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    Mold-Tek Packaging Limited

    MOLDTKPAC
    Capital Goods·4 Nov 2025
    Management Summary

    Mold-Tek Packaging reported a decent Q2 FY26 with sales value up 9.65% and volume up 7%, despite seasonal weakness and heavy rains impacting paint and lubes segments. H1 EBITDA margin improved by 10.5% to 40.6 per kg. Pharma packaging sales showed strong growth of 45% QoQ, and Food & FMCG volumes grew 19%. The company expects a stronger H2 with Panipat operations coming online and a recovery in paint demand post-monsoon, aiming for 10-12% overall volume growth and maintaining EBITDA per kg above 40.

    Highlights

    5

    • Despite seasonal weakness and rains, Q2 FY26 saw a decent 9.65% sales value increase and 7% volume growth year-on-year.

    • H1 FY26 EBITDA margin improved by 10.5% to 40.6 per kg, significantly higher than 36.73 per kg last year.

    • Pharma packaging sales demonstrated robust growth of 45% quarter-on-quarter, reaching over ₹10 crores in Q2 FY26.

    • Food and FMCG segment recorded strong volume growth of 19% and Qpack grew 20% in Q2 FY26.

    • Grasim (Birla Opus) showed strong performance, growing 24% in Q2 and 86% in H1 year-on-year.

    Concerns

    4

    • Q2 FY26 was impacted by seasonal low-volume and heavy rains for 4-5 months, affecting movement of goods and sales of food products, paints, and lubes.

    • The paint segment's growth slowed significantly to 3% in Q2 FY26, down from 21% in Q1 FY26, while the lubes segment declined by 13% YoY.

    • EBITDA per kg declined from ₹41 in Q1 FY26 to ₹39 in Q2 FY26, primarily due to lower capacity utilization (63% in Q2 vs 74% in Q1).

    • Competition in the Food & FMCG sector led to a slight drop in realization per kg, from ₹309 in Q1 to ₹300-301 in Q2 FY26.

    What Changed1

    vs Q3 FY26

    Guidance items15 → 12 (-3)
    Key financials

    Metrics

    6

    Periods

    2

    Headline

    4
    • Sales Value Growth
      9.7%
      YoY+9.7%
    • Volume Growth
      7.0%
      YoY+7.0%
    • H1 EBITDA per kg
      ₹40.6
      YoY+10.5%
    • H1 Capacity Utilization
      69%

    Q2

    2
    • EBITDA per kg
      ₹39
      QoQ-4.9%
    • Capacity Utilization
      63%
      QoQ-14.9%

    Segment breakdown

    Pharma Packaging
    ₹7 Cr Q1 Sales₹10 Cr Q2 Sales45% Q2 Sales Growth100 Rs EBITDA per kg
    Paints
    21% Q1 Growth3% Q2 Growth4,845 tons Q2 Sales Volume5,593 tons Q1 Sales Volume
    Lubes
    -13% Q2 Decline
    Food & FMCG
    19% Q2 Volume Growth20% Q2 Qpack Growth309 Rs Q1 Realization300 Rs Q2 Realization
    Grasim (Paints)
    1,250 tons Q2 Volume24% Q2 Growth2,900 tons H1 Volume86% H1 Growth
    List

    Order Book

    medium confidence

    Composition

    Pharma Clients(client type)
    Delhi NCR Dairies(geography)

    Pipeline

    other

    Pharma clients who have visited, approved facilities, and audited, awaiting commercial/trial runs.

    "Management indicated new client additions and contracts, particularly in pharma and Food & FMCG, are expected to contribute significantly in upcoming quarters."

    Source:
    Q&A

    Capital allocation

    1
    high confidence
    CategoryHeadline
    Capex

    ₹100 crores

    cut — current year capex expected to be lower than previous years

    Guidance & targets

    12
    CategoryTargetPriority
    Volume
    Overall Volume Growth
    10%
    		High
    Volume
    Food & FMCG Volume Growth
    15-20%
    		High
    Revenue
    Overall Sales Value Growth
    12-15%
    		High
    Revenue
    Pharma Revenue
    35-40 crores
    		High
    Revenue
    Pharma Revenue
    55-60 crores
    		Medium
    Revenue
    Pharma Revenue
    80-90 crores
    		Medium
    Revenue
    Pharma Revenue
    150-180 crores
    		Low
    Profitability
    EBITDA per kg
    40+ Rs
    		High
    Profitability
    EBITDA per kg
    40-41 Rs
    		Medium
    Profitability
    Pharma EBITDA per kg
    100-120 Rs
    		High
    Capex
    Annual Capex
    100-105 crores
    		High
    Capacity
    Pharma Capacity Increase
    2,500 tons
    		Medium

    Paint segment recovery

    Q3 FY26
    Current3% growth in Q2 FY26
    TargetImproved growth, picking up from November-December

    Why it matters

    Paint is a significant segment; its recovery is crucial for overall volume growth targets.

