Haldyn Glass - Haldyn Glass

📊 BSE: 515147 🏢 Packaging 📅 Last Updated: 11/13/2025 15:25

💰 Financial Performance

Revenue Growth by Segment

The liquor sector contributes 70% of total revenue, while the remaining 30% is derived from FMCG, food and beverage, and cosmetics segments. Total operating income grew 27.5% YoY to INR 382.69 Cr in FY25 from INR 300.16 Cr in FY24.

Geographic Revenue Split

Domestic sales account for the majority of revenue. Export contribution was 28% in FY24, 16% in FY25, and increased to 23% in H1FY26, targeting markets in the US, Africa, Nepal, and Sri Lanka.

Profitability Margins

PAT margin remained stable at 6.25% in FY24 (INR 18.76 Cr) compared to 6.11% in FY23 (INR 19.70 Cr), despite higher interest and depreciation costs from capital expenditure.

EBITDA Margin

PBILDT margin improved from 13.88% in FY24 (INR 41.68 Cr) to 14.38% in FY25 (INR 55.02 Cr) and further to 15.06% in H1FY25, driven by product premiumization and stable raw material prices.

Capital Expenditure

The company successfully completed a capacity expansion project in Q2FY25, increasing total melting capacity from 350 tons per day to 445 tons per day. Historical long-term borrowings for financing activities stood at INR 74.33 Cr as of March 31, 2024.

Credit Rating & Borrowing

Long-term bank facilities of INR 168.00 Cr are rated CARE A-; Stable (reaffirmed in January 2026). Short-term bank facilities of INR 14.00 Cr are rated CARE A2.

⚙️ Operational Drivers

Raw Materials

Key raw materials include soda ash and fuel (natural gas or furnace oil). Fuel costs are highly significant, representing approximately 25% of total production expenses.

Import Sources

Not disclosed in available documents, though the manufacturing plant is located in Vadodara, Gujarat.

Capacity Expansion

Current installed capacity is 445 tons per day (increased from 350 TPD) across two glass melting furnaces (285 + 160 TPD) and nine I.S. machines capable of producing 1.5 million containers daily.

Raw Material Costs

Raw material costs (soda ash) and fuel are subject to price volatility. The company manages this by adjusting the fuel mix (furnace oil vs. natural gas) and passing on costs to clients with a lag.

Manufacturing Efficiency

Efficiency is supported by in-house mould designing and manufacturing capabilities, allowing for the production of containers ranging from 10 ml to 2500 ml with high design flexibility.

📈 Strategic Growth

Expected Growth Rate

27.5%

Growth Strategy

Growth will be achieved by utilizing the newly enhanced 445 TPD capacity, diversifying the revenue base to reduce liquor sector exposure from 70% to 50% within two years, and expanding the export footprint (currently 23% of revenue) in premium international markets.

Products & Services

Manufacturing and marketing of glass bottles and glass-based containers for the liquor, food, beverage, FMCG, and cosmetics industries.

Brand Portfolio

Haldyn Glass Limited; Haldyn Heinz Fine Glass Private Limited (Joint Venture).

New Products/Services

The company is focusing on premium quality glass production and product diversification into the cosmetics and perfume segments through its joint venture.

Market Expansion

Targeting expansion in export markets including the US, Africa, Nepal, and Sri Lanka to diversify beyond the domestic liquor segment.

Strategic Alliances

HGL maintains a 50:50 joint venture with Heinz Glass International GmbH (Germany), named Haldyn Heinz Fine Glass Private Limited (HHFPL), with an equity investment of INR 41.75 Cr.

🌍 External Factors

Industry Trends

The glass container industry is seeing a shift toward premiumization and sustainable packaging. HGL is positioning itself by dedicating production lines to premium glass for international markets.

Competitive Landscape

The company operates in a competitive glass manufacturing sector, differentiated by its ability to produce a wide range of container sizes (10ml to 2500ml).

Competitive Moat

Moat is built on 50+ years of promoter experience, in-house mould design flexibility, and long-term associations with reputed clients which act as a barrier to entry.

Macro Economic Sensitivity

Highly sensitive to fuel price inflation and regulatory changes or demand shifts in the domestic liquor industry.

Consumer Behavior

Increasing consumer preference for premium-packaged alcoholic and non-alcoholic beverages is driving HGL's shift toward the premium segment.

Geopolitical Risks

Export profitability margins are subject to global uncertainty, particularly in the US market.

⚖️ Regulatory & Governance

Industry Regulations

Operations are subject to Indian Accounting Standards (Ind AS) and Companies Act 2013. The liquor segment is subject to state-specific alcohol regulations and demand fluctuations.

Legal Contingencies

The Auditor's Report for FY25 noted qualifications under CARO clauses [i][c] (title deeds of immovable property) and [vii] (statutory dues) for the Holding Company.

⚠️ Risk Analysis

Key Uncertainties

Volatility in fuel prices (25% of costs) and high revenue concentration in the liquor sector (70%) are the primary business uncertainties.

Geographic Concentration Risk

Manufacturing is concentrated at a single location in Vadodara, Gujarat. Revenue is primarily domestic-focused with 77% of sales from India in H1FY26.