Shares of EPack Durable declined over 8% on Thursday, May 21, after the company reported a sharp fall in quarterly profit and weaker full-year earnings performance.
The stock fell 8.28% to Rs 237.75 on the NSE after the company announced its Q4 FY26 results.
EPack Durable reported consolidated revenue from operations of Rs 591 crore for the March quarter, down 8.3% from Rs 643.2 crore reported in the corresponding quarter last year.
The company’s net profit declined sharply to Rs 0.02 crore in Q4 FY26 compared to Rs 37.7 crore in Q4 FY25. Profit before tax also dropped significantly to Rs 1 crore from Rs 51.5 crore a year ago.
The weak earnings performance was driven by higher operating expenses, elevated raw material costs and lower operating profitability during the quarter.
Total expenses during Q4 FY26 increased to Rs 590.8 crore compared to Rs 423.1 crore in the previous quarter. Raw material and inventory-linked costs remained high, with cost of materials consumed standing at Rs 567 crore.
Other expenses also increased sharply to Rs 33 crore from Rs 22.8 crore in Q3 FY26, while employee benefit expenses rose to Rs 19.6 crore from Rs 16.8 crore sequentially.
The company additionally reported a share of loss from joint venture operations amounting to Rs 2.2 crore during the quarter.
Despite the weak year-on-year performance, revenue improved sequentially by 38% from Rs 428 crore reported in Q3 FY26.
For the full financial year FY26, EPack Durable reported consolidated revenue from operations of Rs 1,894 crore, down 13% from Rs 2,171 crore in FY25.
Annual net profit also declined sharply to Rs 3.3 crore from Rs 55.1 crore reported in the previous financial year, while profit before tax fell to Rs 8.8 crore from Rs 74 crore.
The company continued to invest in manufacturing capacity expansion and fixed assets during the year. Acquisition of property, plant, equipment and capital work-in-progress stood at Rs 314.3 crore during FY26.
Total assets increased to Rs 2,506 crore as of March 31, 2026, while total equity rose to Rs 960.3 crore.
The sharp decline in profitability and pressure on operating margins weighed on investor sentiment, leading to selling pressure in the stock during Thursday’s session.
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