Kuantum Papers Limited has informed the Exchange about Investor Presentation
KUANTUM · price
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Kuantum Papers reported FY26 operational income of INR 10,932 Mn, slightly down from INR 11,070 Mn in FY25, with sales volumes stable at ~163,000 MT. However, EBITDA fell 33% to INR 1,618 Mn with margins compressing sharply from 21.92% to 14.80% due to a INR 2,000/MT drop in average selling price (from cheaper imports and GST impact on notebooks) combined with a INR 3,200/MT cost increase from higher raw material, chemical and fuel prices. Q4 FY26 showed sequential recovery with margins improving to 15.89% from 13.55% in Q3 on the back of INR 3,700/MT NSR improvement. The company is pursuing a ~50% capacity expansion through plant debottlenecking and has commissioned a new Displacement Digester System for wood pulping expected by mid-June. Net profit declined 63.5% YoY to INR 420 Mn for FY26.
Sharp margin compression reflects severe industry headwinds from import competition and cost inflation, though Q4 sequential recovery suggests the worst may be over. Long-term capacity expansion plans and backward integration could support future margin recovery.