PI Industries shares fell to a fresh 52-week low of ₹2,191 on 11 September after a key client, Kumiai Chemical, cut its profit outlook.

The trigger came from Japan. Kumiai Chemical, one of PI Industries’ largest clients, lowered its operating profit guidance sharply for the fiscal year ending October 2026, cutting it to ¥2.7 billion from an earlier estimate of ¥7.2 billion.

This matters for PI Industries because of how closely tied the two companies are. PI supplies pyroxasulfone, an agrochemical molecule that Kumiai sells under the brand name AXEEV, and this single product accounts for around 40% of PI’s overall sales.

Kumiai attributed its guidance cut mainly to an inventory valuation loss, after generic versions of AXEEV entered markets outside Japan and pushed prices lower.

This news lands at a difficult time for PI Industries. The company’s first quarter results, released last month, already showed pressure across the board.

Consolidated profit fell 39% to ₹244 crore from ₹400 crore a year earlier. Revenue from operations dropped 10.4% to ₹1,702 crore, while EBITDA declined nearly 30% to ₹367 crore, with margins narrowing to 21.6% from 27.3% in the same period last year.

Investors have been watching closely because Kumiai’s guidance cut raises questions about pricing pressure on a molecule that plays a large role in PI’s export business.

The company has been trying to diversify its custom manufacturing portfolio into new areas like pharmaceuticals and electronic materials to reduce its reliance on any single client or product.

As of 15:21 pm on 11 September, PI Industries shares were trading at ₹2,257 on the NSE, down 4.57% for the day. The stock has now fallen close to 30% since the start of the year.

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