Kanpur Plastipack Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Kanpur Plastipack Ltd filed with BSE on 07 Aug 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
Kanpur Plastipack reported standalone total income of Rs. 207.49 crores for Q1 FY27, with EBITDA up 58.98% year-on-year to Rs. 22.19 crores and PAT growing 112% to Rs. 12.14 crores. Management said average selling prices rose 31% quarter-on-quarter while raw material costs rose 18%, and highlighted the commercialization of its Taslan yarn joint venture with Essegomma along with GRS and OEKOTEX certifications. The company also discussed ongoing FIBC capacity expansion, a non-woven technical textile facility targeted for Q3 FY27, and net debt of Rs. 132 crores as of June 30, 2026.
Numbers mentioned
Total income: Rs. 207.49 crores (Q1 FY27)
p. 5
“the company reported a total income of Rs. 207.49 crores, reflecting a healthy growth of Rs. 13.86 crores year-on-year”
Shashank Agarwal, page 5 of the filed PDF · View the filing
EBITDA: Rs. 22.19 crores (Q1 FY27)
p. 5
“EBITDA for the quarter stood at Rs. 22.19 crores, registering a strong growth of 58.98% year-on-year”
Shashank Agarwal, page 5 of the filed PDF · View the filing
EBITDA margin: 10.69% (Q1 FY27)
p. 5
“EBITDA margin improved to 10.69% from 7.66% from the corresponding quarter of the previous year”
Shashank Agarwal, page 5 of the filed PDF · View the filing
PAT: Rs. 12.14 crores (Q1 FY27)
p. 5
“PAT stood at Rs. 12.14 crores, representing an impressive growth of 112% year-on-year, while basic EPS increased to 4.96 compared to 3.01 in Q1 FY '26”
Shashank Agarwal, page 5 of the filed PDF · View the filing
Average selling price increase: 31% (Q1 FY27 vs previous quarter)
p. 5
“the company witnessed a significant improvement in realizations, with an average selling price increasing by 31% in comparison to the previous quarter”
Shashank Agarwal, page 5 of the filed PDF · View the filing
Average raw material price increase: 18% (Q1 FY27 vs previous quarter)
p. 5
“the average raw material price increased by only 18% in comparison to the previous quarter”
Shashank Agarwal, page 5 of the filed PDF · View the filing
Trading profit: Rs. 2.93 crores (Q1 FY27)
p. 5
“During Q1 FY '27, the company reported a trading profit of Rs. 2.93 crores as compared to Rs. 1.25 crores in the corresponding quarter of the previous year”
Shashank Agarwal, page 5 of the filed PDF · View the filing
Net debt: Rs. 132 crores (as of 30 June 2026)
p. 6
“the net debt on 30 June 2026 stood at Rs. 132 crores, a long term of Rs. 34 crores which was about Rs. 112 crores on 31st March 2026”
Shashank Agarwal, page 6 of the filed PDF · View the filing
Europe export share: 60% (Q1 FY27)
p. 6
“Europe continued to be the largest export market, contributing to about 60% of exports, followed by South America about 20% and North America about 16%”
Shashank Agarwal, page 6 of the filed PDF · View the filing
FIBC product mix share: 52% (Q1 FY27)
p. 6
“In Q1 FY '27, we did 52% of FIBC, 20% of Fabric, 12% of Small Bags, 8% of Multifilament Yarns and others contributed about 8%”
Shashank Agarwal, page 6 of the filed PDF · View the filing
FIBC volume: 3,000 tons (Q1 FY27)
p. 11
“Q1, we were only at 3,000 tons. Q4, we had done 3,500 tons. Q3, we were at 3,800 tons.”
Shashank Agarwal, page 11 of the filed PDF · View the filing
Employee cost increase: Rs. 3.5 crores (Q1 FY27 vs previous quarter)
p. 6
“Employee costs during the quarter increased by approximately Rs. 3.5 crores compared to the previous quarter, primarily due to the annual salary revision and the increase in minimum wages”
Shashank Agarwal, page 6 of the filed PDF · View the filing
Long-term debt: Rs. 34 crore (current)
p. 15
“At present, we have a Rs. 34 crore of long-term debt at present in our book.”
