Styrenix consolidated PAT sinks 48% YoY, 83% QoQ as Thailand unit swings to ₹30 Cr loss

Styrenix Performance Materials' consolidated PAT fell 48.2% YoY to ₹23.17 Cr (from ₹44.72 Cr in Q2 FY26) and 83.2% QoQ (from ₹138.30 Cr in Q1 FY27), even as consolidated revenue rose 24.4% YoY to ₹993.51 Cr, though it slipped 1.7% QoQ from ₹1,010.86 Cr. Consolidated EPS fell to ₹13.18 from ₹78.64 in Q1 FY27 and ₹25.43 a year ago. On a standalone (India) basis the picture is materially different: PAT was nearly flat YoY at ₹51.20 Cr (vs ₹50.78 Cr), a greater than 3% divergence from the consolidated YoY move that readers should note — the consolidated miss is driven almost entirely by the Thailand step-down subsidiary swinging to a ₹(29.62) Cr net loss on ₹226.15 Cr of revenue this quarter, reviewed by other auditors per the limited review report; the UAE subsidiary (FZE) is dormant and immaterial. Margins compressed sharply at the group level: NPM fell to 2.32% from 13.64% in Q1 FY27 and 5.58% a year ago, while OPM (EBITDA excluding other income, over revenue) fell to 7.23% from 21.79% QoQ and 10.70% YoY. Even on a standalone basis, cost of materials consumed rose to 76.4% of revenue this quarter versus roughly 69% in both Q1 FY27 and Q2 FY26 — raw material cost pressure (styrene monomer pricing, flagged by management last quarter as elevated at $1,100–$1,400 versus a pre-war ~$1,000) is outpacing finished-product price pass-through, which management had expected to normalize. Depreciation rose modestly (₹30.36 Cr consolidated vs ₹26.16 Cr YoY) consistent with ongoing ABS capacity expansion capex. No street estimates for this quarter could be located (small-cap with limited published coverage), so vsStreet is unknown. Against management's own prior commentary — raw material volatility persisting (confirmed) but finished-product pricing normalizing with input costs (not evident this quarter, standalone COGS ratio rose) — the print reads as a miss on the pricing-normalization expectation specifically; the no-numerical-guidance caveat from the last call still applies, so this is a qualitative read, not a hard target comparison. There is no fresh management press release in the record for this result. Among the quarter's other corporate developments, the company received a ₹1.92 Cr tax demand order (25-Sep-26) — immaterial relative to the P&L and not booked as an exceptional item; the ₹23 interim dividend, AGM notice, and BRSR/annual report filings in August are routine and unrelated to this quarter's operating numbers. Going into Q3 FY27, the key swing factor is whether the Thailand subsidiary's loss was a one-off (e.g., inventory/FX timing) or a recurring drag, and whether India standalone margins — which also compressed QoQ from 26.2% to 10.8% PBDIT margin — stabilize as the ABS capacity expansion (capex/CWIP of ₹181–185 Cr) comes online per management's Q3–Q4 FY27 completion timeline.