    But if the rain stops, there will be pent-up demand and activity picking up for summer and the rest of the season. I think the paint demand will go up from November-December onwards.

    How to verify

    key_financials.segment_breakdown[name='Paints'].metrics[label='Growth']

    Risks & concerns

    4
    RiskSeverity

    Seasonal slowdown and heavy rains

    Q2 and Q3 are typically low-volume seasons, exacerbated by 4-5 months of heavy rains impacting movement of goods, sales of food products (ice creams, yogurts), and paints. — Management acknowledged

    medium

    GST implementation disruption

    GST announcement in August and effective September caused a lull in orders in September. — Management acknowledged

    low

    Competition in Food & FMCG segment

    Some pressure in competition coming up in corners of food and FMCG sector leading to some drop per kg value in food and FMCG. — Management acknowledged

    medium

    Structural headwind for Lubes segment

    Lubricants offering more and more mileage per liter means consumption may not grow in tandem with economic growth, leading to a lag in growth. — Management acknowledged

    medium

    Q&A highlights

    8

    “Yes, definitely GST being announced a month ago, that is somewhere in August, I think, and made it effective from September. There was some lull in the pickup in the month of September and orders started flowing only after the GST impact has been really affected. So, there was some lull due to that factor also.”

    Explains a factor contributing to lower-than-expected Q2 volume growth.

    asked by Deepak Saha

    2 min read6 chapters

    Detailed Narrative

    01

    Q2 FY26 Performance Overview

    Mold-Tek Packaging reported a decent Q2 FY26 with sales value increasing by 9.65% and volume by 7% year-on-year, despite seasonal challenges and heavy rains. The first half (H1) FY26 saw a healthy EBITDA margin of 40.6 per kg, representing a 10.5% growth compared to 36.73 per kg in the previous year. Management noted that Q2 and Q3 are typically low-volume seasons, which impacted performance.

    02

    Segmental Performance and Challenges

    The pharma packaging segment demonstrated robust growth, with sales increasing by a massive 45% quarter-on-quarter, reaching over ₹10 crores in Q2 from ₹7 crores in Q1. Food and FMCG also showed strong volume growth of 19%, with Qpack growing 20%. However, the paint segment's growth significantly slowed to 3% in Q2 from 21% in Q1, and the lubes segment declined by 13% year-on-year, primarily due to heavy monsoon rains and structural changes like improved mileage per liter.

    03

    Margin and Capacity Utilization

    EBITDA per kg saw a slight dip from ₹41 in Q1 to ₹39 in Q2. This was attributed to lower capacity utilization, which fell from 74% in Q1 to 63% in Q2, leading to higher overhead costs. Despite the Q2 dip, the H1 EBITDA per kg of 40.6 is significantly better than the 36.38 recorded last year, mainly due to improved product mix towards pharma and food products.

    04

    Strategic Initiatives and Future Outlook

    The company is on track to achieve its FY26 pharma revenue target of ₹35-40 crores, with new clients like Laurus and MSN starting commercial orders. The Panipat plant for Food & FMCG is expected to significantly contribute from Q3 FY26 onwards, with new contracts already signed. Integration of IML operations at Sultanpur is projected to yield a 'rupee benefit' per kg in consumable costs from Q3-Q4 FY26, enhancing cost efficiency.

    05

    Capex and Expansion Plans

    Mold-Tek Packaging has completed ₹60 crores in capex in H1 FY26 and expects total annual capex to be around ₹100-105 crores for FY26, a reduction from previous years' average of ₹140 crores. This includes ₹35-40 crores for maintenance, ₹11 crores for pharma land acquisition in Q1, and brownfield expansions. A new greenfield pharma expansion is planned for next year, aiming to increase capacity by 2,500 tons by Q2 FY27.

    06

    Guidance and Long-Term Vision

    Management reiterated its target of 10-12% overall volume growth and 12-15% sales value growth for FY26. They are confident of maintaining EBITDA per kg above ₹40 in H2 FY26, aiming for ₹40-41 for the full year, an improvement of 6-7% over last year's ₹37.6. Long-term, the pharma business is envisioned to reach ₹150-180 crores by FY30-31, reflecting strong growth potential in this segment.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.