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1 — At a Glance
Consolidated revenue for the June 2026 quarter came in at ₹1,166 Cr, against ₹800 Cr a year earlier — a 46% jump. Operating profit was ₹136 Cr against ₹92 Cr. PAT was ₹53.8 Cr against ₹42.9 Cr. Operating margin printed 12%.
Management’s explanation for the revenue number is worth stating plainly, because they got in front of it themselves: volumes grew 9%, and the rest is polymer price inflation passing through after the West Asia conflict. In a pass-through business, per management, higher raw-material prices inflate both the revenue line and the denominator of the margin ratio. Which is why the same quarter can carry a 46% topline and a reported EBITDA margin of 12.6% against 14.5% a year ago — management’s own figures, and management’s own framing. Their preferred yardstick: EBITDA per kilogram, up roughly 15%.
Elsewhere: specialty and semi-specialty mix at 61%, described by the company as the highest in five quarters. Film capacity utilisation around 85%. Net debt ₹1,166 Cr — a number that happens to be identical to quarterly revenue, which means nothing at all but is the kind of coincidence that makes a spreadsheet feel haunted. Leverage at 2.3x net debt/EBITDA against 2.9x in June 2025.
Also in the quarter: a 50:50 Korean joint venture incorporated, a US customs duty refund of about USD 7 million received in July, and a pet care business that grew 70%. More on all three.
2 — Introduction
Cosmo First has been making BOPP film since 1981, which in Indian manufacturing terms means it predates liberalisation, the internet, and roughly four generations of people who now describe packaging as a “sustainability play.”
The company was Cosmo Films until FY23, when it re-branded to Cosmo First — a name change that arrived alongside a genuine widening of the business. What was one thing (films) is now five: films, specialty chemicals, rigid packaging, consumer films, and pet care. The last of those involves dogs.
The recent history is a capex history. Per the company, ₹1,200 Cr-plus of strategic capex went in over the last three years: a specialised BOPET line in FY23, rigid packaging in FY24 and FY25, a CPP line, window films in May 2025, an 81,000 MT BOPP line commissioned June 2025 at a cost of over ₹400 Cr, a coating line in Q3 FY26 and a coating-lamination line in Q4 FY26. Installed BOPP capacity went from 196,000 TPA to 277,000 TPA. Crisil, in its September 2025 rationale, records the BOPP line at ₹350 crore funded 80:20 debt-to-equity.
The Q1 FY27 presentation is titled “Entering Phase of Superior ROCE & Business Scale-Up,” and management’s framing throughout is that the building is done and the sweating begins: capex cycle complete, focus shifting to returns on capital employed and cash generation. They have put a number on the ambition — ROCE from around 11% to somewhere between 15% and 20% over 12 to 24 months.
Recent corporate events, in order: a Gujarat High Court writ filed in January 2026 seeking a ₹58.34 Cr incentive refund, with ₹33.53 Cr accrual expected; the Speciality Chemicals business head resigning in February 2026; the Korea JV with Filmax notified in November 2025 and incorporated 15 May 2026; and Zigly acquiring a Bengaluru animal healthcare business in July 2025 and a Mumbai clinic in April 2025.
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3 — Business Model: WTF Do They Even Do?
They make thin plastic. Extremely well, at enormous scale, in ways that let them charge different prices for what is, to the untrained eye, the same thin plastic.
The films business is the core — roughly ₹1,034 Cr of the quarter’s ₹1,166 Cr, growing 45% YoY. Within it, the entire strategic argument is a taxonomy. Base films: high competition, low pricing power, low R&D, gross margin ₹30/kg this quarter. Semi-specialty: ₹45/kg. Specialty: around ₹63/kg, and per management, above ₹60 for five straight quarters. The company’s own table lists “Customer Stickiness” as Low / Medium / High down those three columns, which is corporate-speak for please stop shopping around.
Product categories run to packaging films, lamination films, label films and industrial films. Cosmo describes itself as the world’s largest supplier of thermal lamination films and industrial application films, second largest in specialty label films, and among the top four globally in BOPP specialty films. Crisil notes it holds roughly 30% of domestic installed BOPP capacity. Exports are about 50% of revenue, across 80-plus countries, with subsidiaries in the US, Netherlands, Korea, Japan, Singapore and Thailand.
Then the other four engines. Specialty chemicals — coatings, masterbatches, adhesives — did ₹66 Cr in the quarter at 26% EBITDA margin, up 34%. Cosmo Plastech makes rigid packaging: trays, cups, injection-moulded containers, ₹36 Cr and up 58%. Cosmo Consumer sells
