Ester Industries, a manufacturer of polyester films and specialty polymers, announced its unaudited financial results (standalone and consolidated) for the first quarter ended June 30 2026.
Total Income in Q1 FY27 was Rs 441.9 crore, a 27% jump from Q1 FY26 (Rs 346.9 crore). EBITDA (including Non-operating income) in Q1 FY 27 was Rs 58.9 crore. PAT in Q1 FY 27 was Rs 18.6 crore.
Commenting on the performance, Arvind Singhania, chairman, Ester Industries said, “Q1 FY27 marked a strong quarter of execution for Ester, with an improving operating environment, higher realizations, increased throughput and a favorable product mix supporting a significant financial turnaround. Consolidated Total Income increased 27.4% Y-o-Y to ₹441.9 crore, while EBITDA more than doubled, rising 103.4% Y-o-Y to ₹58.9 crore. EBITDA margin expanded significantly to 13.3% from 8.35% in Q1 FY26, reflecting improved operating performance and better business mix resulting from higher contribution of Value-Added products within Film segment and better realizations across product portfolio. PAT turned positive at ₹18.6 crore, compared with a loss of ₹7.2 crore in the corresponding quarter last year. Our Q1 FY27 performance reflects the strength of our strategy, the resilience of our business and our relentless focus. The strength and breadth of this performance gives us confidence in the momentum ahead.
China has adopted “anti-involution” policy. This policy is a government campaign to stop destructive price wars, overcapacity, and profitless competition. Key components of this policy include restricting predatory pricing, encouraging industry consolidation, and phasing out outdated production facilities. As a result, surplus at predatory prices coming out of China has significantly reduced leading to improve margin profile.
The operating environment for the BOPET Film industry continued to improve during Q1 FY27, with the US tariff-related disruptions and import from China witnessed in FY26, largely behind us. Simultaneously, the Plastic Waste Management Rules (PWMR) and the increasing requirement for post-consumer recycled (PCR) content continue to provide structural demand opportunities for rPET and recycled-content films.
Against this backdrop, Ester continues to strategically strengthen its Film portfolio by increasing the contribution of Value-Added and Specialty products. This approach is aimed at improving realizations, enhancing product mix and reducing earnings volatility arising from industry-wide cyclicity caused by periodic demand-supply imbalances.
Looking ahead, we remain confident about Ester’s medium to long-term growth prospects, supported by improving industry conditions, favorable regulatory tailwinds and its continued focus on premium and Value-Added products. The increasing focus on differentiated products is expected to provide greater resilience across industry cycles and support sustainable margin improvement over the medium to long term. By focusing on operational efficiency, capacity utilization and advanced Specialty products, the company remains committed to driving profitability growth and reducing its environmental footprints.
As regard to ELITe project, we are glad to inform that ELITe has secured a Letter of Intent from a leading global sports and athletic brand for Loop PET Fiber Grade resin, under a multi-year framework for offtake of up to 15,000 MT per annum from its upcoming Gujarat facility. With a significant portion of the planned capacity already committed ahead of commercial start-up, this early customer validation provides strong visibility for the JV’s recycled platform and underscores the growing demand for its Value-Added, sustainable product offerings.”
Business Highlights
Polyester Films:
*Consolidated capacity utilization stood at 84% in Q1 FY27 as compared to 82% in Q1 FY26, supported by higher Film production at Ester Filmtech.
*Film sales volume increased by 2.7% from 21,531 MT to 22,120 MT, while Film revenue grew 37% Y-o-Y to Rs.399.5 crores, supported by improved realizations and higher volume of Value-Added Films.
*The company continues to focus on value-added & specialty products (VAS), with VAS volumes at 6,368 MT, representing 29% of total Film sales.
*Volume of VAS products increased from 5180 MT (Q1 FY26) to 6368 MT (Q1 FY27), registering a significant growth of 23%.
*rPET sales volume increased by 19% Y-o-Y to 1,394 MT, with revenue increasing by 24% YoY to Rs.17.5 crore.
Specialty Polymers:
*Sales volume for the segment decreased from 954 MT in Q1 FY26 to 725 MT in Q1 FY27, a de-growth of 24% Y-o-Y.
*Revenue decreased from Rs.48.1 crore to Rs.32.7 crore, a de-growth of 32.% Y-o-Y.
*However, EBIT margin improved from 31.7% to 45.3% due to better product mix.
