Ester Industries Ltd
NSE:ESTER
Ester Industries Ltd
Ester Industries Ltd. engages in the production and sale of polyester, polymers, and other plastic compounds. The company is headquartered in Gurgaon, Haryana. The company went IPO on 2011-06-17. The firm's segments include polyester chips and film, engineering plastics and speciality polymers. Its polyester films product line includes special chemical coated films, transparent high barrier films, isotropic film, heat seal films, shrink sleeve film, gold films, embossable films, insulation film, and twist films. The company is also in the business of polyester packaging films. Its engineering plastic product line includes polyamide 6 and polyamide 66 engineering plastics, polybutylene terephthalate (PBT) engineering plastics, polycarbonate (PC) engineering plastics, acrylonitrile butadiene styrene (ABS) engineering plastics, and polyoxymethylene (POM) engineering plastics. Its specialty polyester business manufactures polyester chips of normal and Masterbatch grades. The company manufactures engineering plastics under the brand name of Estoplast.
Ester Industries Ltd. engages in the production and sale of polyester, polymers, and other plastic compounds. The company is headquartered in Gurgaon, Haryana. The company went IPO on 2011-06-17. The firm's segments include polyester chips and film, engineering plastics and speciality polymers. Its polyester films product line includes special chemical coated films, transparent high barrier films, isotropic film, heat seal films, shrink sleeve film, gold films, embossable films, insulation film, and twist films. The company is also in the business of polyester packaging films. Its engineering plastic product line includes polyamide 6 and polyamide 66 engineering plastics, polybutylene terephthalate (PBT) engineering plastics, polycarbonate (PC) engineering plastics, acrylonitrile butadiene styrene (ABS) engineering plastics, and polyoxymethylene (POM) engineering plastics. Its specialty polyester business manufactures polyester chips of normal and Masterbatch grades. The company manufactures engineering plastics under the brand name of Estoplast.
Challenging Quarter: Ester Industries reported subdued Q3 FY '26 performance due to aggressive price competition from Chinese BOPET dumping, US trade tariff issues, and rupee depreciation.
Revenue Decline: Consolidated Q3 income fell 2.1% YoY to INR 343.5 crore, with the Polyester Films segment revenue down 8.9% YoY.
Profitability Hit by One-offs: EBITDA dropped 67.7% YoY, impacted by INR 7.6 crore in one-time losses related to forex and new labor code provisions.
US Tariff Relief: Management expects a significant boost in margins and exports as US tariffs on Indian BOPET films are set to fall from 50% to 18% by mid-March 2026.
Specialty Business Growth: Specialty Polymers segment saw strong volume (up 46.4%) and revenue growth (up 72.9%) in Q3, with EBIT up 61.8% YoY.
Improving Outlook: Demand is stabilizing, Chinese imports have moderated, and capacity utilization is expected to improve steadily in coming quarters.
Strategic Focus: Company aims to shift product mix to 70% specialty products over next 3-5 years, with ELITe chemical recycling project progressing on schedule.
Liquidity & Debt: Gross debt at INR 742 crore, cash balance INR 80 crore, with repayments well-planned and no liquidity concerns.
