💰 Financial Performance

Revenue Growth by Segment

The company operates in a single segment, Industrial Packaging, which reported revenue of INR 197.3 Cr for H1 FY26, representing a growth of 18.8% YoY. Q2 FY26 revenue stood at INR 106.9 Cr, up 20.1% YoY.

Geographic Revenue Split

Revenue is generated across 5 manufacturing locations in India: Silvassa, Ratlam, Bhuj, Vizag, and Dahej. Specific percentage split per region is not disclosed, but the Dahej facility is a primary growth driver.

Profitability Margins

PAT margin improved to 6.24% in H1 FY26 from 5.92% in H1 FY25. For FY24, the PAT margin was 6.3% compared to 5.9% in FY23, showing a steady upward trend in bottom-line efficiency.

EBITDA Margin

EBITDA margin for H1 FY26 was 11.11%, a slight increase from 11.02% in H1 FY25. EBITDA for H1 FY26 reached INR 21.9 Cr, growing 19.6% YoY.

Capital Expenditure

The company has planned a capital expenditure of INR 15 Cr for automation and re-engineering of moulds. Additionally, FY26 capex is projected at INR 10 Cr (internal accruals) and FY27 capex at INR 20 Cr (INR 15 Cr debt-funded).

Credit Rating & Borrowing

CRISIL reaffirmed 'CRISIL A+/Stable' for long-term and 'CRISIL A1' for short-term facilities. Interest coverage ratio was healthy at 6.72x in FY24, with adjusted debt/networth at 0.19x.

⚙️ Operational Drivers

Raw Materials

The primary raw materials are polymers, specifically High-Density Polyethylene (HDPE), which constitute the bulk of the manufacturing cost for plastic drums and containers.

Import Sources

Not specifically disclosed, but the company leverages the bulk procurement capabilities of its parent, Time Technoplast Ltd, which operates globally.

Key Suppliers

Not disclosed in available documents; however, procurement is centralized through the parent company, Time Technoplast Ltd (TTL).

Capacity Expansion

Current total capacity is 36,250 TPA across 5 facilities. Recent growth was driven by the ramp-up of the Dahej Greenfield facility, which contributed to a 23% volume growth in Q2 FY26.

Raw Material Costs

Raw material costs are highly susceptible to fluctuations in global polymer prices. The company manages this through bulk purchasing terms enabled by its parent company's market position.

Manufacturing Efficiency

ROCE improved by 70 bps from 20.3% in FY25 to 21.0% in H1 FY26. The company targets an annual ROCE increase of 1.5% to 2.0%.

Logistics & Distribution

The company maintains facilities at 5 strategic locations (Silvassa, Ratlam, Bhuj, Vizag, Dahej) to optimize distribution to chemical and pharma hubs.

📈 Strategic Growth

Expected Growth Rate

18.80%

Growth Strategy

Growth is driven by the ramp-up of the Dahej Greenfield facility and rising market demand in end-user industries. The company is investing INR 15 Cr in automation to enhance capacity and productivity while maintaining a strict dividend payout of at least 30% of PAT.

Products & Services

Technology-based industrial packaging products including HDPE drums (20-250 litre capacity), Jerry Cans, Intermediate Bulk Containers (IBCs), and small packaging (30ml to 10 litre).

Brand Portfolio

TPL Plastech (subsidiary of Time Technoplast Ltd).

New Products/Services

Focus on Intermediate Bulk Containers (IBCs) and technology-based polymer products for the chemical and FMCG sectors.

Market Expansion

Expansion is focused on the Dahej region to capture demand from the growing chemical and petrochemical belt in Gujarat.

Market Share & Ranking

Established market position in the rigid industrial packaging segment in India, supported by the parent company's leadership.

Strategic Alliances

75% of the company is owned by Time Technoplast Ltd (TTL), providing significant managerial, financial, and operational synergies.

🌍 External Factors

Industry Trends

The industry is shifting toward more durable and technology-based polymer packaging like IBCs to replace traditional metal packaging in the chemical sector.

Competitive Landscape

Operates in a competitive landscape with other rigid plastic packaging manufacturers, but benefits from a multi-location manufacturing footprint.

Competitive Moat

The primary moat is the 75% ownership by Time Technoplast, providing a 'parent notch-up' in credit ratings and access to superior procurement terms and technical expertise.

Macro Economic Sensitivity

Highly sensitive to the growth of the Indian chemical and pharmaceutical industries, which are the primary consumers of rigid packaging.

Consumer Behavior

Industrial consumers are increasingly demanding higher productivity and better supply capability, which TPL is addressing through its Dahej facility.

⚖️ Regulatory & Governance

Industry Regulations

Complies with Indian Accounting Standards (IND AS 108) for segment reporting and SEBI (Listing Obligations and Disclosure Requirements) Regulations.

Taxation Policy Impact

The company follows standard Indian corporate tax rates; H1 FY26 results show a tax expense of INR 4.14 Cr on a PBT of INR 16.47 Cr (~25%).

Legal Contingencies

The company disclaims liability for consequences arising from decisions based on forward-looking statements; no specific pending litigation values were disclosed.

⚠️ Risk Analysis

Key Uncertainties

Volatility in polymer prices (raw material) and potential downward rating actions on the parent company (TTL) which would affect TPL's credit standing.

Geographic Concentration Risk

Manufacturing is concentrated in India across 5 states/UTs, with a significant recent reliance on the Dahej facility for growth.

Third Party Dependencies

High dependency on Time Technoplast Ltd for managerial oversight, financial support, and raw material procurement synergies.

Technology Obsolescence Risk

Mitigated by a planned INR 15 Cr investment in automation and modernizing moulds and machinery.

Credit & Counterparty Risk

Receivables quality is generally stable given the established nature of clients in the chemical and pharma sectors, but working capital requirements remain high.