable growth. So we don’t want to have any predatory pricing. We had to have aggressive trade incentives when channel sentiment was poor, especially in December quarter and Jan quarter of last financial year. But I think as PVC prices are bottoming out, sentiment is improving that we don’t see a very high resistance from the channel to stock up. So I believe going forward we will be able to focus on profitable volume growth. And in our industry, you know, especially for us, the way our cost structure is operating, leverage plays a big part.
So the more we sell, the more profitable we will be from a cost absorption point of view. So I think the two objectives actually go hand in hand.
Udit Gajiwala
In opening remarks you mentioned that July has been good versus what you have seen in Q1. So can you point out that as to which segment you see the growth coming up or specific region if you would like to highlight.
Nihar Chheda
Mainly from building material, because agri, because of the monsoons was not a great agri season after, I would say May and beginning of June. So mainly I would say driven by residential building material. Products.
Udit Gajiwala
Got it sir. Thank you sir. And all the best.
Nihar Chheda
Thank you.
operator
Thank you. A reminder to all participants, you may press star and one to ask a question. The next question is from the line of meet Jain from Motila Raswal. Please go ahead.
Meet Jain
Hi sir, the question is regarding a more macro scenario as we see which has been expected to until that prices are expected to be stable around this level as you have told in the bottom bow and in terms of demand you mentioned that demand is going to improve going ahead with increasing government push. In which pockets are you seeing this demand recovery in each location if you can just throw some light on that.
Nihar Chheda
So I think like I said agriculture season was short lived which anyway is not a big part of our revenue. It’s only 30% of the overall revenue. Mainly we are a building material company focused on plumbing and swr. So I think growth will be. We have seen the green shoots of demand in July and going forward I think these are the segments that will continue to do well.
Meet Jain
So basically our demand will be more driven by higher launches of new residential projects across India and for capex from the private organizations. Right. Then more focus on government infrastructure.
Nihar Chheda
Correct.
Meet Jain
And 1Q as we know it’s heavy on agriculture but as a company we are heavy on Plumbing and WR as you mentioned. So 1Q I think we saw a good growth in residential.
Nihar Chheda
So we saw. So agri is around 30% 30 35% of revenue which is still a significant part of our overall revenue. But we are I would say amongst in the industry we are pretty well hedged between plumbing and agri and followed by infrastructure.
Meet Jain
Okay so this 30% is for the entire year or this Q1 is more aggregate even than 30%.
Nihar Chheda
30% is on an annual basis. Of course agree demand is seasonal so you will see sort of March to June tends to be the large agri seasonal in December you see a small. Aggregation
Meet Jain
for this quarter can be it over 50 for us in terms of volume.
Nihar Chheda
I’m sorry
Meet Jain
for this quarter for volunteers can we can it assume it will be over 50% this quarter because being a hydro has season.
Nihar Chheda
No, no, the skews are not that large.
Meet Jain
Okay. Yeah okay, I’ll get back into.
operator
Thank you. Thank you. The next question is from the line of Utkarsh from Bob Capital. Please go ahead.
Utkarsh Nopany
My question is regarding your Bihar plant. So if you can just help us what would be the capacity utilization of our Bihar plant in the June quarter and at what level we expect to operate say by the coming March quarter and what would be a breakeven point for our Bihar plan.
Anand Gupta
So first the utilization part. See we have to understand that the complete range has to be available at the Bihar plant to make sure that the whole set of delivery is done. So right now as we have progressed we have progressed to close to 58,000 ton. But the actual efficiency of these addition in the capacity will happen from Q3 once the whole range is ready. So right now we are building capacity. But the utilization, effective utilization will happen from Q3 mid of Q2 I’ll say will start. So then we can better see that. What is the effective utilization. The other part was related to when it will break even. So Bihar will take around five years to break even if we operate at close to 70% capacity.
Utkarsh Nopany
So if I understand correctly, you mean to say that Bihar plant is going to negatively contribute at EBITDA level for the next so.
Anand Gupta
No. So you said that when it will break even in terms of investment made, right?
Utkarsh Nopany
I was talking in terms of EBITDA level sir.
Anand Gupta
At the EBITDA level from the Q3 Q4 it will. It will start contributing positively. Because as we have now, Q1 and Q2 will happen mostly in the buildup of capacity. So the overheads which we have started incurring in terms of operational expenses will not be absorbed fully. But once the utilization kicks beyond 40% plus we’ll start neutralizing our expense.
Utkarsh Nopany
And so what is your net debt position at the end of June 25th and where do we see this at the end of March 26th.
Anand Gupta
So net debt is around. It’s 100 crores negative. And you want March number as well. So I. I’ll connect post this project.
Utkarsh Nopany
That means you are having a net cash of 100 crore towards the end of. Okay. And sir, last question is that like we are operating our existing plant capacity at a very low rate in the June quarter. So wanted to understand what is the need of maintaining such high level of inventory as it is creating a pressure on our return ratio profile. Usually companies high inventory only when they are operating at a very high rate. So what is the need for maintaining such high level of inventory?
