Reporting Boundary and Framework

The report covers all Indian manufacturing operations (16 plants) and subsidiaries accounting for over 99% of consolidated revenue. International subsidiaries Century Gabon SUARL and Century Panels B.V. are excluded. The report follows GRI Standards 2021 and Business Responsibility and Sustainability Reporting requirements.

Third-Party Assurance

Moore Singhi Advisors LLP provided independent assurance on selected non-financial information in accordance with ISAE 3000 and ISAE 3410 standards. The assurance covered energy consumption, GHG emissions, water management, waste, and social indicators.

Financial Performance Highlights

  • Consolidated revenue from operations: ₹5,397.18 crore (19.2% growth YoY)
  • EBITDA: ₹660.64 crore (12.2% margin)
  • Profit After Tax: ₹268.33 crore
  • Cash from operations: ₹558.12 crore (improved from ₹107.40 crore in FY25)
  • Economic value generated: ₹5,40,742 lakh
  • Economic value distributed: ₹4,97,923 lakh (including operating costs, employee compensation, capital payments)
  • AA rating with stable outlook from ICRA reaffirmed

Expansion and Capital Expenditure

  • Completed previous expansion program of approximately ₹2,000 crore
  • Planned capex of ₹2,500 crore over next five years
  • Revenue target of ₹12,000 crore by FY 2030-31

Environmental Performance

Climate Goals:

  • Net zero Scope 1 and Scope 2 emissions target by 2050
  • FY 2025-26 established as base year for decarbonization pathway

Energy Management:

  • Total energy consumption: 4,974.99 TJ (DEFRA methodology)
  • Renewable energy: 18% of total electricity consumption
  • Installed solar capacity: 14.26 MW across manufacturing units
  • Wood waste and biomass: 91% of total fuel consumption
  • Energy intensity improved by 3% per lakh of revenue

GHG Emissions:

  • Scope 1: 341,000 tCO2e (including biogenic)
  • Scope 2: 59,487 tCO2e
  • Emission intensity improved by 11% per lakh revenue and 8% per CBM production
  • Scope 3 emissions tracking initiated for categories 1,2,4,9

Water Management:

  • Water withdrawal: 3,16,096 KL
  • Zero Liquid Discharge implemented across all facilities
  • 33% of acquired land maintained under green cover
  • Water intensity improved by 12% per lakh revenue

Waste Management:

  • Total waste generated: 1,66,643.34 MT
  • Wood waste constitutes 98% of total waste, utilized as biomass fuel
  • Waste intensity improved by 24% per lakh revenue

Social Performance

Workforce Statistics:

  • Total workforce: 16,918 (4,823 employees + 12,095 workers)
  • Permanent employee turnover: 23% (down from 25%)
  • Permanent worker turnover: 26% (up from 18%)
  • Women representation: 4% of employees, 7% of workers
  • 26 differently-abled employees across functions

Training and Development:

  • 1,730 training programs conducted
  • 3,814 employees benefited from education/certification programs
  • Employee engagement score: 83% (Great Place to Work)

Health and Safety:

  • ISO 45001 certification at 5 facilities
  • Target: Implement ISO 14001 and ISO 45001 across all facilities by FY 2027-28
  • Lost Time Injury Rate: 0.26 for employees, 1.79 for workers
  • 1 work-related fatality recorded (worker)

Governance Structure

Board Composition:

  • 16 Directors (8 Executive + 8 Non-Executive Independent)
  • 4 women Directors
  • 7 Board-level committees

ESG Governance:

  • Multi-level governance with Board, Risk Management Committee, ESG Committee
  • ESG Committee comprises Executive Director and all Plant Heads

Supply Chain and Sourcing

  • 98% timber sourced through agroforestry and farm forestry
  • Over 50% timber is FSC-certified
  • Distributed 78+ lakh saplings to farmers and communities
  • Target: Distribute 3 crore saplings by 2030
  • 43.36% procurement from MSMEs
  • 75.85% from domestic suppliers

CSR and Community Initiatives

  • CSR expenditure: ₹1,520 lakh
  • Four focus areas: Vatavaran Sanrakshan, Gyanoday, Swasthya aur Swachhata, Samajik Kalyan
  • Key initiatives include pediatric cancer care, disability support, and educational scholarships

Product and Innovation

  • Portfolio: 33,233 SKUs across plywood, veneers, laminates, MDF, particle board
  • R&D investment: ₹308.83 lakh
  • Product certifications: IS, BS, ASTM, FSC, CARB, GREENGUARD Gold
  • Life Cycle Assessment conducted for High Pressure Laminates

Risk Management

Identified and mitigated key risks including economic fluctuations, policy changes, raw material availability, site selection, demand variability, competition, climate disruptions, project delays, payment collections, debt servicing, talent retention, ESG compliance, safety standards, investment requirements, innovation, geographic concentration, and forex fluctuations.

Forward-Looking Statements

The report contains forward-looking statements based on current expectations that may change due to regulatory changes, market dynamics, or operational challenges. The company assumes no obligation to update these statements except as required by law.