Shaily Engineering Plastics Q4 FY26 results: net profit up 40.5% to ₹40.16 crore, revenue up 8.7%

How did Shaily Engineering Plastics perform in Q4 FY26?

Consolidated revenue for the January–March 2026 quarter was ₹236.82 crore, up ₹18.99 crore or 8.7% from ₹217.83 crore in Q4 FY25, while total income rose to ₹240.5 crore from ₹217.95 crore. Against the previous quarter, revenue was lower by ₹13.68 crore, or 5.5%, from ₹250.50 crore in Q3 FY26.

EBITDA was ₹65.61 crore in Q4 FY26 against ₹54.50 crore a year ago, and the EBITDA margin was 27.7%, 2.7 percentage points higher than 25.0% in Q4 FY25. Sequentially, EBITDA was lower by ₹0.73 crore from ₹66.34 crore in Q3 FY26, but the margin was 1.2 percentage points higher at 26.5% in that quarter.

Profit before tax rose to ₹52.32 crore from ₹39.60 crore in Q4 FY25 and was up from ₹49.51 crore in Q3 FY26. Net profit was ₹40.16 crore, up 40.5% from ₹28.59 crore a year ago and up from ₹37.38 crore in the previous quarter, while basic EPS was ₹8.74 against ₹6.22 and ₹8.13. On the standalone basis, revenue was ₹224.07 crore and profit before tax was ₹29.53 crore.

What changed in Shaily Engineering Plastics' costs and profit?

Cost of materials fell to ₹89.33 crore in Q4 FY26 from ₹108.20 crore in Q4 FY25, a decrease of ₹18.87 crore or 17.4%. Employee cost was ₹30.21 crore, up ₹6.98 crore or 30.0% from ₹23.23 crore, and other expenses were ₹43.95 crore, up ₹9.04 crore or 25.9% from ₹34.91 crore. Finance costs declined by ₹0.22 crore to ₹3.70 crore and depreciation rose by ₹2.16 crore to ₹13.27 crore.

Total expenses were ₹188.17 crore, up ₹9.82 crore or 5.5% from ₹178.35 crore in Q4 FY25. Other income was ₹3.67 crore, higher by ₹3.54 crore from ₹0.13 crore, while there was no exceptional item. Profit before tax rose by ₹12.72 crore to ₹52.32 crore, and tax was ₹12.17 crore, up ₹1.16 crore from ₹11.01 crore.

Against Q3 FY26, total expenses were lower by ₹12.89 crore, with cost of materials down ₹18.91 crore to ₹89.33 crore and other expenses down ₹7.83 crore to ₹43.95 crore. Employee cost was higher by ₹1.97 crore at ₹30.21 crore and finance costs were lower by ₹0.68 crore at ₹3.70 crore, while other income was ₹3.67 crore against ₹0.07 crore and tax was ₹12.17 crore against ₹12.13 crore.

How did Shaily Engineering Plastics do in FY26 as a whole?

For FY26, consolidated revenue was ₹990.67 crore, up ₹203.87 crore or 25.9% from ₹786.8 crore in FY25, and total income was ₹998.45 crore against ₹789.12 crore. Profit before tax rose to ₹222.61 crore from ₹119.28 crore, an increase of ₹103.33 crore or 86.6%.

Net profit for FY26 was ₹169.91 crore, up ₹76.79 crore or 82.5% from ₹93.12 crore in FY25, and basic EPS was ₹36.97 against ₹20.29. The investor presentation cited improved traction in the healthcare segment as the key driver of the overall growth of the business, alongside weaker market demand for home furnishings across Europe and the USA.

What do the balance sheet and cash flow show?

As on 31 March 2026, total assets were ₹1,146.74 crore against ₹1,054.62 crore at 30 September 2025, and total equity was ₹716.67 crore against ₹635.46 crore. Borrowings were lower at ₹174.03 crore from ₹189.07 crore, while cash and cash equivalents stood at ₹20.79 crore against ₹21.24 crore. Inventories were ₹150.78 crore from ₹151.71 crore, trade receivables were ₹214.81 crore against ₹212.12 crore, and trade payables were ₹85.87 crore from ₹97.16 crore.

For FY26, net cash from operating activities was ₹225.72 crore, against ₹110.06 crore in FY25. Investing cash flow was negative ₹184.72 crore compared with negative ₹71.33 crore a year earlier, and financing cash flow was negative ₹39.29 crore against negative ₹41.87 crore. Capital expenditure was ₹178.49 crore in FY26, up from ₹68.02 crore in FY25.

How has Shaily Engineering Plastics done over the last 8 quarters?

