Panasonic Carbon India Company Ltd (508941)
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, Panasonic Carbon's revenue was ₹11.1 Cr (-30.1% year on year, +9.0% on the previous quarter), and net profit ₹4.3 Cr (-32.4% year on year); the operating margin was 23.3%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹11.1 | -30.1% | +9.0% |
| Operating profit | ₹2.6 | -52.9% | -19.5% |
| Net profit | ₹4.3 | -32.4% | -6.6% |
| EPS (₹) | 8.87 | -32.4% | -6.6% |
| Operating margin | 23.3% | — | — |
📢 Recent Corporate Announcements
Panasonic Carbon reported a weak Q1 FY27 with revenue from operations declining 30.1% YoY to Rs 11.10 Cr. Net profit fell 32.3% YoY to Rs 4.26 Cr, while EPS dropped to Rs 8.87 from Rs 13.12 in the year-ago period. A significant concern for investors is the high reliance on non-operating income, with 'Other Income' of Rs 3.26 Cr contributing 57.1% of the total Profit Before Tax. The company remains debt-free with a stable promoter holding of 63.27%.
- Revenue from operations fell 30.1% YoY to Rs 11.10 Cr from Rs 15.88 Cr.
- Net Profit (PAT) decreased 32.3% YoY to Rs 4.26 Cr from Rs 6.30 Cr.
- Other Income of Rs 3.26 Cr represents 57.1% of the pre-tax profit of Rs 5.71 Cr.
- Total expenses reduced to Rs 8.65 Cr from Rs 10.55 Cr in the previous year's quarter.
- The company maintains a zero-debt balance sheet as of June 30, 2026.
Panasonic Carbon India reported a weak set of results for Q1 FY27, with revenue from operations declining 30.1% YoY to ₹11.10 Cr. Net profit followed suit, falling 32.4% YoY to ₹4.26 Cr, down from ₹6.30 Cr in the same quarter last year. A significant portion of the total income (22.7%) was derived from 'Other Income' (₹3.26 Cr), which helped cushion the impact of lower operational performance. The company continues to operate as a debt-free entity with a niche focus on carbon rods for dry cell batteries.
- Revenue from operations fell 30.1% YoY to ₹11.10 Cr from ₹15.88 Cr in Q1 FY26.
- Net profit (PAT) decreased 32.4% YoY to ₹4.26 Cr compared to ₹6.30 Cr in the year-ago period.
- Earnings Per Share (EPS) for the quarter dropped to ₹8.87 from ₹13.12 YoY.
- Other income of ₹3.26 Cr contributed 22.7% to the total income of ₹14.36 Cr.
- Total expenses were reduced by 18% YoY to ₹8.65 Cr, primarily through lower material costs, but failed to offset the revenue decline.
Panasonic Carbon India has scheduled a board meeting on August 13, 2026, to approve the unaudited financial results for the quarter ended June 30, 2026. The company currently maintains a strong financial profile with a TTM PAT of ₹21 Cr and zero debt. Investors will be monitoring if the company can recover from the sequential revenue decline observed in the March 2026 quarter (₹10.18 Cr) compared to the June 2025 quarter (₹15.88 Cr). The trading window for insiders remains closed until August 15, 2026.
- Board meeting scheduled for August 13, 2026, to consider Q1 FY27 results
- Trading window closed from July 1, 2026, to August 15, 2026
- Company reported a high TTM Operating Profit Margin of 33.1%
- Previous year's corresponding quarter (Jun 2025) recorded revenue of ₹15.88 Cr and EPS of ₹13.12
Panasonic Carbon India Company Ltd has informed the exchange that Regulation 57(5) of SEBI (LODR) is not applicable for the quarter ended June 30, 2026. The company clarified that it is a single-product manufacturing entity with only equity shares listed on the BSE. Since no non-convertible securities have been issued, there are no interest or principal payment obligations to report. This is a standard procedural filing confirming the company's capital structure.
- Reporting period ended June 30, 2026
- Company confirms 0 non-convertible securities issued
- Compliance filing submitted under Regulation 57(5) of SEBI (LODR) Regulations, 2015
Financial Performance
Revenue Growth by Segment
The Carbon Rod segment (100% of operations) grew 6.56% in value, with total gross income reaching INR 65.78 Cr compared to INR 61.73 Cr in the previous year.
