01 — At a Glance
When Your Growth Bet Becomes a Valuation Gamble
- 52-Week High / Low₹1,332 / ₹785
- Q3 FY26 Revenue₹106.31 Cr
- Q3 FY26 PAT₹6.83 Cr
- TTM EPS₹5.50
- Annualised EPS (Q3 × 4)₹2.89
- Book Value / Share₹292
- Price to Book3.44x
- Debt (Sep 2025)₹317 Cr
- Profit Growth (TTM)-71.7%
- Sales Growth (3-yr)4.35%
Flash Summary: XPRO trades at 184x P/E — the kind of number that makes chartered accountants question their career choices. The company is in the middle of a ₹650 crore capex to triple capacity, but Q3 FY26 PAT collapsed 71.7% on a TTM basis. The Barjora plant is in “stabilization phase,” which is corporate speak for “we hit some snags.” Meanwhile, at ₹1,005 per share, investors are paying 3.44x book value for a business growing revenue at 4% and whose profits are moving in the wrong direction. This is what happens when you build factories before the market is ready.
02 — Introduction
The Specialty Plastics Play That Bet Too Big Too Soon
XPRO India makes plastic films. Not the cheap kind you wrap your leftovers in. We’re talking dielectric films for capacitors — specialized, niche, high-value polymers used in everything from air conditioners to electric vehicles. Their tagline might as well be: “We make the plastic that makes your appliance work better than your appliance itself.”
The company operates two divisions: the Biax division (25% of revenue, but the crown jewel) makes dielectric films with 30%+ domestic market share. The Coex division (75% of revenue) makes sheets and thermoformed liners for refrigerators and white goods. They supply LG, Whirlpool, Godrej, and other household names. Stable clientele. Decent margins. Nothing particularly sexy, but solid.
Then, around 2022-23, someone in the boardroom had a vision: “What if we tripled capacity?” So XPRO announced two massive capex projects — a ₹4,000 MTPA Biax line in Barjora, West Bengal, and a ₹5,000 MTPA facility in Ras Al Khaimah, UAE. Total capex: ₹650 crore. Grand plan. Ambitious timeline. Problem: the market didn’t wait, profits started compressing, and the stock — which had delivered 92% returns over 5 years — decided 2024 was the year to give it all back (down 16.7% in the past year). This is the story of a good business that got too confident in its own hype.
India Ratings Update (Jan 2026): Ind-Ra affirmed XPRO’s bank loan facilities at IND A-/Stable. Translation: “The company is solid enough to keep lending to, but we’re watching these capex projects like hawks.” CARE also gave an earlier A- rating. Both agencies flagged execution risk and margin volatility as key monitorables. No one is betting the farm on this story anymore.
03 — Business Model: Plastics for Things That Need Plastic
Two Divisions, Three Problems, One Valuation That Makes No Sense
XPRO has two operating divisions, and they tell two very different stories about the company’s ability to execute.
The Biax Division (25% of revenue, 99% of the excitement): These are dielectric films — specialized biaxially oriented polypropylene films used in capacitors for air conditioners, washing machines, refrigerators, and increasingly, electric vehicles. XPRO is literally the only Indian manufacturer of these films. Market share: 30%+. The rest is imported. Here’s the upside: EVs use multiple capacitors. India is becoming a hub for EV manufacturing. Demand should be good. Here’s the problem: they’re already running at 89-91% capacity utilization and still can’t deliver enough volume. The new Barjora line (4,000 MTPA) should fix this by mid-FY26. Should. Fingers crossed.
The Coex Division (75% of revenue, the bread and butter): Coextruded plastic sheets, thermoformed liners for refrigerators, some specialty cast films. Revenue per unit is lower than Biax. Margins are lower. Competition is higher. Growth is slowing. Refrigerator market is growing, but not at 25-30% per annum anymore. This division is the cash cow that’s getting old. EBITDA margins here have compressed from 14.2% (FY24) to 9.4% (FY25) to under 10% in recent quarters. That’s not just bad. That’s the kind of bad that makes CFOs update their résumés.
Biax Mix25%of revenue
Coex Mix75%of revenue
Debt Surge+702%FY24 to FY25
Margin Squeeze-480 bpsEBITDA FY24-25
The honest truth: XPRO is a good business with bad timing. They make things the market needs, but they’re spending ₹650 crore to expand capacity at a time when their existing capacity isn’t even firing on all cylinders. This is like booking a fancy vacation while your credit card is maxed out. Technically possible. Financially questionable.
04 — Financials Overview
Q3 FY26: The Numbers Go Backwards
Result type: Quarterly Results | Q3 FY26 EPS: ₹2.89 | Latest Quarter (Dec 2025) | TTM EPS: ₹5.50
| Metric (₹ Cr) |
Q3 FY26
Dec 2025 |
Q3 FY25
Dec 2024 |
Q2 FY26
Sep 2025 |
YoY % |
QoQ % |
| Revenue | 106.31 | 104.55 | 119.91 | +1.68% | -11.34% |
| Operating Profit | 10.62 | 10.56 | 7.33 | +0.57% | +45.03% |
| OPM % | 9.99% | 10.10% | 6.11% | -11 bps | +388 bps |
| PAT | 6.83 | 7.47 | 4.97 | -8.56% | +37.42% |
| EPS (₹) | 2.89 | 3.36 | 2.12 | -13.99% | +36.32% |
Wait, What? Let Me Explain This Mess: Revenue is growing at 1.68% YoY, which is so slow it makes “stagnant” look aggressive. PAT is down 8.56% YoY. The QoQ recovery in Q3 is purely seasonal — post the disaster that was Q2 FY26. On a TTM basis (last 12 months), PAT is ₹21.97 Cr, but the trend is downward. EPS on a TTM basis is ₹5.50. Annualised EPS (Q3 EPS × 4) is ₹11.56, but TTM is more realistic at ₹5.50. P/E at current price is 184x on annualised Q3 basis, or 183x on TTM basis. Either way, you’re paying nearly 200 rupees for every single rupee of annual profit. That’s not a valuation. That’s a gamble.
💬 A 184x P/E is price-to-earnings of a company that should be trading at 12-15x. What would you guess happened? Did the market lose its mind, or is this a speculative bet on Barjora + UAE becoming cash cows? Drop your theory.
05 — Valuation: The Fair Value Graveyard
Three Methods Walk Into a Bar. Only One Survives.
