Apcotex Industries Limited — Q3 FY26
Apcotex delivered a strong Q3 FY26 with EBITDA up 61% YoY to INR 44 Cr and PAT up 91% YoY to INR 22 Cr, despite a 7% revenue decline to INR 332 Cr due to falling raw material pr...
bullish
high
✓ Verified against BSE filing
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
86%Questions answered0Evaded / deflected11Questions auditedMixedNumbers vs filing
Partial answer
High priority
How did raw material price decline improve EBITDA despite falling product prices?
Asked by Adita Ketan, Smith Institutional Equities
Management gave qualitative explanation but no quantified benefit from raw material price decline.
no specific numbers on raw material benefitqualitative only
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Question
Just want to know how these numbers are shaping up and what are the benefits you have taken in raw material which has improved your eida on sequential and on y.
Choki (management)
Our team has managed quite well and we have managed to hold our prices and taken some advantage of the drop in raw materials. So that's helped us and as you can see that uh in spite of all of that our operating epida uh has been better this quarter than I would say the last you know six seven eight quarters probably.
Answered
High priority
Which segments contributed to EBITDA improvement?
Asked by Adita Ketan, Smith Institutional Equities
Management directly listed multiple segments contributing to EBITDA improvement.
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Question
So the main contributor of your AIDA in this quarter would be the nitroic because earlier that segment was not able to contribute on AIDA and now prices uh how are how is the moment in prices and what contribution in AIDA or is there any any other segment like which is contributing like your synthetic latex any other segment NBR which is contributing to AIDA?
Choki (management)
Besides nitral latex which definitely has seen a turn turnaround in the last 6 months... paper segment also the margins were very muted... they've gone back to sort of reasonably okay levels. So paper has also helped... rubber segment also we've seen a better improvement in margins because we're running at full capacity there.
Answered
High priority
Can EBITDA margins improve further from 13% or is this the peak?
Asked by Adita Ketan, Smith Institutional Equities
Management gave a clear range and indicated potential for improvement.
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Question
Now in this quarter we have achieved this to 13%. And you are saying paper segment construction are still struggling. So suppose if that segment comes back in terms of demand so meaningful come back in demand you see further improvement in margins from here on or or we are standing at the peak.
Choki (management)
I think there is still some leeway... anywhere between 13 to 16% 12 to 16% is you know we could margins for us um and I think we'll try and endeavor to do a little bit better than this quarter as person.
Partial answer
High priority
What is the status of anti-dumping duty notification and impact on NBR expansion?
Asked by Adita Ketan, Smith Institutional Equities
Management confirmed expansion continues but gave no clarity on anti-dumping duty status.
no definitive answer on duty impositiondeferred to government decision
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Question
Sir, we have seen like in other chemicals also whether it is rubber chemical, soda, the finance ministry has not imposed the anti-dumping duty but the digit has in our case also like there is a delay. Uh so what is your opinion whether this would be not imposed now and and if it is not imposed what happens to our expansion plans of NBR?
Choki (management)
Our expansion plans continue nonetheless. uh we have found an innovative way to expand our product our our our uh volumes by almost 80 90% in a much lower capex cycle... we are going to do it for much lower and we think the ROC's and the margins even currently without anti-dumping will support that.
Answered
Low priority
What is the financial benefit from wind energy investment?
Asked by KK Panda, BHL
Management clearly stated the investment amount and that benefits have not yet started.
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Question
You had invested about couple of years back in wind energy. How is your finance? Is it uh paying off that investment or you are able to check out how what is the benefit? How much have your financial benefit out of this uh wind energy project?
Choki (management)
That's about 3 and a half cr investment and we should receive the credits starting from uh sometime early next year. The exact date is not out yet. So that's not yet started.
Answered
High priority
Is the expansion plan on track and will turnover increase by 200 crores?
Asked by KK Panda, BHL
Management gave timeline and corrected revenue addition estimate to 550-600 crores.
