Brokerage firm Nuvama has maintained its Buy rating on PG Electroplast while trimming its target price to Rs 780 from Rs 800, citing near‑term disruption caused by an LPG supply shortage. The brokerage said a partial shutdown at the company’s Supa plant following the March 9 disruption is expected to weigh on Q4 performance, though a recovery is likely from Q1FY27 as operations stabilise. The disruption follows a commercial LPG shortage that emerged after a notification issued by the Ministry of Petroleum and Natural Gas on March 5, which has impacted availability across several industrial belts.
PG Electroplast reported a strong set of numbers for the third quarter of FY26, delivering year‑on‑year growth across key financial metrics. The company’s profit rose sharply to Rs 61.9 crore in Q3 FY26 from Rs 39.5 crore in the same quarter last year, marking a growth of 56.7 per cent, driven by higher scale of operations and improved execution.
Revenue for the quarter surged 45.9 per cent year on year to Rs 1,412 crore, compared with Rs 968 crore in Q3 FY25, reflecting healthy demand across segments. EBITDA also increased 37.4 per cent to Rs 116.8 crore from Rs 85 crore a year earlier, underscoring solid operational performance despite a challenging cost environment.
However, margins showed some pressure, with EBITDA margin slipping to 8.3 per cent in Q3 FY26 from 8.8 per cent in the corresponding quarter last year, a contraction of 50 basis points. The moderation in margins highlights rising input costs and operating expenses, even as strong revenue growth helped cushion the impact on overall profitability.
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