Pearl Global Industries (PGIL IN) – Analyst Meet Update – Beyond targets, aiming for a new growth horizon – Upgrade to ‘BUY’
Published on 25 Sep 2026
We attended Pearl Global Industries (PGIL) Analyst Day, where management highlighted its strong performance against the goals set 2024, and outlined the path for future growth. Bangladesh remains the key growth hub, where it recently inaugurated a new ~7mn pieces capacity, to take capacity to ~108mn. The company also expects improved performance in India, while Vietnam continues to focus on high-value products and future expansion. PGIL plans INR6,750-7,250mn capex through FY30, split between capacity expansion and backward integration. Current trajectory indicates that the company is ahead of its earlier targets, with the INR60bn revenue target expected to be achieved before FY28E. For FY30, management targets INR90-100bn revenue and ~INR11-14bn adjusted EBITDA, implying 16-18% and 23-32% CAGR, respectively. Revenue growth will be primarily driven by capacity (targeting 170-175mn pieces per annum by FY30), while targeting 12-14% margins. We roll forward our estimates to FY29E while factoring the newly announced growth plans. We expect revenue/EBITDA/PAT to grow 17%/31%/35% over FY26-29E. EBITDA margins are estimated to reach 12.8%, driven by operating leverage and backward integration. We value the stock at 24x Sep’28E with a TP of INR1,500 (earlier INR1,167). Upgrade to ‘BUY‘ from ‘Accumulate’.