Nihar Chheda
So as I have said, inventory has reduced from March to June. So when inventories are high in one quarter, I cannot just directly reduce inventory. So if you see the reduction in inventory from March to June we have seen a 10 day reduction in raw material. And finished good has increased by around five days. So I think 30 days of raw material and 35 to 40 days of finished good is an industry standard. Because we have so many high Level of high range of SKUs. We have to maintain inventory and a lot of new products also that we have launched.
So if you look 70, 75 days is a industry now.
Utkarsh Nopany
Okay. And sir, just lastly like our ROE has got significantly depressed right now. So what kind of an ROE we are getting say over the next two to three year period and to achieve that level what we are assuming in terms of the EBITDA margin and the growth asset. If you can just help me out with this.
Nihar Chheda
So long term if you see our return on capital has always been around 15 to 20%. The reason that the return ratios are under pressure currently is because of two reasons. One is of course profitability has taken a hit in the past few quarters and we have had a CAPEX cycle also play out over the past two years. We have put up a large amount of capacity in Jaipur, Telangana and now Bihar and as well as debottlenecking existing facilities. So as capacity utilization improves and as profitability normalizes going forward we will see improvement of return ratios back into 10 to 15% and then eventually more than 15.
Please.
Utkarsh Nopany
Okay. Thanks a lot sir.
operator
Thank you. A reminder to all participants, you may press Star and one to ask a question. The next question is from the line of Tushar from Omega Portfolio Advisors. Please go ahead.
Tushar
Considering the CAPEX requirement from the states like Gujarat, ap, UP and mp. So for Prince, what sort of volume growth you are seeing? You know from these states or at the company level?
Nihar Chheda
No. So all the three states that you talked about we have a good market share be it Gujarat, UP or Telangana, Andhra and we have a manufacturing facility in Telangana in Silvas which is a union territory close to Gujarat and as well as Haridwar which is Uttarakhand. So our supply chain is strongly aligned with the frontiers of growth and we have seen good growth across these markets.
Tushar
Can you just quantify the volume growth you are expecting at the company level?
Nihar Chheda
So I think high single digit, low double digit kind of growth can be expected going forward.
Tushar
Fair enough. In terms of your split like plumbing would be what percentage? Also the infrastructure would be what percentage of your revenue.
Nihar Chheda
So around 35% would be 30 to 35% would be agriculture, 3 to 4% would be infrastructure, 1% is water storage and balance is building material which is plumbing and SWR.
Tushar
In terms of CPVC what would be the mixed CPVC versus Normal pvc.
Nihar Chheda
So CPVC in terms of revenue contribution has continued to move up over the past five years. So it used to be around 15% which now has gone up to around 25%.
Tushar
So that was really helpful. Thank you.
operator
Thank you. A reminder to all participants. You may press Star and one to ask a question. The next question is from the line of Shavan Shah from Dalit Capital. Please go ahead.
Shravan Shah
Hi sir, a couple of things. First so last time we said a 3% incentive that we we’ve paid to the channel. So that was also was was there in qu1 full. And maybe we will be continuing with the same in Q2 also.
Nihar Chheda
That depends. Like I said where it’s required we will continue. Where it’s not required we will continue to pull it.
Shravan Shah
Okay, got it. Second sir, in in Bihar one. So last time we said we may look at 20 to 25,000 cutout volume in FR26. So is it possible some indication in Q1 how much kind of whether it was 3,4000 kind of a volume was there. And this 20205000 is is doable in FY26.
Anand Gupta
So can you repeat? Shravan,
Shravan Shah
I said from Bihar last time we said that we are looking at 20 to 25,000 ton of volume in FY26. So any any ballpark idea in terms of Q1 how much it would have contained contributed 3,4000 kind of a ton. And for full year can this 20 to 25,000 ton from Bihar is doable.
Anand Gupta
So as I mentioned earlier we have created backup in Bihar in terms of capacity which will start giving actual production from H2. So when we build up 60kt. So technically we will have 6 months time to fully utilize. That means 30,000 will be available for us in H2 and H1. I can say that it will be close to 10 to 15,000. Something will around that will be there. So taking the utilization 60 to 70%. We will be in the range of 2025 km from Bihar for the full year when we close FY26.
operator
Thank you. A reminder to all participants. You may press Star and one to ask a question. The next question is from the line of Keshav Lahoti from HDFC Securities. Please go ahead.
Keshav Lahoti
Thank you for the follow up. So what was the AD spend for this quarter?
Anand Gupta
It is in the range of 1.7 1.8% a tad lower. But going forward we’ll maintain for the full year around 2%. That is what we are seeing. But we’ll see how the how the quarter goes.
Keshav Lahoti
Got it. Lastly, what is the bathware revenue target for this year and when we expect to see the breakeven.
Nihar Chheda
I think break even is around in four to six quarters.
Keshav Lahoti
Okay. Four to six quarters. So you are seeing towards the end of FY27 that is possibly got delayed earlier. We are expecting earlier, right?
Nihar Chheda
Yeah. So I think it would be by mid of FY27 because we have now started south and east. So there once the revenue start coming in that will help us reach the breakeven point.
