Ecoplast Ltd FY26 Results: Revenue ₹221 Cr, Profit ₹11.98 Cr; Capacity Expansion Underway

Ecoplast Ltd has reported its financial results for FY 2025-26, with standalone revenue at ₹221.08 crore and net profit at ₹11.98 crore. The company also confirmed the completion of its merger with Kunal Plastics Private Limited, effective April 1, 2025.

Reader Takeaway: Merger and capacity expansion signal growth, but commodity price volatility poses a risk.

What just happened

Ecoplast Limited posted a standalone revenue of ₹221.08 crore for FY 2025-26, a rise from ₹207.78 crore in the previous year. The net profit after tax stood at ₹11.98 crore, down from ₹13.77 crore in FY 2024-25. The Board decided not to recommend any dividend for the fiscal year.

The amalgamation of Kunal Plastics Private Limited with Ecoplast Limited was sanctioned by the NCLT on May 14, 2026, with an appointed date of April 1, 2025. This merger is expected to create operational synergies.

Why this matters

The merger with Kunal Plastics and the substantial capacity expansion plan are key strategic moves for Ecoplast. The company is investing over ₹75 crore in greenfield and brownfield projects to increase its annual production capacity from 9,000 MTPA to 13,600 MTPA by the end of Q2 FY 2026-27.

A strategic shift towards higher-value products like specialty films and adhesive films aims to reduce dependence on the commodity segment and potentially improve margins.

The backstory

Ecoplast Limited is involved in the manufacturing of plastic films. The company's focus on expanding its production capabilities and diversifying its product portfolio reflects an effort to grow its market presence and profitability in a competitive landscape.

What changes now

With the merger effective from April 1, 2025, Ecoplast will operate on a consolidated basis, aiming for improved efficiencies. The ongoing capacity expansion signals a commitment to scaling up operations significantly over the next couple of fiscal years.

Risks to watch

Ecoplast faces several challenges:

• Commodity Risk: Reliance on plastic polymers derived from crude oil exposes the company to price volatility.
• Export Headwinds: US trade tariffs have negatively impacted export realizations and order flows.
• Competition: Increasing competition in the surface protection films market.

Peer comparison

No direct peer comparison data is available in the filing.

Context metrics

• FY 2025-26 Revenue (Standalone): ₹221.08 crore
• FY 2025-26 Net Profit (Standalone): ₹11.98 crore
• Capacity Expansion Target: ~13,600 MTPA by end of Q2 FY 2026-27
• Investment in Expansion: Over ₹75 crore

What to track next

Investors should monitor the progress of the capacity expansion project, especially the machinery installation targeted for completion by Q2 FY 2026-27. Tracking raw material price trends and the company's ability to pass on costs will be crucial. The success of its strategy to move towards higher-value products will also be key.