TCPL Packaging Q2 FY26 Results: Revenue Flat YoY at ₹438 Cr, PAT Falls 21% to ₹28.3 Cr; Margin Pressure Amid Subdued Demand
16 Nov 2025
Ruchira Papers Limited – Kraft & Writing Paper Producer
📊 Stock Analysis
Complete financial analysis with key metrics and investment outlook
Published on: 16 November 2025, 11:30 AM IST
Ruchira Papers Ltd Q2 FY2026 Financial Results
Ruchira Papers Ltd, a prominent manufacturer of kraft paper and writing & printing paper, announced muted performance for the quarter ended September 30, 2025 (Q2 FY26). The company posted a modest 1% YoY growth in sales, but profitability declined due to higher input costs, financing expenses, and a soft demand environment.
Stock Performance & Key Metrics
As of November 14, 2025 (close):
- Current Price: ₹132
- Market Cap: ₹395 Cr
- High / Low (52-week): ₹173 / ₹107
- Stock P/E: 5.86
- Book Value: ₹167
- Dividend Yield: 3.78%
- ROCE: 18.7%
- ROE: 15.3%
- Face Value: ₹10.0
- EPS (TTM): ₹22.6
- Debt to Equity: 0.38
- Debt: ₹189 Cr
- PEG Ratio: 0.22
- Industry P/E: 17.0
Q2 FY2026 Financial Highlights
| Particulars | Q2 FY26 (Sep 2025) |
Q1 FY26 (Jun 2025) |
Q2 FY25 (Sep 2024) |
YoY Change |
|---|---|---|---|---|
| Sales / Revenue | ₹167 Cr | ₹169 Cr | ₹165 Cr | ↑ 1% |
| EBITDA | ₹24.7 Cr | ₹27.4 Cr | ₹28.4 Cr | ↓ 13% |
| Net Profit (PAT) | ₹15.6 Cr | ₹17.0 Cr | ₹17.7 Cr | ↓ 12% |
| EPS (₹) | ₹5.23 | ₹5.69 | ₹5.92 | ↓ 12% |
Result Summary
- Revenue grew 1% YoY to ₹167 Cr driven by stable demand for packaging and writing paper.
- EBITDA margin compressed due to higher input costs, particularly energy and raw materials.
- Net Profit declined 12% on account of increased depreciation and interest burden.
- EPS declined from ₹5.92 (Q2 FY25) to ₹5.23 in Q2 FY26, reflecting profitability moderation.
Management Observations
While the company has not provided specific management commentary in the Q2 FY26 financial disclosure, the results indicate a stable operating environment with a focus on maintaining volumes despite margin headwinds. Profitability was affected by higher depreciation and finance costs due to recent capacity expansions and general cost inflation.
Ruchira Papers continues to serve key domestic and export markets with kraft and writing & printing paper solutions. The company appears committed to managing its cost structure and improving product mix to sustain competitiveness.
Business & Operational Notes
- Continued focus on kraft and writing & printing paper production.
- Moderate leverage with a debt-to-equity ratio of 0.38, indicating a balanced financial position.
- Serving diversified end-use segments including packaging, education, and publishing.
- Operational stability seen amid input cost pressures and price sensitivity in the paper market.
Outlook
With gradual recovery expected in industrial and education-related paper demand, Ruchira Papers may look forward to stable order flows. However, the outlook remains cautious due to ongoing margin pressures, volatile input costs, and shifts in market dynamics following GST revisions.
The company’s moderate debt and focus on operational efficiencies position it to benefit from volume recovery and potentially improved realizations in the coming quarters.
About Ruchira Papers Ltd
Incorporated in 1980, Ruchira Papers Ltd specializes in the manufacture of:
- Kraft Paper, used for packaging applications such as corrugated boxes and carry bags.
- Writing and Printing Paper, used for educational and publishing purposes.
The company operates from its manufacturing unit in Kala Amb, Himachal Pradesh, with a focus on sustainable and cost-effective paper production.
For the full results PDF:
https://www.bseindia.com/xml-data/corpfiling/AttachHis/87418e27-047c-4267-a2e1-910ff86040fb.pdf
Data as per company’s Q2 FY26 financial report | Published on November 16, 2025