Keshav Lahoti
And what is the revenue target for this year? For this year.
Nihar Chheda
So we have done 11 crores in first quarter. As revenue starts coming in from south and east and we improve in north and west this will improve. So I think around 50 to 60 crores is doable this year.
Keshav Lahoti
Okay, thank you.
operator
Thank you. A reminder to all participants. You may press star and one to ask a question. The next question is from the line of Shravanshah from Bonnet Capital. Please go ahead.
Shravan Shah
Hi sir. Sir, in this Q1 at an industry level what was the volume growth you said for CPVC was a high single digit. But overall combined would be how much growth and for full year FY26 how do we see the industry growth and possibly will the CPVC will be a single high digit or can it be a double digit growth?
Nihar Chheda
CBUC was high single digit for us, not for the industry.
Shravan Shah
So for industry, for industry was how much?
Nihar Chheda
There’s no, you know data collection like that that we do on a quarterly basis. There’s no official research. I think on an annual basis we can get better sort of numbers. But overall I think industry was flattish in the first quarter.
Shravan Shah
Okay. And for full year how much we see industry growth?
Nihar Chheda
I think long term basis PVC industry should grow. All categories put together 6 to 7% over next, you know, two to three years. Six to 7%.
Shravan Shah
Okay. That is. Yeah, that, that understood. But for this year given the even Q2 would be a very, very marginal. So accept the add if it comes by September. It’s possible also. You can also also specify do we think that by September October add can come?
Nihar Chheda
It’s likely. I mean we. I don’t want to speculate but yeah, it’s likely by September.
Shravan Shah
But. But will it lead to a 3, 4 odd rupees kind of a price hike or it can be a 8, 10 rupees price hike is also possible.
Nihar Chheda
Extremely speculative. I think I would not, you know try to give any kind of guidance on how much it will lead to. I didn’t let the time tell.
Shravan Shah
Okay. Yeah. Thank you sir.
operator
Thank you. A reminder to all participants, you may press Star and one to ask a question. The next question is from the lineup. Arun from ICICI Security, please go ahead.
Arun
Hi. Just one thing. You mentioned July was pretty good. Just to understand which kind of growth if you add the first four months of this quarter of this year.
Nihar Chheda
Not audible.
operator
Mr. Arun, we can’t hear you properly. Can you please be a little louder?
Arun
Yeah. We mentioned that you know that July was pretty good. So is it right to say that for the first four months of this financial year we would be in the high single digit volume growth?
Nihar Chheda
I think we have already given our guidance around going forward and Q1 numbers we already have in the middle of the quarter. I would not want to speculate. But I think in terms of if I understand your question. I think the direction I have given. I think high single digit to low double digit growth for the year is possible. Looking at where we are today and the kind of capacity we are putting up, I think that’s a fair estimate.
Arun
Okay. And just to take it forward, you know we mentioned that Bihar will do 20, 25,000 tons. If I look at last year numbers we did 1,77,000 tonnes for the full year. So straight away it’s like Even if assume 20,000 tons 11% growth straight away comes to our numbers. Assuming there’s real growth in our coal business. So we are missing the guidance doesn’t match.
Nihar Chheda
No, but I mean overnight we are. The market is not going to. You know, we are not going to open up a new market. So today Haridwar was catering to East. Now if you put up a plant in east somewhere, you know we have to give it time. It’s not that as and when I. Put up capacity that the market will grow as per my capacity. So if we put up a new plant in a new geography it is bound that from the other plants there is going to be a part cannibalization in the first year. Only in the second or third year will we have a net that kind of an increase. So I hope that’s clear.
Arun
So what I’m going to get to is. You know if whatever you’re guiding for basically means that even I assume your number at a double digit it will be lower than what Bihar plant does including cannibalization. So it’s. It’s not matching up with what you’re saying.
Nihar Chheda
Let me clarify that. When I put up a plant in a new geography today, east, before the Bihar plant was put up the Haridwar plant was catering to the east market. It’s not that we were not present in east at all. Right. So when I put up a plant in yeast and I start serving from that plant. It’s not that the market is going to grow as per the capacity I put up in the first year itself. So it’s not that I had zero volume in east. I was serving it from other plants. So it’s bound to happen.
Then the first few quarters the volume from the other plants will go down because I put up a new. A large capacity in a new geography.
Arun
Okay, thank you.
operator
Thank you. Thank you. The next question is from the line of Keshav Lahati from HDFC Securities. Please go ahead.
Keshav Lahoti
Just a small follow up. So just some color on July. How has been the volume growth? Maybe additionally it’s a low double digit or mid king double digit. How should we see?
Nihar Chheda
I think the direction has been given. Keshav, in the middle of the quarter. I will stick to giving only long term guidance or a medium term guidance.
Keshav Lahoti
Okay, got it. That’s it. Thank you.
operator
Thank you. As there are no further questions from the participants, I now hand the conference over to the management for closing comments.
Nihar Chheda
Thank you everyone.
operator
On behalf of Prince Pipes and Fittings limited that concludes this conference. Thank you for joining us. And you may now disconnect your lines.