Shobhit Agarwal, page 15 of the filed PDF · View the filing
Working capital: Rs. 90 crore (current)
p. 15
“So, working capital presently, we are taking is near about Rs. 90 crore.”
Shobhit Agarwal, page 15 of the filed PDF · View the filing
Impairment provision: Rs. 25 lakh (Q1 FY27)
p. 14
“we have made a provision of 25 lakhs from that business”
Shobhit Agarwal, page 14 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.
FIBC utilization — 5,000 tons per quarter · Q1 FY28
stated firmly by Shashank Agarwal
p. 10
“we are committed to reaching 5,000 tons per quarter. That is the target for our next Q1 FY '28.”
Shashank Agarwal, page 10 of the filed PDF · View the filing
ESSEKAN (Taslan yarn) revenue — Rs. 10 crore · FY27
stated firmly by Shashank Agarwal
p. 8
“So, ESSEKAN, we are expecting the revenue of about Rs. 10 crore rupees this year, which should be at an EBITDA level 20%-25%”
Shashank Agarwal, page 8 of the filed PDF · View the filing
ESSEKAN EBITDA margin — 20%-25% · FY27
stated as an aspiration by Shashank Agarwal
p. 8
“we are looking at 20%-25% kind of EBITDA”
Shashank Agarwal, page 8 of the filed PDF · View the filing
Non-woven technical textile EBITDA margin — mid-level double-digit
stated as an aspiration by Shashank Agarwal
p. 8
“On the non-woven technical textiles, we are looking at a mid-level double-digit kind of EBITDA on B2C in non-woven.”
Shashank Agarwal, page 8 of the filed PDF · View the filing
Non-woven fabric facility commissioning — Q3 FY27
stated firmly by Manoj Agarwal
p. 4
“The Company remains on track to commission the non-woven fabric facility by Q3 of 2026-'27.”
Manoj Agarwal, page 4 of the filed PDF · View the filing
Non-woven technical textile revenue start — Q3 FY27
stated firmly by Shashank Agarwal
p. 6
“We expect revenues to start coming in Q3 FY '26-'27.”
Shashank Agarwal, page 6 of the filed PDF · View the filing
Total company revenue — Rs. 900-950 crores · FY27-28
stated conditionally by Shashank Agarwal
p. 11
“So, with the current projects in hand and the installed capacity, we can touch Rs. 1,000 crores. So, I would say '27-'28 is when we would target 900-950 and then '27-'28 with 1,000-1,050, 2029.”
Shashank Agarwal, page 11 of the filed PDF · View the filing
ESSEKAN revenue — Rs. 100 crores · next four years
stated as an aspiration by Shashank Agarwal
p. 14
“The ultimate aim is to reach Rs. 100 crores in the next four years in Essekan.”
Shashank Agarwal, page 14 of the filed PDF · View the filing
FIBC capacity expansion — 1200 tons every year · next five years
stated firmly by Shashank Agarwal
p. 13
“So, we are saying that we will add 1200 tons every year.”
Shashank Agarwal, page 13 of the filed PDF · View the filing
Non-woven and ESSEKAN return hurdle — 15% to 20% IRR and ROCE above 20%
stated firmly by Shashank Agarwal
p. 13
“So, in non-woven, we were expecting between 15% to 20% IRR and a ROCE of above 20%.”
Shashank Agarwal, page 13 of the filed PDF · View the filing
Long-term debt by year end — Rs. 67 crores to Rs. 68 crore · FY27 year end
stated conditionally by Shobhit Agarwal
p. 15
“the closing number in this year will be near about Rs. 67 crores to Rs. 68 crore”
Shobhit Agarwal, page 15 of the filed PDF · View the filing
Overall FY27 performance — FY26-27
stated conditionally by Shashank Agarwal
p. 7
“Backed by the progressive commercialization of our strategic growth subject to prevailing market conditions, we should deliver a strong performance in FY '26-'27.”
