Shares of CCL Products (India) Ltd climbed nearly 2% on Wednesday, September 3, touching a new all-time high of ₹940.80 on the NSE. The rally comes on the back of the company’s robust Q1FY26 earnings and upbeat outlook highlighted by brokerage research.
Earlier, LKP Research noted that CCL posted a strong 36.5% YoY revenue growth in Q1FY26, crossing ₹10.6 billion for the first time, driven by steady volumes and branded sales. Revenues have expanded at a 27% CAGR over the past two years, supported by capacity expansion and robust global demand.
While gross margin slipped to 32.6% due to product mix changes and coffee price volatility, gross profit still rose 17% YoY. EBITDA grew 22% YoY to ₹1.59 billion, though PAT was flat YoY and down 29% sequentially, mainly due to higher depreciation and interest costs — both expected to ease from Q3.
Management reaffirmed its 10–20% volume growth and 15–20% EBITDA growth guidance for FY26. The branded and domestic business posted 20% YoY growth with better margins. Net debt fell to ₹16.7 billion, with working capital likely to improve as coffee prices stabilize.
LKP Research revised its rating to ‘Neutral’ with a target price of ₹938, noting that near-term positives appear priced in. Despite this, optimism over global coffee demand and strong fundamentals have pushed the stock to fresh highs.
At 10:49 AM, CCL was trading at ₹940.80, up 1.86% from the previous close.
