EPACK Durable Limited — PPTs, 31-01-2025: Investor Presentation

**Financial Highlights:** EPACK Durable reported an operating income of INR 3,768 Mn for Q3, reflecting a 35% YoY growth. However, net profit fell by 49% YoY to INR 25 Mn, with a corresponding PAT margin of 0.66%. For the nine months ended FY25, the operating income surged to INR 15,276 Mn, up 71% YoY, with net profit rising 132% YoY to INR 174 Mn.

**Strategic Initiatives and Growth Drivers:** The company has established itself as the second largest Original Design Manufacturer (ODM) in the Indian market, driven by a strong demand for room air conditioners (RACs) and a market share of approximately 24%. New manufacturing capacity at its Sri City plant is set to optimize operations, despite current underutilization affecting margins.

**Business Developments:** EPACK maintains strong relationships with marquee clients, including Voltas and Haier, bolstering its operational capabilities. The product segment accounted for 98% of the total revenue, highlighting robust performance in RACs.

**Market Position and Competitive Advantage:** The shift towards local manufacturing and compliance with the government’s certification requirements has positioned EPACK favorably in a growing domestic market, which is expected to reach 17.7 million units by FY28.

**Investor Implications:** The company’s strong revenue growth and strategic positioning in an expanding market suggest a positive outlook, despite current profitability pressures. Investors should watch developments around the Sri City facility's capacity utilization and overall market demand for RACs.