Greenply Industries Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Greenply Industries Ltd filed with BSE on 27 Jul 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Greenply reported Q1 FY27 consolidated revenue of INR724.9 crores, up 20.7% year-on-year, with core EBITDA margin at 10.8%. Plywood volumes grew 13.8% and MDF volumes grew 24.7% year-on-year, while management said price increases were taken to offset elevated imported chemical costs linked to geopolitical tensions. Management also confirmed commercial production of the new MDF flooring line began on 20 July 2026 and reiterated full-year volume growth targets for both plywood and MDF segments.
Numbers mentioned
Consolidated revenue: INR724.9 crores (Q1 FY27)
p. 3
“Consolidated revenue for Q1 FY27 stood at INR724.9 crores, registering a robust 20.7% Y-o-Y increase.”
Sanidhya Mittal, page 3 of the filed PDF · View the filing
Core EBITDA margin: 10.8% (Q1 FY27)
p. 3
“Our consolidated core EBITDA was INR78.3 crores, with a core EBITDA margin of 10.8%, representing an expansion of 50 basis points year-on-year.”
Sanidhya Mittal, page 3 of the filed PDF · View the filing
Plywood volume growth: 13.8% (Q1 FY27 Y-o-Y)
p. 3
“In our plywood business segment, we have achieved a volume growth of 13.8% on a Y-o-Y basis in Q1 FY27, with a revenue of INR526.6 crores, value growth of about 16% on a Y-o-Y basis.”
Sanidhya Mittal, page 3 of the filed PDF · View the filing
Plywood realization: INR265 per square meter (Q1 FY27)
p. 3
“Realization stood at INR265 per square meter, a growth of 4.3% on a Q-on-Q basis.”
Sanidhya Mittal, page 3 of the filed PDF · View the filing
Plywood core EBITDA margin: 8.4% (Q1 FY27)
p. 4
“On the margin front, our core EBITDA margin stood at 8.4% for Q1 FY27, a growth of 50 basis points Y-o-Y.”
Sanidhya Mittal, page 4 of the filed PDF · View the filing
MDF revenue: INR195.7 crores (Q1 FY27)
p. 4
“Moving to MDF business, we've achieved a quarterly revenue of INR195.7 crores with volumes reaching approximately 58,000 cubic meters.”
Sanidhya Mittal, page 4 of the filed PDF · View the filing
MDF volume growth: 24.7% (Q1 FY27 Y-o-Y)
p. 4
“This reflects a strong Y-o-Y growth of 32.8% in value and 24.7% in volume terms.”
Sanidhya Mittal, page 4 of the filed PDF · View the filing
MDF EBITDA margin: 17.3% (Q1 FY27)
p. 4
“Margins for the quarter stood at 17.3%, supported by higher sales and operating leverage.”
Sanidhya Mittal, page 4 of the filed PDF · View the filing
Furniture and fittings JV sales: INR13.61 crores (Q1 FY27)
p. 4
“We achieved a sale of INR13.61 crores in Q1 FY27.”
Sanidhya Mittal, page 4 of the filed PDF · View the filing
Furniture and fittings JV PAT loss: INR11.48 crores (Q1 FY27)
p. 4
“The JV reported a PAT loss of INR11.48 crores in Q1 FY27, with our share of loss amounting to INR5.74 crores.”
Sanidhya Mittal, page 4 of the filed PDF · View the filing
Consolidated net debt: 533 crores (end of Q1 FY27)
p. 4
“As of the end of the quarter, our consolidated net debt stood at 533 crores with a debt-equity of 0.57x.”
Sanidhya Mittal, page 4 of the filed PDF · View the filing
MDF effective price increase: 7% to 9% (Q1 FY27)
p. 3
“Consequently, the effective price increase currently stands at approximately 7% to 9% in the MDF business and 3% to 5% in the Plywood business.”
Sanidhya Mittal, page 3 of the filed PDF · View the filing
Employee cost: 98.88 crores (Q1 FY27)
p. 10
“So this quarter we have given around 98.88.”
Sanjiv Keshri, page 10 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Plywood volume growth — 10% · FY27
stated firmly by Sanidhya Mittal
p. 4
“We are confident to achieve the target of 10% volume growth in plywood and 25% to 30% volume growth in MDF segment for the full year and remain committed to delivering consistent profitable growth while creating a long-term value for all stakeholders.”
Sanidhya Mittal, page 4 of the filed PDF · View the filing
MDF volume growth — 25% to 30% · FY27
stated firmly by Sanidhya Mittal
p. 4
“We are confident to achieve the target of 10% volume growth in plywood and 25% to 30% volume growth in MDF segment for the full year and remain committed to delivering consistent profitable growth while creating a long-term value for all stakeholders.”
Sanidhya Mittal, page 4 of the filed PDF · View the filing
Plywood EBITDA margin — 10%
stated firmly by Sanidhya Mittal
p. 5
“I think we still are very confident on the 10% margin guidance that we've given.”
