1. Opening Hook
Remember when polyester was the underdog of fabrics, mocked by cotton elitists? Well, Filatex just turned that around faster than Zara’s new season drop. Q2FY26 saw them quietly flex operational muscle—stronger sales, higher profits, and less drama in raw material prices. While others in the textile chain cry about volatility, Filatex’s machines just keep spinning profits.
But here’s where it gets spicy: recycling is the new runway, and Filatex’s green yarn dreams might just outshine its old-school virgin fiber hustle. Buckle up—this story gets warmer than a polyester blanket in winter.
2. At a Glance
- Revenue ₹1,076 Cr– Management swears it’s not Excel magic, just polyester demand refusing to shrink.
- EBITDA ₹88.9 Cr– Up 14.3%; apparently, cost control isn’t a myth after all.
- PAT ₹47.6 Cr– Up 16.8%; finally, profits joined the productivity party.
- Margins 8.3%– Tight but comfy; automation and steam projects are the caffeine shot here.
- Sales Volume 1,01,391 MT– More threads, fewer headaches.
- Stock Outlook– Market nodded politely; traders waiting for recycled yarn story to hit full speed.
3. Management’s Key Commentary
“Revenue grew to ₹1,076 crore from ₹1,049 crore QoQ.”(Translation: We didn’t break the ceiling, but hey, the roof stopped leaking.)
“EBITDA rose by 14.36% to ₹88.93 crore.”(Basically, we squeezed a bit more juice from the same polyester lemons. 🍋)
“PAT increased 16.8% to ₹47.58 crore.”(Money talks; now it’s speaking slightly louder.)
“₹650 crore capex plan underway—yarn expansion, recycling, and renewable energy.”(When in doubt, just build more shiny things that make money.)
“Recycling project on track; production starts by September 2026.”(Translation: Turning trash into cash, literally. ♻️)
“Automation will cut 160–180 jobs in packaging.”(Robots don’t ask for tea breaks, after all. 😏)
“MEG anti-dumping could raise costs 0.5–1%.”(We pray to the policy gods daily, hoping for mercy.)
“Expect
full-year EBITDA margin above 8%.”(That’s confidence with a side of cautious optimism.)
4. Numbers Decoded
| Metric | Q2FY26 | Q1FY26 | Change (%) |
|---|---|---|---|
| Revenue (₹ Cr) | 1,076 | 1,049 | +2.6% |
| Sales Volume (MT) | 1,01,391 | 97,263 | +4.2% |
| EBITDA (₹ Cr) | 88.93 | 77.76 | +14.4% |
| PAT (₹ Cr) | 47.58 | 40.74 | +16.8% |
| EBITDA Margin (%) | 8.27 | 7.41 | +0.86 pp |
| H1 FY26 Revenue (₹ Cr) | 2,125 | 2,103 (YoY) | +1.0% |
| H1 FY26 PAT (₹ Cr) | 88.32 | 45.77 (YoY) | +93% |
Comment:Efficiency, energy management, and better product mix are the real heroes here—no fairy dust required.
5. Analyst Questions
- Q:Is the recycled fiber tie-up enough for full operations?A:“We’ve got enough trash locally to stay busy.” (Nothing like Surat’s waste to fuel profits.)
- Q:Any chance of new plants soon?A:“After this one runs well, expect more. Polyester dreams don’t stop.”
- Q:Will MEG anti-dumping hit margins?A:“Barely 1%, unless policymakers wake up grumpy.”
- Q:When’s the renewable energy project live?A:“Might slip to July 2026—apparently approvals move slower than polyester drying.”
6. Guidance & Outlook
Management sees FY26 margins at8.5–9%, with steady revenue and better
