EPACK Durable, India’s No. 2 AC-ODM with a 24% share, just turned in Q1 FY26 with revenue ₹662 Cr (down 14% YoY) but PAT ₹23.9 Cr (up 1.3%). Market cap ₹3,600 Cr, P/E a spicy 61x, ROE barely 6.3%. Basically, the company is cooling India’s bedrooms but not exactly heating up investors’ portfolios.
2. Introduction
Every middle-class Indian family has that “AC uncle”—always advising which brand to buy, but secretly asking for the cheapest installation charges. Behind those Voltas, Blue Star, and Daikin logos, chances are EPACK Durable is the real ghostwriter, quietly building India’s air conditioners like Bollywood’s uncredited playback singers.
Started in 2003 as a contract manufacturer and reincarnated in 2012 as an ODM, EPACK now supplies to everyone from Daikin to Croma. By FY25, it grabbed 24% domestic ODM share. IPO came in Jan 2024, raising ₹640 Cr—some for capex, some for loan repayment, and some for “general corporate purposes” (aka management ki Switzerland trip?).
The funny part: while its products keep rooms chilled at 16°C, its balance sheet return metrics are stuck in the lukewarm zone. Investors are asking—can EPACK grow into Amber Enterprises 2.0, or is it just another “AC mechanic” to the brand kings?
3. Business Model – WTF Do They Even Do?
Think of EPACK as the behind-the-scenes chef in a 5-star buffet. Brands like Voltas serve the AC to you, but EPACK chopped the onions, cooked the masala, and even cleaned the kitchen.
Room Air Conditioners (80% revenue): Split, window, inverter, fixed-speed—basically, every type except “AC ka remote that never works.”
Small Domestic Appliances (SDAs): Induction cooktops, mixer grinders, water dispensers, and now air coolers (since FY24).
Components: Heat exchangers, copper tubes, cross-flow fans. They sell parts to others and keep the rest for in-house assembly.
Clientele is a who’s-who: Blue Star, Daikin, Carrier, Voltas, Godrej, Havells, Haier. Basically, if you bought an AC in India, chances are EPACK’s screws are inside.
But dependence is high—top 5 clients bring 80%+ revenue. One big client switching suppliers is like a break-up after 10 years of shaadi—ugly and expensive.
4. Financials Overview
Metric
Q1 FY26
Q1 FY25
Q4 FY25
YoY %
QoQ %
Revenue
₹662 Cr
₹773 Cr
₹643 Cr
-14.4%
2.9%
EBITDA
₹55 Cr
₹52 Cr
₹72 Cr
5.8%
-23.6%
PAT
₹23.9 Cr
₹23.6 Cr
₹39 Cr
1.3%
-38.7%
EPS (₹)
2.49
2.46
4.11
1.2%
-39.4%
Commentary: Seasonality strikes again—Q4 is summer blockbuster, Q1 looks like flop monsoon release. EPS annualised = ~₹10. At CMP ₹374, that’s a 37x forward P/E. Expensive for a company whose margins (8%) are thinner than airplane blankets.