Geographic Revenue Split
Domestic sales contributed 41% (INR 21.65 Cr) and export sales constituted 59% (INR 31.58 Cr) of total sales.
Profitability Margins
Net Profit Margin improved to 31.66% from 30.11% YoY. Profit Before Tax (PBT) margin stood at 42.52% for FY 2024-25.
EBITDA Margin
EBITDA margin (Profit before depreciation and tax) was 43.54% (INR 28.64 Cr), up from 41.74% (INR 25.77 Cr) in the previous year.
Capital Expenditure
Historical and planned capital expenditure not disclosed in absolute INR Cr; however, the company utilizes in-house design and fabrication for special purpose machines.
Credit Rating & Borrowing
The company is debt-free on both long-term and working capital requirements; surplus funds are invested in bank fixed deposits.
Operational Drivers
Raw Materials
Natural resource-based materials (specific names not disclosed), Pyrolysis oil, and Artificial materials used for enhanced sustainability.
Import Sources
Not specifically disclosed, but the company competes against Chinese and Indonesian manufacturers.
Capacity Expansion
Current sales volume is 2548 mln pieces (99% of previous year's 2578 mln pieces); planned expansion details not quantified.
Raw Material Costs
Raw material costs are a major factor in competitiveness; the company saved approximately INR 21.65 Cr through indigenous production as an import substitute.
Manufacturing Efficiency
Volume sales maintained at 99% of previous year levels; fuel efficiency improved by 10% YoY.
Strategic Growth
Expected Growth Rate
6.56%
Growth Strategy
Growth is targeted through the development of cost-effective new grade carbon rods to improve competitive power against Chinese and Indonesian manufacturers. The company is implementing low-cost automation and in-house machine fabrication to improve productivity. It also aims to expand export markets and has successfully developed seven varieties of semi-finished gouging carbon.
Products & Services
Carbon Rods for Zinc carbon batteries and semi-finished gouging carbon.
Brand Portfolio
Panasonic
New Products/Services
Successfully developed seven varieties of semi-finished gouging carbon; revenue contribution % not disclosed.
Market Expansion
Initiatives taken to increase exports by developing new export markets for products and services.
Market Share & Ranking
Only company in India manufacturing carbon rods for Zinc carbon batteries, effectively holding 100% domestic manufacturing share.
Strategic Alliances
Technical and financial collaboration with Panasonic Holdings Corporation, Japan (Parent Company).
External Factors
Industry Trends
The industry is evolving towards sustainability, with the company shifting to artificial materials and pyrolysis oil. The sector is growing in proportion to the Dry Cell Battery Industry.
Competitive Landscape
Intense competition from Chinese and Indonesian manufacturers on pricing and grade quality.
Competitive Moat
The company has a durable moat as the sole Indian manufacturer of carbon rods for Zinc carbon batteries, providing a critical import substitute. This is sustained by technical support from Panasonic Japan and a debt-free status.
Macro Economic Sensitivity
Highly sensitive to the growth and adverse conditions of the Dry Cell Battery Industry.
Consumer Behavior
Demand is driven by the consumption of dry cell batteries in domestic and international markets.
Geopolitical Risks
Trade competition with China and Indonesia; export house status (One Star) helps mitigate trade barriers.
Regulatory & Governance
Industry Regulations
Carbon Rods are not covered under the ambit of mandatory cost audit under Section 148 of the Companies Act, 2013.
Environmental Compliance
Achieved 10% fuel consumption reduction and increased use of Pyrolysis oil to reduce CO2 generation.
Taxation Policy Impact
Effective tax rate of approximately 25.5% (INR 7.14 Cr provision on INR 27.97 Cr PBT).
Legal Contingencies
No significant material orders passed by regulators or courts impacting going concern status; no reported frauds.
Risk Analysis
Key Uncertainties
Volatility in natural resource prices and competitive pricing pressure from overseas manufacturers could impact margins by up to 10-15%.
Geographic Concentration Risk
59% revenue concentration in export markets; 41% in the Indian domestic market.
Third Party Dependencies
High dependency on Panasonic Holdings Corporation, Japan, for technical know-how and brand licensing.
Technology Obsolescence Risk
Risk of technological shifts in battery chemistry; mitigated by R&D into new carbon grades and gouging carbon varieties.
Credit & Counterparty Risk
Not disclosed; company maintains a debt-free status with surplus cash.
