Synopsis:
POCL reported strong Q1 FY26 results with 15 percent QoQ revenue growth, 51 percent profit rise, ongoing lead capacity expansion, and continued investments aligned with its Target 2030 growth and R&D roadmap.
During Thursday’s trading session, shares of India’s leading recycling and manufacturing company and a pioneer in lead and lead alloys jumped nearly 18.3 percent on BSE, following the announcement of Q1 FY26 results with net profit growth of nearly 51 percent QoQ and 92 percent YoY.
At 10:36 a.m., shares of Pondy Oxides and Chemicals Limited were trading in the green at Rs. 1,107.6 on BSE, up by nearly 17 percent, as against its previous closing price of Rs. 948.1, with a market cap of Rs. 3,148 crores. The stock has delivered positive returns of more than 79 percent in the last one year, and has gained by about 51 percent in the last one month.
What’s the News
According to the latest regulatory filings on the stock exchanges, Pondy Oxides and Chemicals Limited (POCL) announced the financial results for Q1 FY26 on Wednesday after market hours.
For Q1 FY26, POCL reported a consolidated revenue from operations of Rs. 603 crores, marking around a 15 percent QoQ growth compared to Rs. 524 crores in Q4 FY25, and a year-on-year increase of about 35 percent from Rs. 445 crores recorded in Q1 FY25.
The company’s net profit for the quarter stood at Rs. 25 crores, reflecting a rise of around 51 percent QoQ compared to Rs. 16.6 crores in Q4 FY25, and a year-on-year increase of about 92 percent from Rs. 13 crores recorded in Q1 FY25.
POCL is significantly expanding its lead production capacity by 72,000 MTPA through a two-phase expansion at its Thervoykandigai plant. Phase 1, adding 36,000 MTPA, successfully commenced commercial production in Q1 FY26. Phase 2, also adding 36,000 MTPA, is on track for commissioning in the second half of FY26, with an estimated capex of ~Rs. 20 crore.
As part of its ‘Target 2030’ roadmap, POCL is focused on capacity expansion across multiple non-ferrous metal verticals. It aims to achieve over 15 percent volume growth, maintain a revenue CAGR of more than 20 percent and profitability growth, and maintain healthy EBITDA margins above 8 percent. Additionally, it is targeting a ROCE of over 20 percent and intends for more than 60 percent of its revenue to come from value-added products.
Further, POCL is in the process of setting up dedicated R&D facilities aimed at developing value-added products. These efforts will focus both on enhancing its current portfolio and exploring new, high-potential product lines to strengthen the company’s top and bottom line. In Q1 FY26, POCL invested Rs. 8 crore in capex. Looking ahead, the company plans to deploy an additional Rs. 42 crores over the next nine months (9M FY26).
Pondy Oxides and Chemicals Limited is engaged primarily in converting Scraps of various forms of lead, aluminium, and copper into lead metal, aluminium metal, copper, and its alloys. Lead battery scrap is smelted by POCL to produce secondary lead metal is then processed into pure lead and specific lead alloys.
As of July 2025, the company operates four recycling verticals with different capacities. The lead segment has a finished goods capacity of 1.68 lakh MTPA. The plastics recycling vertical has a capacity of 9,000 MTPA, while copper and aluminium have capacities of 6,000 MTPA and 12,000 MTPA, respectively.
Written by Shivani Singh
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
