Profit before tax (PBT) declined 16.26% to Rs 84.68 crore in Q1 FY26, down from Rs 101.13 crore recorded in the corresponding period last year.

However, the company’s EBITDA stood at Rs 139.42 crore in Q1 FY26, compared to Rs 134.54 crore in Q1 FY25, reflecting a growth of 3.62%.

The company stated that Q1 FY26 was a challenging quarter for its summer product portfolio due to early monsoons, which moderated growth. Still, consolidated revenues surpassed Rs 1,500 crore, with the product business contributing Rs 1,159 crore, accounting for 77.1% of total revenue. The product segment grew 16.7% YoY, driven by 15.1% growth in Room ACs and a robust 36.1% growth in Washing Machines. Cooler sales, however, declined slightly by 3.9% YoY.

PGEL’s 100% subsidiary, PG Technoplast, reported revenues of Rs 1,211 crore. The electronics business contributed 4.3% of overall revenue. Notably, the TV business was transitioned into a 50% joint venture in Q1 FY25. Goodworth Electronics, the JV, posted strong performance with Q1 FY26 revenues of Rs 147.53 crore versus Rs 75.47 crore a year earlier. EBITDA for the JV stood at Rs 4.27 crore, compared to Rs 0.69 crore in Q1 FY25.

Looking ahead, PGEL plans to continue investing in capacity expansion for Room ACs and Washing Machines to support future growth.

On the outlook front, the management sees increased opportunities from both existing and new clients. With enhanced manufacturing capacities and technological advancements, PGEL believes it is well-positioned within India’s consumer durables and plastics manufacturing ecosystem.

In the coming years, the company aims to achieve industry-leading revenue growth, gradually expand margins through operational efficiencies and leverage, and maintain best-in-class capital efficiency by improving cash flows and optimizing the balance sheet.

On the guidance front, PGEL has projected consolidated revenues between Rs 5,700 crore and Rs 5,800 crore, implying a growth of 17% to 19% over FY25. Net profit is expected to be in the range of Rs 300 crore to Rs 310 crore, reflecting 3% to 7% growth over FY25's net profit of Rs 291 crore. Goodworth Electronics is projected to achieve Rs 850 crore in revenue, taking total group revenues to Rs 6,550 crore to Rs 6,650 crore. The product business, comprising Washing Machines, Room ACs, and Coolers, is expected to grow 17% to 21%, reaching Rs 4,140 crore to Rs 4,280 crore, up from Rs 3,526 crore in FY25.

The company has planned a capital expenditure of Rs 700 crore to Rs 750 crore in FY26 to support its growth ambitions. Key investments include a new facility for plastic components and coolers in Rajasthan, a campus in Greater Noida dedicated to washing machines, a refrigerator manufacturing campus in South India and a new facility in West India with expanded AC manufacturing capacity in Supa.

Vishal Gupta, managing director – finance, PG Electroplast, said, “The early arrival of the monsoon impacted seasonal sales for Room ACs, making Q1 a more subdued start to the year. However, underlying demand indicators remain robust, and we see significant long-term potential given the relatively low penetration levels in core categories like Room ACs and Washing Machines.

We remain focused on product innovation, capital efficient expansion, and deepening client partnerships. Our investments in new platform development and capacity enhancements across core product lines are progressing as planned.

Capital efficiency remains a core operating principle and all capex decisions are guided by sustainable profitability metrics and long-term value creation.

While near-term growth may moderate, our medium and long-term outlook remains strong. We are committed to building a resilient, high performing organization that delivers industry leading capital efficiency and growth.”

PG Electroplast is a trusted one-stop solution provider for electronic manufacturing services (EMS) and contract manufacturing to most leading consumer durable and electronics brands in India. The company has one of the biggest capacities in Plastic Injection moulding and has capabilities across the value chain in original equipment manufacturing (OEM) and original design manufacturing (ODM) products like washing machines, room ACs, air-coolers and LED TVs.