Financial Performance Highlights

Consolidated Results (Q2 FY27):

  • Revenue from operations: ₹1,804 crores (35.16% QoQ growth from ₹1,335 crores in Q1 FY27; 120% YoY growth from ₹818 crores in Q2 FY26)
  • EBITDA: ₹155 crores (43.2% QoQ growth from ₹108 crores; 144.94% YoY growth from ₹63 crores)
  • Profit After Tax (PAT): ₹61 crores (157% QoQ growth from ₹24 crores; 204% YoY growth from ₹20 crores)
  • PAT margin: 3.4% (improved from 1.8% in Q1 FY27)
  • Basic EPS (not annualized): ₹7.3 (vs ₹2.8 in Q1 FY27)
  • Sales volume: 1.22 lakh metric tons (27% QoQ increase from 96,000 metric tons)
  • EBITDA per ton: ₹12,725 (13% QoQ increase)

Standalone Results (Q2 FY27):

  • Revenue from operations: ₹992 crores (22% QoQ growth from ₹813 crores; 29% YoY growth from ₹767 crores)
  • EBITDA: ₹84 crores (11.7% lower QoQ from ₹95 crores; 17.7% YoY growth from ₹71 crores)
  • Sales volume: 58,000 metric tons (11.5% QoQ increase from 52,000 metric tons)

Operational Performance

Volume Breakdown:

  • Total consolidated sales: 1.22 lakh metric tons
  • Silvassa facility: 58,000 metric tons (95% utilization)
  • Punjab facility: 64,000 metric tons (90% utilization, up from 76-77% in Q1)

Capacity Updates:

  • Punjab Phase 1: Fully operational at 700 metric tons per day polymerization capacity
  • Technical Textiles Silvassa: Capacity doubled from 9,000 MTPA to 18,000 MTPA, commissioned August 20, 2026
  • Current utilization of expanded technical textiles capacity: 94-95%

Product Mix:

  • Consolidated: Polyester 87%, Cotton 10%, Technical Textiles 3%
  • Standalone: Polyester 77%, Cotton 18%, Technical Textiles 6%

Capital Structure and Debt

  • Gross debt guidance for FY27 end: ₹1,350 crores
  • Net debt guidance for FY27 end: ₹1,150 crores
  • FY28 gross debt reduction target: ~₹120 crores

Capex Guidance

  • FY27 capex: ~₹200 crores
  • FY28 capex: ~₹400 crores (with some expenditure spilling over to FY29)

Forward Guidance

FY27 Outlook:

  • Revenue: Expected to exceed ₹6,000 crores (previous guidance ₹5,600-5,700 crores)
  • EBITDA: Targeting ₹560+ crores (previous guidance ₹520-550 crores)

Long-term Revenue Projections:

  • FY28: ₹7,200-7,300 crores
  • FY29: ₹7,700-8,000 crores

Expansion Projects Timeline

Punjab Phase 2 (250 TPD addition):

  • Partial commissioning: December 2026/January 2027
  • Full ramp-up to 900 TPD: June-July 2027

MP Cotton Yarn Project:

  • Groundbreaking: Early January 2027
  • Production start: End of calendar year 2027
  • Full stabilization: End of FY28

Market and Demand Environment

  • Domestic demand described as "very good" with some monthly variation
  • Export contribution: 4-17% depending on netbacks
  • EU FTA expected to boost export margins and volumes
  • Chinese imports not considered a threat due to higher landed costs
  • Raw material price volatility eased in Q2 after turbulent Q1

Raw Material Environment

  • Significant PTA capacity additions expected: GAIL (FY27), IOCL (H1 FY28), Reliance (2028)
  • Total ~5 million tons capacity addition over 2-year window
  • Limited new yarn capacity expected for next 2.5 years

Technical Textiles Contribution

  • Expanded capacity expected to add ₹80-90 crores revenue in FY27
  • Higher EBITDA per ton expected from technical textiles segment