At a Glance
3B Films Ltd, based in Vadodara, manufactures specialized CPP and CPE films for the food and FMCG packaging world. With recent IPO proceeds aimed at expansion, strong product variety, and FY24 OPM of ~20%, it seemed promising. But low utilization, rising working capital needs, and a –30% stock crash post-listing raise red flags.
🎥 1. What’s Their Business – Just Wrapping Paper?
Think beyond plastic wrappers. This isn’t the mithai box cling film you’re thinking of.
3B Films Ltdmakes:
- CPP (Cast Polypropylene)&CPE (Cast Polyethylene)films used for:
- 🍫 Food packaging
- 💊 Pharma wrapping
- 🛍️ FMCG & non-food flexible packaging
- 🍱 Thermoforming trays
They offer every variation from anti-fog films to peelable lids and retort-grade CPPs. Even metallized versions for that shiny snack pack glamour.
🧾 2. Product Portfolio – Bollywood Cast, But in Plastic
Here’s their diverse product mix:
- 🎞️Metalised CPP/CPE– 36.38%
- 🍬Natural CPP/CPE– 22.74%
- 🧁Adhesive Laminate Films (Trading)– 29.81%
- 🥛Granules (Reprocessed)– 6.13%
- 🍧White Opaque & Others– 5%
New vertical alert 🚨: They’re setting up in-houseprinting and laminationunits to producefinished pouches, not just base films. That means better margins and brand control.
🏭 3. Manufacturing – Underused & Under Pressure?
Their facility inVadodara, Gujarat, has serious capacity. But is it being used?
| Product | Installed Capacity | Utilization |
|---|---|---|
| CPP/CPE Films | 9,000 MT | 36.3% |
| Granules | 900 MT | 60.5% |
Theydoubled CPP/CPE capacity in FY24, but haven’t yet filled the order books. That’s like booking a 1,000-seat theatre and only selling balcony tickets.
💰 4. Financials – Hit Film or Box Office Dud?
Let’s cut the dramatic music and roll the numbers:
Sales & Profit (₹
