Apollo Pipes posts September profit but first-half loss

Apollo Pipes Limited returned to a consolidated net profit of Rs 63.09 lakh in the quarter ended September 30, 2026, after a Rs 11.11 crore loss in the June quarter, although the group reported a Rs 10.48 crore consolidated loss for the first half.

What did Apollo Pipes report for the September quarter?

Apollo Pipes reported consolidated profit before tax of Rs 68.38 lakh and net profit of Rs 63.09 lakh for the quarter ended September 30, 2026. The result followed a profit before tax loss of Rs 12.64 crore and a net loss of Rs 11.11 crore in the quarter ended June 30, 2026.

The September-quarter net profit was below the Rs 1.39 crore reported in the quarter ended September 30, 2025, when profit before tax was Rs 4.11 crore. Tax expense was Rs 5.30 lakh in the latest quarter, compared with a tax credit of Rs 52.17 lakh in the June 2026 quarter and tax expense of Rs 2.73 crore a year earlier.

Profit attributable to owners of the parent was Rs 2.08 crore in the September quarter, while the non-controlling interest recorded a loss of Rs 44.56 lakh. Basic and diluted earnings per share were 14 paise, against a loss per share of Rs 2.52 in the preceding quarter.

How did Apollo Pipes’ income and costs change?

Apollo Pipes’ total income rose to Rs 317.79 crore in the September quarter from Rs 297.65 crore in the June quarter and Rs 241.07 crore in the September 2025 quarter. Revenue from operations was Rs 309.40 crore, while other income and other gains were Rs 8.15 crore.

Total expenses were Rs 317.10 crore, compared with Rs 310.20 crore in June and Rs 236.96 crore a year earlier. The latest quarter’s material cost was Rs 213.93 crore, employee-benefit expense was Rs 28.58 crore, depreciation and amortisation was Rs 15.86 crore, and finance cost was Rs 3.10 crore.

The cost composition changed from the June quarter, when material cost was Rs 230.54 crore and changes in inventories produced a Rs 11.27 crore credit. In the September quarter, inventory changes were an expense of Rs 5.68 crore, while other expenses rose to Rs 46.66 crore from Rs 43.24 crore in June and Rs 36.91 crore a year earlier.

Why did Apollo Pipes remain loss-making in the first half?

Apollo Pipes remained loss-making in the half year ended September 30, 2026 because its June-quarter loss exceeded the September-quarter profit. The group reported a first-half loss before tax of Rs 11.95 crore and a net loss of Rs 10.48 crore, compared with net profit of Rs 9.55 crore in the corresponding 2025 half year.

First-half total income was Rs 615.44 crore and total expenses were Rs 627.40 crore. In the half year ended September 30, 2025, total income was Rs 519.07 crore and expenses were Rs 505.63 crore, resulting in profit before tax of Rs 13.24 crore.

The first-half loss included Rs 6.49 crore attributable to owners of the parent and Rs 99.43 lakh attributable to non-controlling interests. Total comprehensive income before minority interest was Rs 1.38 crore because other comprehensive income after tax was Rs 11.86 crore, including valuation changes in certain unlisted investments recorded in other comprehensive income.

What happened to Apollo Pipes’ cash and balance sheet?

Apollo Pipes’ consolidated balance sheet showed cash and cash equivalents of Rs 17.34 crore at September 30, 2026, down from Rs 82.20 crore at March 31, 2026. The cash-flow statement recorded a Rs 64.53 crore decrease in cash and cash equivalents during the half year, with total cash and bank balances closing at Rs 19.34 crore.

Operating activities generated net cash of Rs 21.91 crore in the six months ended September 30, 2026. Investing activities used Rs 54.43 crore, including Rs 88.26 crore for purchases of property, plant and equipment and Rs 40.42 crore for investments, partly offset by Rs 28.14 crore from the sale of fixed assets.

Total assets rose to Rs 1,312.38 crore at September 30 from Rs 1,286.07 crore at March 31. Property, plant and equipment increased to Rs 623.68 crore from Rs 530.35 crore, while capital work in progress declined to Rs 44.66 crore from Rs 89.71 crore; current borrowings fell to Rs 85.72 crore from Rs 95.20 crore.

What corporate actions affected Apollo Pipes’ consolidated results?

Apollo Pipes incorporated Apollo Ceramics Limited as a wholly owned subsidiary during the September quarter, and that subsidiary acquired a 76% interest in Mazzini Tiles LLP for Rs 40.42 crore. Apollo Ceramics was incorporated on September 17, 2026, and the group consolidated both entities from the respective dates on which control was obtained.

The group said it has one reportable segment, plastic products, because its tiles business did not meet the quantitative thresholds for separate segment disclosure. The consolidated results include Kisan Moulding Limited, KML Tradelinks Private Limited, Apollo Ceramics and Mazzini Tiles LLP.

Apollo Pipes’ board approved a scheme of arrangement on June 26, 2026 involving Apollo Pipes, Kisan Moulding and KML Tradelinks. The scheme requires approvals from stock exchanges, the National Company Law Tribunal, shareholders and creditors; separately, Apollo Pipes said it received the Rs 82.50 crore balance on 20 lakh warrants on October 16, 2026.

Conclusion

Apollo Pipes’ September-quarter return to profit reflected total income of Rs 317.79 crore exceeding expenses of Rs 317.10 crore, but it did not offset the Rs 11.11 crore June-quarter loss. The first-half consolidated loss of Rs 10.48 crore coincided with a reduction in balance-sheet cash and cash equivalents from Rs 82.20 crore at March 31 to Rs 17.34 crore at September 30.

The next disclosed matters to watch are the required approvals for the June 2026 scheme of arrangement and the financial effect of consolidating Apollo Ceramics and its 76% interest in Mazzini Tiles LLP. Apollo Pipes also received Rs 82.50 crore in outstanding warrant proceeds on October 16, 2026, after the September reporting date.