EPACK Durable Limited – Investor Presentation Summary

Key Operational Highlights

  • Q2 FY27 operating revenue more than doubled to ₹4,393 Mn from ₹2,133 Mn in Q2 FY26 (+106.0% YoY).
  • H1 FY27 revenue reached ₹13,253 Mn, up 51.3% YoY from ₹8,757 Mn in H1 FY26.
  • Non-RAC segments (SDA, LDA, Components, Others) contributed 63% of total revenue in Q2 FY27.
  • Key drivers: Peak-season demand, customer share gains in RAC; strong growth in air fryers and washing machines in SDA & LDA.

Segment-wise Performance

| Segment (₹ Mn) | Q2 FY27 | Q2 FY26 | YoY Growth | H1 FY27 | H1 FY26 | H1 YoY Growth |

| RAC | 1,612 | 617 | +161.2% | 7,833 | 4,944 | +58.4% |

| SDA & LDA | 1,686 | 1,073 | +57.1% | 3,000 | 1,851 | +62.1% |

| Components | 475 | 327 | +45.5% | 1,328 | 1,436 | -7.5% |

| Others | 621 | 116 | +435.4% | 1,092 | 526 | +107.6% |

  • RAC growth driven by peak-season demand and customer share gains.
  • SDA & LDA growth led by air fryers and washing machines.
  • Components segment declined in H1 due to high base effect but showed strong Q2 growth.
  • Others category more than doubled both quarterly and half-yearly.

Financial Highlights

Q2 FY27 Performance:

  • Revenue: ₹4,393 Mn (No PLI income accrued in Q2 FY27; Q2 FY26 included ₹80 Mn PLI income)
  • EBITDA: ₹71 Mn vs ₹5 Mn in Q2 FY26 (+1,320.0%)
  • EBITDA Margin: 1.62% vs 0.23% in Q2 FY26 (+139 bps)
  • PAT: ₹(251) Mn vs ₹(222) Mn in Q2 FY26
  • PAT Margin: -5.71% vs -10.41% in Q2 FY26 (+470 bps)
  • EPS: ₹(2.60) vs ₹(2.32) in Q2 FY26

H1 FY27 Performance:

  • Revenue: ₹13,253 Mn (No PLI income accrued in H1 FY27; H1 FY26 included ₹213 Mn PLI income)
  • EBITDA: ₹621 Mn vs ₹564 Mn in H1 FY26 (+10.1%)
  • EBITDA Margin: 4.69% vs 6.44% in H1 FY26 (-175 bps)
  • PAT: ₹(133) Mn vs ₹6 Mn in H1 FY26
  • PAT Margin: -1.00% vs 0.07% in H1 FY26 (-107 bps)
  • EPS: ₹(1.38) vs ₹0.07 in H1 FY26

Expenditure Analysis (H1 FY27 vs H1 FY26):

  • Cost of Goods Sold: ₹11,444 Mn vs ₹7,385 Mn (+55.0%)
  • Employee Expenses: ₹430 Mn vs ₹337 Mn (+27.6%)
  • Finance Cost: ₹405 Mn vs ₹361 Mn (+12.2%)
  • Depreciation & Amortization: ₹346 Mn vs ₹262 Mn (+32.1%)
  • Other Expenses: ₹758 Mn vs ₹471 Mn (+60.9%)

Drivers of financial performance: Revenue growth offset by increased expenses due to new capacity, higher depreciation, finance costs, and JV losses.

Key Risks: Raw material price fluctuations, regulatory changes, operational efficiency during capacity ramp-up.

Geographical Revenue Split

Not Specified

Balance Sheet Snapshot (H1 FY27)

  • Equity: ₹9,479 Mn
  • Net Worth: ₹9,479 Mn
  • Gross Debt: ₹7,752 Mn
  • Net Debt: ₹7,741 Mn
  • Net Debt/Equity: 0.82x
  • Trade Receivables: ₹3,191 Mn
  • Inventories: ₹7,141 Mn
  • Cash & Cash Equivalents: ₹11 Mn

Financial Health Insights: Increased leverage due to capex deployment, working capital intensive operations.

Capex & Cash Flow Health

  • Strategic Capex: ₹3,745 Mn deployed (80% of ₹4,700 Mn program) by 30 September 2026
  • Capex Focus: Localization, backward integration, and new capacity
  • Locations: Dehradun (₹159 Mn), Bhiwadi (₹876 Mn), Sri City - EDL (₹1,633 Mn), Sri City - EMTPL (₹1,077 Mn)
  • Investment Rationale: Localization of critical components, washing-machine expansion, operating leverage benefits

Strategic & R&D Initiatives

Diversification Strategy:

  • Expanding product portfolio across RAC, LDA, SDA, and components
  • Backward integration into critical components (heat exchangers, copper tubing, PCBAs, sheet metal, plastic moulding)

New Products Pipeline: Air fryers, mixer grinders, nutri blenders, infrared cooktops, vacuum cleaners, coffee makers, tower fans, washing machines

Strategic Rationale: Position as single-source manufacturing partner across multiple product categories for deeper customer integration

Industry Trends & Business Environment

Macro/Industry Trends: Growing demand for consumer durables, government push for local manufacturing (PLI scheme), supply chain resilience focus

Impact on Company: Benefiting from localization initiatives, diversification reducing seasonality dependence, capacity expansion to capture market share

Management Commentary & Growth Outlook

Strategic Outlook:

  • Scale growth engines: Sustain share gains; ramp washing-machine and SDA capacity
  • Rebuild margins through operating leverage as new facilities achieve utilization
  • Strong new-customer pipeline positions FY27 for continued diversified growth

Portfolio Rationalization:

  • Exit from EPAVO JV (50% stake to be transferred to Ram Ratna Group)
  • Wind-up of two subsidiaries: Bumjin India Audio Products and Epack Electronic Component
  • Focus on core businesses: RAC, SDA, LDA and components

FY Guidance: Near-term priority is translating record scale into profitability

ESG Updates

Not Specified

Digital Transformation

Not Specified