Permanent Magnets Ltd-$ — Q4 FY26 earnings call
Summary generated by AI from the official transcript Permanent Magnets Ltd-$ filed with BSE on 21 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Permanent Magnets Limited reported Q4 FY26 standalone revenue of INR 66 crores, up 47% year-on-year, while full-year FY26 revenue rose 13% to INR 225 crores. Management attributed the growth to a recovery in the Alloys division, exports, and steady performance in electricity meter and automotive applications after a weaker first half. EBITDA margin for the full year came in at 17% versus 14% a year earlier, while management also discussed delays in the Relays project and no rare earth magnet revenue during the year due to Chinese export restrictions.
Numbers mentioned
Standalone revenue from operations: INR 66 crores (Q4 FY26)
p. 3
“Standalone revenue from operations for quarter 4 stood at INR 66 crores, an increase of 47% year-on-year.”
Sharad Taparia, page 3 of the filed PDF · View the filing
Standalone revenue from operations: INR 225 crores (FY26)
p. 3
“For the full year, Standalone revenue from operations stood at INR 225 crores, reflecting an increase of 13% year-on-year.”
Sharad Taparia, page 3 of the filed PDF · View the filing
EBITDA margin: 17% (FY26)
p. 3
“The EBITDA margins for the year stood at 17% as against 14% in the previous year.”
Sharad Taparia, page 3 of the filed PDF · View the filing
EBITDA margin: 15% (Q4 FY26)
p. 3
“For quarter 4, EBITDA margins came in at 15%, an improvement on a year-on-year basis with some moderation on a sequential basis.”
Sharad Taparia, page 3 of the filed PDF · View the filing
Alloys division capex: INR18 crores (FY26)
p. 7
“For Alloys, we have done around INR18 crores capex.”
Sharad Taparia, page 7 of the filed PDF · View the filing
Relays division capex: INR 5 crores to INR 6 crores (FY26)
p. 7
“And for Relays, we have done around INR 5 crores to INR 6 crores capex.”
Sharad Taparia, page 7 of the filed PDF · View the filing
Debt: around INR20 crores
p. 10
“It is not INR85 crores debt. Debt is around INR20 crores.”
Sukhmal Jain, page 10 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Relays commercial ramp-up — H2 FY27
stated firmly by Sharad Taparia
p. 4
“On the Relays project, we are behind the original timelines with commercial ramp-up now expected from second half of financial year '27.”
Sharad Taparia, page 4 of the filed PDF · View the filing
Quantum Magnetics Phase 2 capex — Q3, Q4 FY27
stated firmly by Sharad Taparia
p. 4
“For Quantum Magnetics, the Phase 2 capex covering block cutting, machining and surface treatment is expected to be implemented in quarter 3, quarter 4 of financial year '27.”
Sharad Taparia, page 4 of the filed PDF · View the filing
Revenue growth — 20% to 30% · FY27
stated conditionally by Sharad Taparia
p. 7
“I would put the estimate between 20% to 30%, maybe more also depending on the orders that we click in the Alloys business and Relays business.”
Sharad Taparia, page 7 of the filed PDF · View the filing
Capex outlay for PML — INR 40 crores to INR 50 crores
stated conditionally by Sharad Taparia
p. 7
“It could be between INR 40 crores to INR 50 crores for PML itself and another INR 40 crores to INR 50 crores could be the plan in Quantum, roughly.”
Sharad Taparia, page 7 of the filed PDF · View the filing
Relays revenue — INR 25 crores to INR 50 crores · FY27
stated conditionally by Sharad Taparia
p. 8
“See, the current capacity that we are planning to set up, we can expect maybe in FY27 maybe between INR 25 crores to INR 50 crores, maybe something like this could be possible.”
Sharad Taparia, page 8 of the filed PDF · View the filing
EBITDA margin — 15% to 18% · FY27
stated conditionally by Sharad Taparia
p. 9
“Yes, EBITDA, roughly that level, 15%, 17%. 15% to 18% you can say.”
Sharad Taparia, page 9 of the filed PDF · View the filing
Rare earth magnet assembly sales — INR10 crores, INR15 crores · Q4 FY27
stated conditionally by Sharad Taparia
p. 10
“So that we are estimating maybe about INR10 crores, INR15 crores, something like that may happen in quarter 4.”
Sharad Taparia, page 10 of the filed PDF · View the filing
5,000-tonne rare earth magnet plant revenue potential — INR 3,000 crores to INR 4,000 crores
stated as an aspiration by Sharad Taparia
p. 9
“And in totality, 5,000 tonnes, depending on the sale price, it can range from somewhere between, let's say, INR 3,000 crores to maybe INR 4,000 crores, something like that, 5,000 tonnes.”
