Pudumjee Paper Products Ltd Q1 FY26 – Tissues, Greaseproof Papers & Margins Sharper than a Paper Cut
1. At a Glance
CMP ₹118, market cap ₹1,115 Cr, stock P/E 10.7, book value ₹61.4, ROCE 22.4%, ROE 16.7%, and almost debt free (₹14.5 Cr debt). Sales in FY25 were ₹803 Cr, PAT ₹104 Cr. Dividend yield? A tissue-thin 0.5%. In the last 3 years, the stock is up ~45%, but in the last year, barely 6%. Basically, Pudumjee is like that hardworking student who tops class in the long run but still gets ignored during annual day.
2. Introduction
Specialty paper. Doesn’t sound sexy, right? But wait till you realise Pudumjee makes everything from Bible paper to burger wrapping, from pharma packaging to security cheque paper. In short: if there’s paper between your hands, mouth, or money — Pudumjee may have made it.
Born in 2015 (a spinoff from an older M.P. Jatia group company), Pudumjee has been quietly making niche papers nobody talks about but everybody uses. While JK Paper and West Coast focus on volume-based copier paper, Pudumjee is happy catering to chefs, pharma companies, FMCG giants, and even temples (Bible printing paper).
And when COVID taught us to hoard tissues like gold, Pudumjee’s hygiene brand Greenlime stepped in. Institutional napkins for corporates, airport dispensers, sanitizers for facility managers, and Chef Smartr rolls for hotels. Basically, they’re the “invisible Swiggy” of your paper life.
3. Business Model – WTF Do They Even Do?
Lazy investor version: Pudumjee sells paper, but not your average “rough notebook” kind.
Food Grade Papers: Greaseproof, parchment, oven bake — the stuff that stops samosa oil from embarrassing you on a Zoom call.
Pharma & Security Grade: Medical packaging, MICR cheque papers, yellow interleaving sheets — the anti-hero that banks and hospitals can’t function without.
Tissue & Towels: Napkins, kitchen rolls, bathroom tissues — basically the difference between “Indian jugaad” and “civilized dining.”
Décor & Specialty Papers: Barrier, overlay, anti-rust, melamine transfer papers. Yes, furniture also wants Instagram filters.
Printing Grades: Bible and thin-printing paper — God’s word, powered by Pudumjee.
Revenue split: ~97% paper, ~3% hygiene. Exports are a tiny 3% — so yes, it’s mostly a Made in Pune, Consumed in India story.
👉 Question for you: Do you think a “domestic-focused paper company” is safer, or would you prefer exporters who live and die by forex swings?
4. Financials Overview
Q1 FY26 results show resilience:
Source table
Metric
Latest Qtr (Q1 FY26)
YoY Qtr (Q1 FY25)
Prev Qtr (Q4 FY25)
YoY %
QoQ %
Revenue
₹196 Cr
₹203 Cr
₹190 Cr
-3.4%
+3.2%
EBITDA
₹34 Cr
₹37 Cr
₹24 Cr
-8.1%
+41.7%
PAT
₹36 Cr
₹28 Cr
₹19 Cr
+28.6%
+89.5%
EPS (₹)
3.82
2.90
1.99
+31.7%
+92.0%
Annualised EPS ≈ ₹15.3 → P/E = ~7.7 at CMP ₹118.
Commentary: Sales dipped slightly YoY, but profits jumped 30%. Basically, Pudumjee turned less paper into more money — proving margins matter more than volumes.
5. Valuation Discussion – Fair Value Range Only
Three styles, one answer:
P/E Method
EPS (annualised): ~₹15.3
Fair P/E band: 9x – 14x (JK Paper 18x, West Coast 12x).
