Panasonic Carbon India profit falls 42% as revenue drops 48%

Panasonic Carbon India Co. Limited reported profit after tax of Rs 3.44 crore for the quarter ended 30 September 2026, down 42% from Rs 5.92 crore a year earlier, as revenue from operations fell 48% to Rs 8.91 crore. Profit before tax declined 52% to Rs 4.67 crore despite lower material, power and other expenses.

Why did Panasonic Carbon India’s September-quarter profit decline?

Panasonic Carbon India’s profit declined alongside a Rs 8.21 crore year-on-year reduction in revenue from operations. Revenue was Rs 8.91 crore in the September 2026 quarter, compared with Rs 17.12 crore in the September 2025 quarter. Total income, including other income, fell to Rs 12.07 crore from Rs 20.48 crore over the same comparison.

The company remained profitable, but the decline in income was larger than the reduction in expenses. Profit before tax was Rs 4.67 crore, versus Rs 9.70 crore a year earlier, while profit after tax was Rs 3.44 crore, versus Rs 5.92 crore. Tax expense decreased to Rs 1.22 crore from Rs 3.18 crore, partly moderating the fall in post-tax profit.

The change also appears in earnings per share, or EPS, which was not annualised for either quarter. Diluted EPS fell by Rs 5.16 to Rs 7.18 from Rs 12.34. Panasonic Carbon India had paid-up equity share capital of Rs 4.80 crore, with a face value of Rs 10 per share, unchanged across the reported periods.

How did Panasonic Carbon India’s costs change in the quarter?

Panasonic Carbon India’s total expenses fell 31% year on year to Rs 7.40 crore in the September 2026 quarter from Rs 10.78 crore, but did not fall as sharply as revenue. Cost of materials consumed decreased to Rs 2.53 crore from Rs 4.79 crore, a reduction of Rs 2.26 crore, as revenue from operations declined by Rs 8.21 crore.

Power and fuel expense declined to Rs 89.60 lakh from Rs 1.46 crore, while other expenses decreased to Rs 1.33 crore from Rs 2.19 crore. Employee benefits expense was Rs 2.41 crore, against Rs 2.56 crore in the prior-year quarter. Depreciation expense declined to Rs 14.92 lakh from Rs 17.52 lakh.

Changes in inventories of finished goods and work in progress were an expense of Rs 8.63 lakh in the September 2026 quarter. In the September 2025 quarter, the same line showed a negative Rs 38.62 lakh, which reduced expenses in that period. This period-to-period shift added Rs 47.25 lakh to the expense comparison, even as material and energy spending fell.

Other income was Rs 3.16 crore in the September 2026 quarter, compared with Rs 3.36 crore in the prior-year quarter. The relatively small decline in other income did not offset the reduction in sales. The filing identifies Panasonic Carbon India as a single operating segment manufacturing carbon rods and carbon electrodes used in dry-cell batteries.

How does Panasonic Carbon India’s September quarter compare with June?

Panasonic Carbon India’s September-quarter revenue and profit also declined sequentially from the June 2026 quarter. Revenue from operations fell 20% from Rs 11.10 crore in the June quarter to Rs 8.91 crore in the September quarter. Profit after tax decreased 19% from Rs 4.26 crore to Rs 3.44 crore, while profit before tax fell from Rs 5.71 crore to Rs 4.67 crore.

Total income decreased to Rs 12.07 crore in the September quarter from Rs 14.36 crore in the June quarter. Total expenses decreased to Rs 7.40 crore from Rs 8.65 crore, including employee benefits expense of Rs 2.41 crore versus Rs 2.72 crore and power and fuel expense of Rs 89.60 lakh versus Rs 1.05 crore.

Total comprehensive income was Rs 3.41 crore in the September quarter, compared with Rs 4.34 crore in the June quarter. The September result included other comprehensive loss of Rs 3.02 lakh on remeasurement of defined-benefit plans, net of tax, whereas the June quarter recorded other comprehensive income of Rs 3.18 lakh.

What do Panasonic Carbon India’s half-year results and balance sheet show?

Panasonic Carbon India reported revenue from operations of Rs 20.01 crore for the half year ended 30 September 2026, down 39% from Rs 33.00 crore in the corresponding half year. Profit after tax declined 37% to Rs 7.70 crore from Rs 12.22 crore, and profit before tax declined to Rs 10.38 crore from Rs 18.16 crore.

Half-year total expenses were Rs 16.05 crore, compared with Rs 21.33 crore a year earlier. Materials consumed fell to Rs 5.51 crore from Rs 8.49 crore, and power and fuel expense fell to Rs 1.94 crore from Rs 2.77 crore. Other expenses declined to Rs 2.98 crore from Rs 4.23 crore, while employee benefits expense was Rs 5.13 crore.

Total assets stood at Rs 195.70 crore on 30 September 2026, compared with Rs 193.56 crore on 31 March 2026. Total equity increased to Rs 189.67 crore from Rs 187.68 crore, including other equity of Rs 184.87 crore. Total liabilities were Rs 6.03 crore, compared with Rs 5.88 crore at the March year-end.

Net cash generated from operating activities in the half year was Rs 3.61 crore, lower than Rs 7.50 crore in the corresponding prior-year period. Cash and cash equivalents ended the half year at Rs 69.13 lakh, down from Rs 1.07 crore at 31 March 2026. Panasonic Carbon India paid a final dividend of Rs 12 per share, amounting to Rs 5.76 crore, during both half-year periods shown in the cash-flow statement.

Conclusion

Panasonic Carbon India’s September-quarter results show that the 48% fall in revenue from operations was only partly absorbed by lower costs. Materials, power and other expenses declined, yet profit before tax fell 52% and profit after tax fell 42% because the reduction in total income exceeded the reduction in total expenses.

The filing does not disclose a revenue target or operational plan for the carbon-rods segment. The next results will show whether the first-half revenue decline to Rs 20.01 crore, the reduction in operating cash generation to Rs 3.61 crore and cash and cash equivalents of Rs 69.13 lakh persist or change.