Are I G Petrochemicals Ltd latest results good or bad?

I G Petrochemicals Ltd's latest financial results for Q3 FY26 indicate significant challenges in its operational performance. The company reported a net loss of ₹10.86 crores, marking a notable decline from a profit of ₹28.54 crores in the same quarter last year. This loss reflects a substantial deterioration in profitability, as it represents the third consecutive quarter of losses for the company. Revenue for the quarter was ₹465.32 crores, which shows a year-on-year decrease of 16.62% from ₹558.05 crores in Q3 FY25. On a sequential basis, revenue remained virtually unchanged, with a marginal decline of 0.00% from the previous quarter. The operating margin also faced severe compression, dropping to 1.82% from 8.49% in the same quarter last year, indicating significant pressure on the company's cost structure or pricing power. The company's operating profit before depreciation, interest, tax, and other income (PBDIT excluding other income) fell dramatically to ₹8.49 crores, down 82.08% year-on-year from ₹47.38 crores. This sharp decline in operating profitability, coupled with rising interest expenses, which surged to ₹10.38 crores from ₹2.55 crores a year ago, has placed additional strain on the company's financial health. Furthermore, the nine-month performance for FY2026 shows a cumulative net loss of ₹25.85 crores on revenues of ₹1,400.71 crores, compared to a net profit of ₹89.73 crores on revenues of ₹1,726.15 crores during the same period last year. This trend indicates a complete erosion of profitability, with the nine-month PAT margin turning negative at -1.85% from a positive 5.20% in the prior year. The company's operational difficulties are further highlighted by its underperformance relative to the broader commodity chemicals sector, which has seen positive returns over the past year. I G Petrochemicals' stock has also faced significant volatility, trading 32.48% below its 52-week high and showing a notable decline over various timeframes. In light of these results, I G Petrochemicals has experienced an adjustment in its evaluation, reflecting the ongoing challenges it faces in stabilizing its financial performance and restoring investor confidence. The upcoming quarters will be critical for the company to demonstrate a path toward recovery and profitability.