Facility: 75,000 square feet facility at Madanpur, Guwahati
Capacity: 3,000 cubic meters per annum in first phase
Timeline:
Machinery shipped from China, expected arrival mid-August 2026
Installation targeted for completion by end-September 2026
Commercial contribution expected from Q4 FY27
Processing Model: Upstream board production at Guwahati, value-added carpentry and finishing at Khatalwada facility (Gujarat)
Capex: ₹15 crores for 3,000 CBM capacity, with potential increase for next phase
Margin Profile: Slightly higher than plastic business
Policy Support: Memorandum of Understanding with North Eastern Cane and Bamboo Development Corporation under Ministry of Development of North Eastern Region
Management Guidance
FY27 Capacity Utilization Target: 75% on 41,000 ton capacity
Revenue Growth Outlook: 15-20% if geopolitical situation stabilizes
Margin Recovery: Expected once situation normalizes, with full benefits visible after one quarter of normalization
EBITDA Margin Target: 18-19% sustainable at 80% capacity utilization
Operational Challenges
Monsoon Impact: Production shutdown due to power disruptions
Khatalwada facility: 1.5 days
Daman plant: 3 days
No major asset damage reported
Customer Concentration
Largest Customer: Planning aggressive India expansion with 20-25 stores over next 2-3 years
Each store contributes approximately ₹40-50 lakhs per month
Expected to drive domestic business growth and import substitution opportunities
Seasonal Patterns
Business shows some seasonality with H2 typically stronger than H1
No significant quarterly seasonality within the business model