Sharad Taparia, page 9 of the filed PDF · View the filing
Alloys division utilization ramp-up — 3 to 4 times last year · FY27
stated conditionally by Sharad Taparia
p. 5
“And now ramp-up, approximately, as per current estimates, we are looking this year to about, let's say, in financial year '27 to maybe about 3 to 4 times what we have done in the last year.”
Sharad Taparia, page 5 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said it is still evaluating which scheme to apply for and will decide in coming weeks.
Answered by Sharad Taparia
Asked by Prathamesh Dhiwar: Whether the company expects government PLI incentives for rare earth capex.
p. 4
“We are yet evaluating the scheme and that decision, whether to participate or what to do, we will take in these coming few weeks.”
Sharad Taparia, page 4 of the filed PDF · View the filing
Management said there was no revenue due to Chinese export restrictions on magnets.
Answered by Sharad Taparia
Asked by Prathamesh Dhiwar: How much revenue came from rare earths in FY26.
p. 4
“There was no revenue in FY26 because of the restrictions from China for export of magnets.”
Sharad Taparia, page 4 of the filed PDF · View the filing
Management said utilization was near full capacity in Q4 and expects 3-4x scale-up in FY27.
Answered by Sharad Taparia
Asked by Rohit: What was the exit utilization rate for the Alloys furnace in Q4 and how would it ramp up in FY27.
p. 5
“So, utilization, we installed the furnace in January and utilization was almost at about 80%, 90%, almost full capacity we utilized until the end of the year.”
Sharad Taparia, page 5 of the filed PDF · View the filing
Management estimated the total market at INR 6,500-7,000 crores for the full meter replacement cycle.
Answered by Sharad Taparia
Asked by Rohit: What is the total addressable market for the electricity meter relay business.
p. 6
“The total addressable market is about for the entire 25 crores meter replacement, you can say it can be about between INR 6,500 crores to INR 7,000 crores.”
Sharad Taparia, page 6 of the filed PDF · View the filing
CFO clarified standalone debt is around INR 20 crores and the higher figure reflects consolidated numbers including an ECB.
Answered by Sukhmal Jain
Asked by Parth Panat: Debt levels appear to have risen sharply from INR 15 crores to INR 85 crores.
p. 10
“So we got $5 million of ECB in our subsidiary.”
Sukhmal Jain, page 10 of the filed PDF · View the filing
Management said no approvals were received and customers are shifting to light rare earth alternatives.
Answered by Sharad Taparia
Asked by Nayan Agarwal: Whether Chinese rare earth restrictions have eased as previously expected.
p. 10
“No, we did not get any approval for our products that we were importing. So there has been no sale in the last year.”
Sharad Taparia, page 10 of the filed PDF · View the filing
Management acknowledged the delay versus original plans.
Answered by Sharad Taparia
Asked by Vivek Seth: Why has commercialization of Relays and Quantum Magnetics been delayed compared to earlier expectations.
p. 11
“We were expecting it to implement much earlier. We were expecting the Relay to start much earlier. That did not happen.”
Sharad Taparia, page 11 of the filed PDF · View the filing
Management said its EV supply is mainly to European and American platforms and it has not captured Chinese EV growth.
Answered by Sharad Taparia
Asked by Vivek Seth: Why is the EV-linked business not growing in line with peers despite a European rebound.
p. 12
“We understand that the major growth is being taken up by Chinese companies for EVs. So we did not experience orders for our products that we are selling currently to those platforms.”
Sharad Taparia, page 12 of the filed PDF · View the filing
Risks flagged
Lower exports to the USA due to tariff policies and weaker domestic demand in the energy meter segment in H1 FY26
p. 3
“While the first half of FY26 was impacted by lower exports, particularly to the U.S.A. on account of tariff policies and a weaker domestic demand in energy meter segment, the second half of financial year '26 fared better in terms of top line growth”
Sharad Taparia, page 3 of the filed PDF · View the filing
Delays in Relays project commercialization due to testing and customer approval timelines
p. 4
“Testing is currently underway and customer approvals are in progress, both of which have taken longer than our initial expectations.”
Sharad Taparia, page 4 of the filed PDF · View the filing
No rare earth magnet revenue due to Chinese export restrictions
p. 10
“So there has been no sale in the last year.”
Sharad Taparia, page 10 of the filed PDF · View the filing
Lack of orders from Chinese EV platforms which are growing more aggressively than other markets
p. 12
“So that we do not have any business for the Chinese EVs.”
Sharad Taparia, page 12 of the filed PDF · View the filing
Uncertainty in ramp-up pace depending on customer order timing and adoption
p. 13
“Now it can change based on how early the customer adopts and whether they want to ramp up faster or slower, that may change.”
Sharad Taparia, page 13 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.