EPL Ltd — earnings calls

EPL Limited reported Q1 FY27 revenue growth of 25.3% and EBITDA growth of 15.2%, with EBITDA margins at 18.8%, while underlying revenue growth excluding raw material pass-through was 20% with underlying EBITDA margins of 19.6%. Management raised its revenue growth guidance to high teens for the next few quarters while retaining its underlying EBITDA margin guidance of 20%, citing momentum in Beauty & Cosmetics and a recovery in Oral Care. The company also discussed progress on its proposed merger with Indovida, noting it received Competition Commission of India approval during the quarter and remains on track to complete the transaction within its planned timeline.

EPL Limited announced a share-swap merger with Indovida, a rigid-packaging subsidiary of Indorama Ventures, to create a combined entity with revenue of about INR8,300 crores and EBITDA of approximately INR1,750 crores. Management said the deal values EPL at INR339 per share, a roughly 70% premium to the prior closing price, with Indorama Ventures becoming a 51.8% promoter and Blackstone retaining 16.6% as a joint promoter. Management also discussed identified synergies of $35 million to $50 million annually, a reduction in the combined debt-to-EBITDA ratio to 0.25, and detailed the geographic and product rationale for the transaction.