Detailed Narrative
Q3 FY26 Performance and 9M FY26 Overview
AGI Greenpac reported Q3 FY26 revenue of ₹634 crore, with EBITDA at ₹154 crore and PAT at ₹71 crore. For the nine months ended December 31, 2025, revenue grew 5.4% YoY to ₹1,923 crore from ₹1,824 crore in 9M FY25. EBITDA for 9M FY26 was ₹484 crore, a slight decrease from ₹497 crore in the prior year, while PAT increased 4.4% to ₹236 crore. The Q3 performance was impacted by subdued demand in the beer segment due to extended rains and extreme winters.
Segmental Performance and Realizations
In Q3 FY26, container glass sales volume increased by approximately 10% QoQ but was 2% lower YoY, maintaining strong capacity utilization at 95%. Sales realization for container glass decreased by ₹450 per ton QoQ and ₹1,200 per ton YoY, primarily due to contractual adjustments linked to raw material costs. Specialty glass saw flat QoQ volume but a 13% YoY increase, with capacity utilization around 85%. Realization for specialty glass improved significantly by ₹900 per ton QoQ and ₹6,800 per ton YoY.
Capacity Expansion and Greenfield Projects
The container glass de-bottlenecking project is fully completed, increasing capacity to 1,900 tons per day, ahead of the March 2026 timeline. The specialty glass capacity expansion to 200 tons per day is on track for completion by March 2026. The greenfield container glass facility in Madhya Pradesh (500 TPD) is advancing, with land acquisition complete and civil construction underway, targeting commissioning by March 2027. The strategic entry into the aluminum beverage can segment is also on schedule, with equipment procurement in final stages for a 1.6 billion cans annual capacity.
Financial Strength and CAPEX Plans
The company remains financially strong, having prepaid its remaining ECB loan in December 2025, resulting in nil ECB borrowings. Net bank debt as of December 31, 2025, stood at approximately ₹389 crore. For FY27, AGI Greenpac expects a major CAPEX spend of ₹1,100-1,200 crores, with remaining spend in FY28 focused on the CAN side. An additional ₹20-30 crores is expected to be incurred in Q4 FY26 for ongoing projects.
Guidance on Growth and Margins
Management reiterated its guidance for EBITDA margins to be maintained in the range of 24% to 25% on an annualized basis for the next 12-18 months, excluding non-operating income. For FY26, overall volume growth is expected to be around 7% to 9%. Looking ahead to FY27, container glass volume is projected to grow 3% to 4%, and specialty glass 7% to 10%, leading to an overall volume growth of 8% to 9%. The new plant is expected to contribute 15% to 17% growth in FY27-28.
Retail Diversification and Raw Material Outlook
AGI Greenpac is expanding its retail presence by offering end-to-end services as an OEM to brand owners, providing filled products in its bottles through outsourced activities. This strategy aims to strengthen command over its products and improve customer relationships, without building its own brand. On raw materials, soda ash prices have stabilized after the anti-dumping duty investigation. Oil prices are expected to remain within a band, influenced by global supply dynamics and geopolitical events, which management believes will not derail input costs significantly.