Sanidhya Mittal, page 5 of the filed PDF · View the filing
MDF EBITDA margin — 16% to 17%
stated conditionally by Sanjiv Keshri
p. 5
“So see, as per the capacity right now we have, the EBITDA margin will be around the 16% to 17% on a sustainable basis.”
Sanjiv Keshri, page 5 of the filed PDF · View the filing
MDF EBITDA margin after new line — 1% further increase
stated conditionally by Sanjiv Keshri
p. 5
“Once the other line will come up, where we are doing around 70% extra capacity we are adding, so there will get some operating leverage on that time, the EBITDA margin may increase by 1% further.”
Sanjiv Keshri, page 5 of the filed PDF · View the filing
MDF ROCE — 17%, 18% · medium to long term
stated as an aspiration by Sanidhya Mittal
p. 8
“But every five-year, seven-year period if we see it, I'm very confident that we will be at that 17%, 18% level.”
Sanidhya Mittal, page 8 of the filed PDF · View the filing
Peak net debt — 710 to 730 crores · FY27 year end
stated firmly by Sanidhya Mittal
p. 13
“Yes, so debt I think we've given a very clear guidance that in spite of all the capex that we've taken, at the end of this fiscal year which is 31st March ‘27, we will hit peak debt around in absolute value anything between 710 to 725, 730 something like that.”
Sanidhya Mittal, page 13 of the filed PDF · View the filing
Debt-equity ratio — 0.7, 0.65 · end of FY27
stated conditionally by Sanidhya Mittal
p. 13
“So, I think immediately six months after that we should come below 0.7 and the year ending we should be at 0.7, 0.65 something like that.”
Sanidhya Mittal, page 13 of the filed PDF · View the filing
Total capex — approximately 500 crores · FY27
stated firmly by Sanidhya Mittal
p. 11
“So approximately 500 crores of total capex for this financial year.”
Sanidhya Mittal, page 11 of the filed PDF · View the filing
MDF flooring peak revenue — 75 crores to 80 crores
stated as an aspiration by Sanidhya Mittal
p. 11
“The potential peak revenue from this would be at about 75 crores, 80 crores, I think.”
Sanidhya Mittal, page 11 of the filed PDF · View the filing
Furniture and fittings JV revenue — 120 crores to 150 crores · FY27 and FY28
stated as an aspiration by Sanidhya Mittal
p. 14
“I think should be around 120 crores to 150 crores, that range.”
Sanidhya Mittal, page 14 of the filed PDF · View the filing
Hardware business losses — zero losses · mid next year
stated conditionally by Sanidhya Mittal
p. 13
“I think hardware business I mentioned it earlier, I think somewhere around next year mid is when we'll, you know, the losses will become zero and going forward from there I think it'll be positive.”
Sanidhya Mittal, page 13 of the filed PDF · View the filing
Plywood ContiRoll technology gains — quarter four onwards
stated conditionally by Sanidhya Mittal
p. 12
“And quarter four onwards you should start seeing some gain on the P&L because of that as well.”
Sanidhya Mittal, page 12 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management attributed the decline to lower absolute volumes versus Q4 and reduced plant utilization due to labour availability issues and elections.
Answered by Sanidhya Mittal
Asked by Sneha: Why did plywood EBITDA margins drop despite improved gross margins quarter-on-quarter?
p. 4
“So, you know, if absolute so the moment we start reaching the Q4 numbers, which is anywhere close to 600 and 600 plus every quarter, I think 10% plus is very easily achievable.”
Sanidhya Mittal, page 4 of the filed PDF · View the filing
CFO said sustainable EBITDA margin for MDF is around 16-17% at current capacity, potentially rising with the new line's operating leverage.
Answered by Sanjiv Keshri
Asked by Sneha: What explains the divergence between MDF gross margin and EBITDA margin movements quarter-on-quarter?
p. 5
“So see, as per the capacity right now we have, the EBITDA margin will be around the 16% to 17% on a sustainable basis.”
Sanjiv Keshri, page 5 of the filed PDF · View the filing
Management said Greenply sources little timber from South India currently, but expects some influence from South Indian pricing once the Odisha facility, close to Vizag, is operational.
Answered by Sanidhya Mittal
Asked by Jeeval Shah: What is the trend in wood prices, particularly timber from South India?
p. 6
“So Greenply is honestly not very heavy in South and, you know, we're hardly procuring anything from South India.”
Sanidhya Mittal, page 6 of the filed PDF · View the filing
Management said the growth reflects share gains from unorganized players, and volumes could have been higher but for election-related disruption and outsourcing issues.
