TCPL Packaging Q4 FY26 Results (NSE: TCPLPACK)
Signal: Margin pressure
The read
Q4FY26 standalone revenue grew modestly (+6.5% YoY) but profitability suffered a double blow: input-cost headwind (raw material ratio +450bps) compressed OPM, and a large deferred-tax charge plus a labour-code exceptional charge pushed PAT down 40% YoY. Full-year PAT of ₹97.18 Cr (-31.2%) reflects a weak H1 (Q1-Q2 PAT fell 29.6% and 19.2% YoY respectively) and the cumulative exceptional of ₹13.52 Cr. Cash flow from operations nearly doubled to ₹28,527 Cr, a silver lining, but a 46.9% YoY drop in Q4 PAT — the worst in the 12-quarter series — signals structural margin pressure unless input costs recede.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹436.06 Cr | 6.5% | -3.7% |
| EBIT | ₹41.96 Cr | 12.1% | |
| Net profit | ₹21.17 Cr | -40.1% | |
| EPS | ₹23.27 | -40.0% | |
| EBIT margin | 14.7% |
P&L walk
Consolidated statement not filed in this extract – standalone only; group results (with 3 subsidiaries) filed but separate statements not printed here; auditor lists subsidiaries (TCPL Middle East FZE, Creative Offset Printers, Accura Technik).
Key positives
- Cash flow from operations surged 103.6% YoY to ₹28,527 lakh in FY26, indicating better working capital management.
- Other income of ₹1,201 lakh in Q4 (+492% YoY) provided a meaningful cushion to operating profit.
Key concerns
- Raw material cost ratio rose 450bps YoY to 59.6% in Q4, driving OPM contraction of 200bps to 14.7%.
- Full-year PAT fell 31.2% to ₹97.18 Cr, the second consecutive annual decline (FY25 PAT ₹141.27 Cr); 3-year profit CAGR of -24.34% confirms a structural downtrend.
- Exceptional charge of ₹13.52 Cr for Labour Code impact (not yet fully quantified) may recur in FY27.
- Q4FY26 PAT of ₹21.17 Cr is the lowest Q4 in the 12-quarter series and 42.9% below Q4FY25.
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