Financial Performance Highlights

Q2 FY27 Performance (YoY)

  • Revenue: ₹875.2 crores, up 8.3% from ₹808.3 crores in Q2FY26
  • Gross Profit: ₹450.5 crores, up 2.1% from ₹441.3 crores in Q2FY26
  • Gross Margin: 51.5%, declined 310 bps from 54.6% in Q2FY26
  • EBITDA before forex: ₹86.5 crores, down 19.0% from ₹106.8 crores in Q2FY26
  • EBITDA Margin before forex: 9.9%, contracted 330 bps from 13.2% in Q2FY26
  • Net Profit: ₹24.5 crores, down 22.9% from ₹31.8 crores in Q2FY26
  • PAT Margin: 2.8% compared to 3.9% in Q2FY26

H1 FY27 Performance (YoY)

  • Revenue: ₹1,671.9 crores, up 12.8% from ₹1,482.0 crores in H1FY26
  • Gross Profit: ₹871.9 crores, up 9.1% from ₹798.9 crores in H1FY26
  • Gross Margin: 52.2%, declined 170 bps from 53.9% in H1FY26
  • EBITDA before forex: ₹167.7 crores, up 3.8% from ₹161.5 crores in H1FY26
  • EBITDA Margin before forex: 10.0%, contracted 90 bps from 10.9% in H1FY26
  • Net Profit: ₹45.7 crores, up 184.8% from ₹16.1 crores in H1FY26
  • PAT Margin: 2.7% compared to 1.1% in H1FY26

Segment-wise Performance

Laminates & Allied Segment (Q2 FY27)

  • Revenue: ₹658.0 crores, flat YoY
  • Volume Sales: 5.09 million sheets, down 12.0% YoY
  • Average Realization: ₹1,241 per sheet, up 12.4% YoY
  • Production: 4.83 million sheets, down 18.3% YoY
  • Capacity Utilization: 79% annualized vs 96% in Q2FY26
  • EBITDA before forex: ₹79.3 crores, down 32.8% YoY
  • EBITDA Margin before forex: 12.0%, contracted 590 bps from 17.9% in Q2FY26
  • Capital Employed: ₹853.8 crores

Plywood & Allied Segment (Q2 FY27)

  • Revenue: ₹110.2 crores, up 7.5% YoY
  • EBITDA before forex: Loss of ₹1.4 crores (improved from loss of ₹3.9 crores in Q2FY26)
  • Production: 2.15 million sqmt, up 28.6% YoY
  • Sales: 1.94 million sqmt, up 22.8% YoY
  • Average Realization: ₹257 per sqmt, up 4.2% YoY
  • Capacity Utilization: 46% annualized vs 35% in Q2FY26
  • Capital Employed: ₹324.3 crores

Panel & Allied Segment (Chipboards) (Q2 FY27)

  • Revenue: ₹107.0 crores, up 123.9% YoY
  • EBITDA before forex: ₹8.7 crores (improved from loss of ₹7.3 crores in Q2FY26)
  • EBITDA Margin before forex: 8.1%
  • Production: 44,241 CBM, up 66.5% YoY
  • Sales: 46,871 CBM, up 78.3% YoY
  • Average Realization: ₹22,591 per CBM, up 24.2% YoY
  • Capacity Utilization: 61% vs 36% in Q2FY26
  • Capital Employed: ₹768.8 crores

Balance Sheet Position (as of September 30, 2026)

  • Total Assets: ₹2,982.1 crores
  • Shareholders' Funds: ₹1,215.8 crores
  • Share Capital: ₹25.5 crores
  • Reserves & Surplus: ₹1,190.6 crores
  • Total Debt: ₹1,001.1 crores (Long-term: ₹787.0 crores, Short-term: ₹214.1 crores)
  • Cash & Bank Balances: ₹46.8 crores
  • Current Investments: ₹32.5 crores
  • Inventories: ₹800.9 crores
  • Trade Receivables: ₹241.6 crores
  • Trade Payables: ₹538.4 crores
  • Net Debt: ₹921.8 crores

Operating Parameters

  • Inventory Days: 84 days
  • Trade Receivables Days: 25 days
  • Trade Payables Days: 56 days
  • Net Working Capital: ₹504 crores (53 days)

Return Ratios (H1 FY27)

  • ROCE: 9.6% (prior to exceptional items)
  • ROE: 7.5%
  • EBIT: ₹106.3 crores
  • Capital Employed: ₹2,210.9 crores
  • Net Worth: ₹1,215.8 crores

Business Context

The quarter saw continued turbulence from geopolitical matters including Middle East war resulting in:

  • Fluctuation in crude prices and crude-linked commodities
  • Foreign currency rate volatility
  • Substantial increase in freight costs
  • Delay in container/vessel availability
  • Longer transit times

Manufacturing Capacity

  • Laminates: 24.52 million sheets annual capacity
  • Plywood: 18.90 million sqmt annual capacity
  • Chipboard: 292,380 CBM annual capacity

ESG Highlights

  • Renewable electricity: Increased from 1 MW to 11 MW
  • Energy savings: 355 TJ annual energy savings
  • Emission reduction: Scope 1 & 2 intensity down 3% in laminates and 16% in plywood over FY25
  • Water conservation: 64 million liters saved over 5 years via intensity reduction
  • Sustainable forestry: 6.8 million saplings planted across 5,800 acres
  • Safety: TRIR 1.0 across manufacturing units with 1,000+ trainings covering 92% of workforce

Corporate History Highlights

Key milestones include:

  • 1992-93: First laminate unit at Behror
  • 2002: Started decorative veneers production
  • 2005-08: Set up overseas subsidiaries in Singapore and US
  • 2014-16: Demerged and listed on NSE/BSE; started engineered wooden flooring and doors
  • 2016-21: Acquired Greenlam Decolan SA (Switzerland); incorporated Greenlam South Limited; acquired 74.91% of HG Industries
  • 2021-23: Acquired laminate plant in Prantij; raised ₹195 crore via preferential issue; commenced greenfield projects
  • 2023-24: Amalgamated HG Industries Ltd; commenced commercial operations at multiple new facilities
  • 2024-25: Commenced chipboard unit at Naidupeta; maiden 1:1 bonus issue