Answered by Sanidhya Mittal
Asked by Disha Chhabria: How much of the plywood volume growth was genuine demand recovery versus market share gain from unorganized players?
p. 6
“And our numbers could have been much better than this, as I mentioned earlier in Sneha's question, that A, there was a lot of disruption because of elections in manpower across all plants, so April, May the utilization levels were lower than expected, and also the outsourcing didn't work very well for us in Q1.”
Sanidhya Mittal, page 6 of the filed PDF · View the filing
Management said the sharp rise in timber cost during monsoon season, when cutting and transport are affected, drove the margin decline.
Answered by Sanidhya Mittal
Asked by Resha Mehta: What was the reason for the decline in MDF gross margins quarter-on-quarter?
p. 8
“I think the sharp rise in the timber cost. Typically, you know, when there's monsoon and, you know, the timber you start getting wet and the cutting stops happening, there's always a slight price rise that happens during this period.”
Sanidhya Mittal, page 8 of the filed PDF · View the filing
Management pointed to lower capex per cubic meter for the new line, improved asset turns, and eventual scale as the path to higher ROCE.
Answered by Sanidhya Mittal
Asked by Resha Mehta: How will Greenply reach the targeted 17-18% ROCE in MDF given historical returns of around 8%?
p. 8
“So the capex that we've announced for the second plant is much lower capex per cubic meter compared to the capex we've done for line one. So that on a long-term basis will help us achieve better numbers.”
Sanidhya Mittal, page 8 of the filed PDF · View the filing
Management attributed the rise to increment provisions from April and lower sales inflating the cost ratio.
Answered by Sanidhya Mittal
Asked by Parth Bhavsar: What drove the increase in employee costs quarter-on-quarter?
p. 10
“I think I don't think there's a substantial increase. I think the main must be the provision for increment that will be given from 1st April onwards.”
Sanidhya Mittal, page 10 of the filed PDF · View the filing
Management confirmed chemical prices were rising again after brief stabilization, though raw material availability was not a concern.
Answered by Sanidhya Mittal
Asked by Utkarsh Nopany: Is there cost inflation pressure on chemicals given rising crude oil prices?
p. 12
“Prices have gone up but we will get raw material.”
Sanidhya Mittal, page 12 of the filed PDF · View the filing
Management reiterated losses should turn to zero around the middle of next year, driven by currency-related margin pressure on imported goods.
Answered by Sanidhya Mittal
Asked by Karan Bhatelia: What is the updated timeline for the hardware/furniture fittings business to break even?
p. 13
“Today the biggest challenge is because of the currency, all the traded goods which is about 60% of the turnover, we make negative gross margins on it.”
Sanidhya Mittal, page 13 of the filed PDF · View the filing
Management said the relevant capex should complete around the end of this financial year and beginning of next, enabling domestic production of imported items.
Answered by Sanidhya Mittal
Asked by Guru Darshan D: When will the furniture JV begin manufacturing currently imported products domestically?
p. 14
“I think somewhere at the end of this financial year and beginning of next is when this capex will be done.”
Sanidhya Mittal, page 14 of the filed PDF · View the filing
CFO said term loan interest is around 7% to 7.25% quarterly and working capital interest is around 7%.
Answered by Sanjiv Keshri
Asked by Varun Julasaria: What is the blended interest cost on the company's debt?
p. 15
“See, on the term loan side, it is around the 7% to 7.25% on a quarterly basis and on the working capital side it is around 7%.”
Sanjiv Keshri, page 15 of the filed PDF · View the filing
Risks flagged
Elevated imported chemical prices due to geopolitical tensions and Middle East conflict
p. 3
“The ongoing geopolitical tensions and the recent conflict in the Middle East resulted in elevated imported chemical prices, extending the sharp cost pressures observed towards the end of Q4 FY26.”
Sanidhya Mittal, page 3 of the filed PDF · View the filing
Lower plant utilization due to labour availability and elections in April-May
p. 5
“And there was election this time, so you know, that's the reason our plant availability was utilization was lower and even outsource utilizations were lower.”
Sanidhya Mittal, page 5 of the filed PDF · View the filing
Seasonal rise in timber costs during monsoon due to cutting and transport disruption
p. 11
“So typically, in this season both moisture increases, which means you're paying more for the same material, and also slightly the price goes up.”
Sanidhya Mittal, page 11 of the filed PDF · View the filing
Currency movements making imported traded goods loss-making in the hardware/furniture fittings JV
p. 14
“So each quarter our gross margin kept shrinking and that is the reason, you know, why the losses are so big for the size of the business.”
Sanidhya Mittal, page 14 of the filed PDF · View the filing
Poor BIS implementation allowing unchecked imports in the furniture fittings category
p. 15
“So even today random Chinese hinges are available from China.”
Sanidhya Mittal, page 15 of the filed PDF · View the filing
Renewed chemical price inflation from rising crude oil prices
p. 12
“But availability challenge is not there. when the West Asia war broke out, that time people were scared that we won't get material.”
Sanidhya Mittal, page 12 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.