• Event Type: Q1 FY27 Earnings Conference Call discussing unaudited financial results for quarter ended 30th June, 2026.
  • Date and Time: Tuesday, 4th August, 2026 (time not specified in transcript).
  • Purpose: Discussion of quarterly results, business updates, and strategic initiatives.
  • Management Participants: Mr. Sanjay Agarwal (MD and CEO), Mr. Keshav Bhajanka (Executive Director), Mrs. Nikita Bansal (Executive Director), Mr. Arun Julasaria (CFO), Mr. Sumant Wattas (CEO MDF and Particle Board Business), Mr. Vishu Goel (CEO Laminates Business).
  • Moderator: Mr. Naveen Agrawal from SKP Securities Limited.
  • Compliance: The company indicated that the discussion may contain forward-looking statements subject to risks and uncertainties, and referred participants to detailed financial disclosures on stock exchange websites.

Financial Highlights Discussed

Consolidated Performance:

  • Revenue: INR1,561 crores (33.5% YoY growth) - highest-ever quarterly revenue
  • EBITDA margin excluding forest losses: 13.0%
  • Profit After Tax: INR83.3 crores (57% YoY growth)
  • ROE improved from 13.1% to 13.5%
  • ROCE improved from 13.4% to 14.4%

Business Segment Performance:

Plywood Business:

  • Revenue growth: 32.4% YoY and 8.9% sequential
  • EBITDA margin: 16.9% (described as highest in industry)
  • Implemented 7% price increase in April 2026 to mitigate higher chemical input costs
  • Capacity expansions: Hoshiarpur greenfield plant (60,000 CBM per annum) expected commissioning in Q3 FY27; Chennai brownfield expansion increased from 8,000 CBM/month in Q1 to 10,000 CBM/month in Q2, further to 12,500 CBM/month from Q3 FY27

Laminate Business:

  • Revenue growth: 14.7% YoY
  • EBITDA margins: 10.2%
  • Launched CenturyLaminates LookBook, The Trendz Edit 2026-27
  • New home press commissioned for export grade manufacturing at end of July 2026

MDF Business:

  • Revenue growth: 29% YoY (impacted by planned shutdown for expansion)
  • Capacity expansion: Andhra Pradesh plant increased from 700 CBM/day to 950 CBM/day

Particle Board Business:

  • Revenue growth: 29% sequential and 155.7% YoY
  • Margins described as "at an early stage" due to recent commissioning

Logistics Business:

  • Operations at Khidderpore Docks terminal stabilized and contributing positively
  • Achieved 9,000+ container handling in July 2026

Strategic Initiatives and Campaigns

Product Innovation & Marketing:

  • Launched Total Cover Assurance Program for Club Prime Plywood - industry first program that compensates full cost of furniture including labor and transportation within 10 years of purchase
  • Marketing campaigns featuring Rahul Dravid (Century HDF Premium Plus) and Aamir Khan/Chatur (Total Cover proposition)
  • Prime Ply Day event hosted for 1,000 dealers and sales team in Kolkata
  • Brand investment typically 4-4.5% of revenue encompassing all branding and marketing activities

Market Share & Growth Targets:

  • Current market share in plywood industry: ~9.5-10% (entire industry, not just branded segment)
  • Target: Reach 15% market share in coming 5 years
  • Growth requirement: 12-15% YoY to achieve market share target

Capital Expenditure & Balance Sheet

Capex Outlook:

  • No substantial cash outflow capex for FY27
  • Hoshiarpur plant completion ongoing
  • Laminate press capex: ~INR25 crores (third press)
  • Previous two laminate presses cost: ~INR200 crores
  • No large capex planned for MDF and particle board

Balance Sheet & Funding:

  • Target: Long-term debt within 1x EBITDA
  • Working capital debt increasing due to 30%+ growth rates
  • Current asset pool can support INR7,500-8,000 crores revenue
  • Additional INR4,000 crores revenue target by 2031 may require ~INR2,500 crores investment

Additional Notes

  • The document is a transcript submission to BSE and NSE as required under Regulation 30 read with Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
  • Management repeatedly refrained from providing specific FY27 guidance due to market volatility from geopolitical developments
  • Claim ratio for product quality issues stated at 0.06% of business
  • The Total Cover program was tested unofficially for 2-2.5 years before formal launch