Shashank Agarwal, page 7 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 said cost changes are generally passed on to customers with some lag.
Answered by Shashank Agarwal
Asked by Shubhi Gupta: Can raw material cost increases be passed on to customers?
p. 8
“So, in our business, mostly whatever the raw material increase and decrease is either ways, we are able to pass it on to the customers.”
Shashank Agarwal, page 8 of the filed PDF · View the filing
Management attributed the shortfall to higher employee costs, freight, one-time costs, and lower manufactured volumes.
Answered by Shashank Agarwal
Asked by Saket Kapoor: Why didn't margins expand more given the gap between selling price and raw material cost increases?
p. 10
“Yes, but the margin, the significant part of it is the employee cost, right, which is about 1.5%.”
Shashank Agarwal, page 10 of the filed PDF · View the filing
Management said Q1 volume of 3,000 tons was a low, disrupted number and expects it to build going forward.
Answered by Shashank Agarwal
Asked by Saket Kapoor: What is the FIBC capacity utilization for the quarter and outlook?
p. 11
“3,000 is a very, let us say, damaged number because it is much lower than even last year's number that was 3,500 tons.”
Shashank Agarwal, page 11 of the filed PDF · View the filing
Management outlined revenue milestones dependent on current polymer pricing and trading levels.
Answered by Shashank Agarwal
Asked by Chaitrika: What is management's long-term revenue target for the next three to five years?
p. 11
“So, with the current projects in hand and the installed capacity, we can touch Rs. 1,000 crores.”
Shashank Agarwal, page 11 of the filed PDF · View the filing
Management said Valex has not yet delivered significant tangible financial benefit, while the Italian JV is moving into commercialization.
Answered by Shashank Agarwal
Asked by Yash Parker: What tangible benefits have the UK acquisition (Valex) and Italian JV delivered so far?
p. 12
“Till now, it has not given any significant tangible benefit.”
Shashank Agarwal, page 12 of the filed PDF · View the filing
Management said the outcome cannot be generalized as a deliberate strategy shift, citing macro volatility as a factor.
Answered by Shashank Agarwal
Asked by Yash Parker: Does EBITDA growth outpacing revenue growth indicate a shift toward prioritizing profitable orders over volume?
p. 13
“We cannot generalize it like that. We have to see it from a macroeconomic point of view also.”
Shashank Agarwal, page 13 of the filed PDF · View the filing
CFO detailed current long-term debt and expected increase due to a new term loan for the new project.
Answered by Shobhit Agarwal
Asked by Saket Kapoor: What is the current debt level and expected year-end long-term debt?
p. 15
“At present, we have a Rs. 34 crore of long-term debt at present in our book. And by the yearend, it will be near about Rs. 74 crores because the Rs. 40 crore new term loan we will take from here for the new project that we are making.”
Shobhit Agarwal, page 15 of the filed PDF · View the filing
Risks flagged
Rising ocean freight costs disrupting demand and potentially damaging margins
p. 10
“This could disrupt demand significantly because people might not end up buying so much in case the freight is so high.”
Shashank Agarwal, page 10 of the filed PDF · View the filing
Volatility in raw material prices due to geopolitical developments
p. 8
“there was a high level of unexpectation in March when this happened”
Shashank Agarwal, page 8 of the filed PDF · View the filing
Increased employee costs from salary revisions and minimum wage hikes squeezing margins
p. 9
“There is an additional point. The third point is that there was also a decrease in the total manufactured volume in FIBC due to the supply chain disruption and little labor disruptions also were there.”
Shashank Agarwal, page 9 of the filed PDF · View the filing
Possible need to absorb part of the higher freight cost, damaging margin
p. 10
“The second part of the problem is we might have to share a little bit of this cost, which might damage the margin.”
Shashank Agarwal, page 10 of the filed PDF · View the filing
Ocean freight rates rising sharply
p. 7
“there needs to be a caution on the logistics environment that is now playing with the ocean freights increasing substantially from $2,000 to $5,000 in the last two months”
Shashank Agarwal, page 7 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.