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Question
You had to said in the last quarter of 26 27 you'll be completing your expansion plan and with that the turnover would increase around 200 kores. Uh what is the status of progress? Is it on time online or delayed?
Choki (management)
We have started the project. Uh yes our endeavor is to complete it by the end of the next financial year which is FI27... and just to correct you it's not going to be about 200 crores it's it's likely to be uh around 550 to 600 crores that'll be added to the top line.
Answered
High priority
Has the US duty on Chinese gloves been imposed and what is nitrile latex utilization?
Asked by Karan Sharma, Credent
Management confirmed duty imposition and gave utilization rate.
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Question
So there uh in the last year call there was a duty that US had imposed on Chinese gloves for 100% it was supposed to happen two times. So it was 50% last year and 50% was supposed to happen in January this year. So has that gone through?
Choki (management)
Uh yes I believe that's now now in place. Yes, it's been imposed from January 26. I would say for the YTD we are at about 70 75%.
Answered
Medium priority
Will there be spare land for further expansion after current capex?
Asked by Karan Sharma, Credent
Management confirmed spare land availability.
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Question
So my next question was that post this new expansion at WA would we be left with spare land for further expansion or if in future we might have to then go for a new green field with land.
Choki (management)
Um I think we will have some more land depending on what we want to expand in. Uh we will have some spare land.
Answered
Medium priority
What is the company doing for raw material security and backward integration?
Asked by Chanpal Singh, Individual Investor
Management explained inability to backward integrate and gave view on raw material security.
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Question
Any views on the raw material security that you might be uh taking in the future? ... any views or any efforts by the company to get the raw material raw material security or backward or forward integration.
Choki (management)
Backward integration um we are not able to do with our major raw materials because there are you know petrochemicals... as far as security is concerned... there is enough imports coming in from countries close by... short-term shortages are there but otherwise... we don't expect any issue.
Answered
High priority
What is the qualitative outlook for different end-user industries?
Asked by Redra, Ithod Financial Consulting
Management gave specific outlook for each industry mentioned.
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Question
I wanted to get a qualitative outlook on different industries that we are supplying our products. like you mentioned paper is coming back and uh so what's your outlook outlook on other industries uh maybe nic latex glove suppliers or whatever else where we supply our products.
Choki (management)
Paper industry is still going through a tough time... carpet, textiles and tire all three industries we have seen a slight degrowth in volumes... gloves continues to do well for us... overall the glove industry continues to grow at 7 8% year on year.
Partial answer
Medium priority
Can the company disclose volume and utilization data more regularly?
Asked by Sabra, QRC Investment Advisor LLP
Management explained why they don't disclose volume numbers but offered to provide capacity utilization.
declined to give volume tonnageoffered only capacity utilization flavor
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Question
If you could maybe more regularly disclose utilization across lines or geography u it will sort of volume numbers because it will really help us appreciate if the business is moving in the right direction.
Choki (management)
The reason why we don't give volume numbers because specific volume tonnage numbers is because we are in so many different industrial segments... it's easily decodable for some of our competitors... but we do provide volume growth overall... we can maybe give a flavor of the capacity utilization of the various product lines.
Answered
Medium priority
Why did interest cost drop significantly and what is the expected tax rate?
Asked by Sani Vish, Access Securities
Management gave clear breakdown of interest reduction and tax rate guidance.
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Question
I can see the interest has dropped significantly this quarter. So what is our expectation and what is the reason behind this and secondly on what are what is our expected tax for the year?
Vive (management)
75% of the reduction in interest cost is through the reduction in borrowings. The rest is all interest rate related. On the second question of yours on the tax, so we expect a effective tax rate of about 27 28% for the year.
Quantitative claims vs filed numbers
| Claim | Management said | Filing | Verdict |
|---|---|---|---|
| EBITDA margin of 13% this quarter | 13% | 13.12% | Matches filing |
| Volume growth of 15% for first 9 months | 15% | -7% | Overstated vs filing |
| Revenue addition from expansion 550-600 crores | ₹575 cr | ₹332 cr | Overstated vs filing |
Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.