POLYPLEX - Polyplex Corpn

📊 NSE: POLYPLEX 🏢 Packaging 📅 Last Updated: 12/14/2025 11:06

💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue grew 6.8% from USD 760 million in FY24 to USD 812 million in FY25. The business is split between Packaging (65% of sales) and Industrial (35% of sales) segments.

Geographic Revenue Split

Revenue is diversified across Europe (31%), India (24%), Americas (21%), Other Asian countries (16%), and Rest of World (8%).

Profitability Margins

EBITDA margins improved from 8% in FY24 to 11% in FY25, though they remain below the 21% peak seen in FY22. Net profit after tax for the Thailand subsidiary was Rs. 1,343 lakhs for Q2 FY26.

EBITDA Margin

EBITDA margin stood at 11% in FY25, a 300 bps improvement YoY from 8% in FY24. EBITDA per kg increased from USD 0.18 to USD 0.26 over the same period.

Capital Expenditure

Capex was USD 59 million (approx. INR 490 Cr) in FY25 and USD 28 million in H1 FY26, primarily focused on the new BOPET film line expansion in the USA.

Credit Rating & Borrowing

The company maintains a net cash position with liquid investments and undrawn credit lines aggregating to INR 2,43,219 Lakh as of the reporting period end.

⚙️ Operational Drivers

Raw Materials

Key raw materials include PET Resin (backward integrated), BOPET, and BOPP inputs. Raw material expenses increased 5% in FY25 due to higher BOPET prices.

Import Sources

Sourced globally with a focus on local raw material sources near manufacturing facilities in India, Thailand, Turkey, USA, and Indonesia to optimize logistics.

Key Suppliers

Not specifically named in available documents; however, the company utilizes a strategy of alternate vendor and raw material sourcing to reduce input costs.

Capacity Expansion

Current production volume is 226 KMT (FY25). A new film line in the USA is currently in the ramp-up phase, which temporarily reduced H1 FY26 utilization to 67%.

Raw Material Costs

Total manufacturing expenses were INR 5,06,722 Lakh in FY25, representing 73% of sales. RM costs are passed through to customers with a varying lag.

Manufacturing Efficiency

Maintains superior capacity utilization of 96% in FY25 compared to the industry average of 59%, driven by deep customer access and specialty film focus.

Logistics & Distribution

Logistics costs are optimized through proximity of manufacturing to customers; input cost reduction across freight is a primary target of the PIP.

📈 Strategic Growth

Expected Growth Rate

Growth Strategy

Growth is driven by a 7% CAGR in capacity addition, the ramp-up of the new USA film line, and the 'Profit Improvement Plan' (PIP) launched in April 2024 focusing on cost optimization and margin enhancement.

Products & Services

BOPET films (Thin and Thick), BOPP films, PET Resin (including recycled), CPP/Blown films, and downstream metallized/coated films.

Brand Portfolio

Polyplex, D-PAC (Differentiated Products, Applications, and Customers portfolio).

New Products/Services

Focus on specialty and high value-added films (D-PAC) to make earnings more predictable and preserve profitability moats.

Market Expansion

Expansion in the USA to reach an optimum combination of two BOPET lines with matching captive PET Resin capacity.

Market Share & Ranking

Industry leader in capacity utilization (96% vs 59% industry average) due to superior market access.

Strategic Alliances

Collaborative product and application development with global converters and brand owners.

🌍 External Factors

Industry Trends

The industry is currently facing overcapacity (59% utilization); trends favor local/regional sourcing and players with a global manufacturing footprint.

Competitive Landscape

Competes with global and regional BOPET/BOPP producers; maintains advantage through a competitive cost structure on a DDP (Delivered Duty Paid) basis.

Competitive Moat

Sustainable moat built on global manufacturing presence, backward integration into resin (unique among large producers), and a high proportion of specialty D-PAC sales.