1. At a Glance – Blink and You’ll Miss the Irony
₹612 crore market cap. Stock price around ₹249. Trading at 0.72× book value like it personally offended the concept of replacement cost. Meanwhile, Q3 FY26 PAT jumps 157% YoY, EPS clocks ₹7.86, and management casually approves a ₹450 crore BOPP expansion as if this were pocket change found in sofa cushions.
ROCE? A sleepy 6.46%. ROE? 5.69%. Not exactly poster-child numbers, but also not terminal. Debt sits at ₹95.6 crore, debt-to-equity at a modest 0.11, interest coverage a comfy 11×.
Three-month return: –19.9%. Six-month return: –17.4%. One-year return: +12.4%. The stock has clearly decided to emotionally confuse everyone involved.
This is a company where profits suddenly wake up, valuation refuses to acknowledge it, and promoters quietly keep adding shares. Curious yet? Good. Keep reading.
2. Introduction – The Nahar Group’s Quiet Middle Child
Nahar Polyfilms Ltd (NPFL) is that classic Indian mid-cap industrial story: boring product, essential use-case, cyclical margins, and zero hype. Which is precisely why it deserves attention.
Incorporated in 1988, NPFL manufactures BOPP (Bi-Axially Oriented Polypropylene) films, a backbone material for flexible packaging. If you’ve ever opened a biscuit, chips packet, textile bag, or adhesive tape, you’ve indirectly shaken hands with BOPP film.
The company is part of the Nahar Group, better known for textiles and finance. NPFL itself operates one core business, sells to 200+ customers, and exports a small but non-trivial ~9% of revenue.
What makes this interesting now isn’t nostalgia or pedigree—it’s timing. After years of volatile margins and mediocre returns, NPFL suddenly reports strong quarterly profitability, sits on large group investments (~₹223 crore), and announces one of the largest capex plans in its history.
So the question becomes:
Is this the beginning of a structural upcycle—or just another BOPP sugar high?
3. Business Model – WTF Do They Even Do?
Let’s simplify. NPFL takes polypropylene granules, stretches them like a yoga
instructor on caffeine, coats them if required, and sells them as BOPP films.
These films are used in:
- Flexible packaging
- Reverse printing
- Lamination
- Decorative applications
- Adhesive tapes
- Textile packaging
The company runs two BOPP lines at Raisen, Madhya Pradesh, with an installed capacity of 60,000 TPA post its Feb-22 expansion.
Revenue concentration?
Top-10 customers contribute ~54% of revenue, but none exceed 15%, which is corporate-speak for “manageable dependency but don’t get complacent.”
Exports contribute ~9%, meaning NPFL is largely a domestic India packaging play—less currency drama, more raw-material mood swings.
And then there’s the group structure: NPFL owns stakes in Nahar Capital & Financial Services and Nahar Spinning Mills, and vice versa. It’s a financial spaghetti bowl, but one that provides liquidity and balance-sheet cushioning.
Now ask yourself:
Is this a boring commodity business? Yes.
Is it essential? Absolutely.
Is scale everything here? 100%.
4. Financials Overview – Numbers Don’t Lie, But They Do Smirk
Quarterly Performance
| Metric | Latest Qtr (Dec-25) | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 167 | 154 | 172 | 8.4% | -2.9% |
| EBITDA (₹ Cr) | 20 | -0 | 28 | NA | -28.6% |
| PAT (₹ Cr) | 19 | -5 | 21 | 157% | -9.5% |
| EPS (₹) | 7.86 | -2.11 | 8.45 | NA | -7.0% |
Commentary:
Revenue is steady, not spectacular. EBITDA is volatile because this business dances to raw material prices. But PAT? That’s where the magic (or accounting discipline) shows up.
A ₹19 crore quarterly profit on a ₹612 crore market cap wakes people up—eventually.
