ESTER INDUSTRIES LTD

Ester Industries Limited reported strong financial and operational performance in Q1 FY27, with consolidated revenue rising 27.4% year-on-year to INR441.9 crores. The Polyester Film segment saw a 38% revenue increase, driven by higher realizations, improved capacity utilization (84%), and a shift toward value-added specialty (VAS) films, which now account for 29% of total film volumes. The Specialty Polymers segment reported improved EBIT margins (45.3%) despite lower volumes, while rPET revenue grew 24% to INR17.5 crores. Ester Filmtech, a 100% subsidiary, saw a 62.7% revenue increase and turned profitable. The company highlighted strategic initiatives, including expanding recycled PET (rPET) capacity to 30,000 tons annually and progressing its ELITe joint venture with Loop Industries for chemical recycling of polyester waste. Management expressed confidence in sustaining growth, with management targets for VAS products to reach 50-60% of total volumes within 2-3 years and management expects a 20% CAGR in Specialty Polymers over 3-5 years. The company also noted improved liquidity and a focus on deleveraging.

The document emphasizes strong revenue growth, improved margins, and strategic progress, reflecting a positive outlook.