Revenue rose year-on-year in each of the last eight quarters, and profit also rose year-on-year in each of the last eight quarters. Revenue peaked at ₹256.65 crore in Q2 FY26 and fell to ₹236.82 crore in Q4 FY26, while the lowest quarterly figure was ₹179.39 crore in Q1 FY25.

Net profit peaked at ₹51.25 crore in Q2 FY26 and was ₹40.16 crore in Q4 FY26, against a low of ₹17.41 crore in Q1 FY25. The EBITDA margin peaked at 30.9% in Q2 FY26 and was 27.7% in Q4 FY26, compared with 19.7% in Q1 FY25.

What else did the company announce?

The board approved the audited standalone and consolidated results for the quarter and year ended 31 March 2026, and recommended a final dividend of Rs. 3/- (150%) per equity share of Rs. 2/- each, subject to shareholder approval at the forthcoming annual general meeting. It also appointed Jain & Hindocha as internal auditor and YS Thakar & Co as cost auditor for FY 2026-27.

The board passed an enabling resolution for raising funds of up to ₹500 crore in one or more tranches, through permissible modes including private placement, preferential issue, rights issue or Qualified Institution Placement, subject to regulatory and shareholder approvals. The company said the purpose is to augment financial flexibility to grow the business across proprietary drug delivery devices, consumer electronics and semiconductor components. Mr. Chi Hung Kam, or Joe Kam, was appointed Key Managerial Personnel and Chief Operating Officer – Healthcare, effective from 20 May 2026.

A press release filed on 20 May 2026 said a strategic partner had launched a generic semaglutide injection in Canada incorporating Shaily's ShailyPen Neo pen platform, and that the combination product had been commercially available in India since March 2026 with USFDA tentative approval. The company also filed its Q4 and FY26 investor presentation.

What did Shaily Engineering Plastics' management say?

Management said healthcare revenue rose 139% to INR393 crores in FY26, contributing 40% of consolidated revenue, and that Q4 healthcare revenue doubled year-on-year. It said the semaglutide pen injector was launched commercially in Canada and that the device received its first-ever US tentative approval. A semiconductor tray supply agreement was signed with a Korean customer, and an INR423 crore pen injector order was secured over four years, with Brazil approval expected soon.

The company targets 36 million pens for FY27 and approximately 50 million pens in FY28, with 35-40 million pens of capacity utilisation by end-FY28 and a semaglutide capacity target of 50 million by end-FY27. Management said margins are sustainable and improving on a year-on-year basis, and gave initial capex of approximately INR100 crores for a consumer electronics plant down south, with semiconductor supplies starting from Q4 of the current financial year.

Amit Sanghvi, Managing Director, said: "We don't look at Shaily from a quarter-on-quarter perspective. Otherwise, the margins are sustainable. We see margins improving." He also said: "If we can't supply enough, then there is a risk, right?" Sanjay Shah, Chief Strategy Officer, said: "We would not be able to give individual margins, it's a B2B business, and I think you understand the reason for that."

Management flagged geopolitical uncertainty affecting freight movement, supply chain and input costs, near-term consumer segment weakness from weaker European and US demand, and ramp-up execution risk, with new line efficiency at 45% OEE and rejection rates of 8%. It also noted the UK subsidiary operates on longer-term milestone-based projects with lower near-term margins.

How did Shaily Engineering Plastics shares react?

The filing appeared after market hours. The stock was up 3.4% five minutes after the filing and 13.4% after 15 minutes, before easing to 12.4% after 30 minutes. On the reaction day, it closed 3.2% above the previous close of ₹2,403.0.

By the next day's close the stock was up 4.3% from its pre-results close, and by the fifth session it was up 1.3%. Over the same periods, the Plastic Products - Consumer sector median rose 1.4% on the reaction day, 2.5% by the next day and 4.0% by five sessions, leaving the stock ahead of the sector by 1.9 percentage points on day one and 1.8 percentage points the next day, but behind by 2.7 percentage points over five sessions. The Nifty Microcap 250 rose 0.6%, 1.7% and 4.1% respectively.

Past results-day moves were mixed: the stock fell 6.9% on 12 February 2026, rose 4.7% on 11 August 2025 and fell 3.7% on 13 May 2025, with smaller moves of 0.2% in November 2025 and 0.1% in February 2025.

How did other Plastic Products - Consumer companies do?

Six other companies in the Plastic Products - Consumer industry had filed results for this quarter, with a median revenue growth of -11.1%. Five peers grew slower than Shaily Engineering Plastics and one grew faster, while three of the five peers compared on profit reported higher profit.